If you’re in the QSR or Fast Casual Dining business, then you certainly don’t need us to tell you how competitive the sector is. There’s always pressure, whether it’s from the major global brands that are omnipresent in just about every town and city in the UK and Australia, or whether it’s from your local and regional chains and smaller restaurants. The cost of living crisis means less money in customers’ pockets, so you have to work harder to encourage them to spend their limited cash with you. In the hospitality sector you face a constant battle to stay ahead of the competition and keep customers choosing to eat with you, and not the guy next door or over the street.
In a mature, highly competitive market, doing what you always did is not enough - you have to offer an easy experience, digital engagement, and value if you’re going to stand out and beat the competition.
An integrated digital loyalty program can be your secret weapon to staying ahead of the pack. QSR and Fast Casual Dining customers love loyalty programs and have come to expect them from their favourite brands. By integrating it with your point of sale system and mobile app you have a massive opportunity to get even more from your loyalty program, helping you to enhance your diners’ experience, retain customers and stay competitive.
Here’s 5 ways that integrated loyalty can help to put you in front:
- Personalised offers for increased revenue
When your loyalty program is automatically linked to your POS system, you can capture every detail of each customer’s purchase history, giving you clear insights into their behaviours and preferences. The data that you have captured is invaluable, because it means you can create data-driven, personalised rewards and promotions. For example knowing a customer’s most frequently purchased meal means you can create a tailored upsell offer for them, adding a drink or side to what they usually buy.
This creates a ‘double bubble’ benefit – not only does it increase the transaction size, but the personalised offer makes the customer feel valued, increasing their desire to come back for repeat visits.
- Incentives and gamification for return visits
With the right integrated loyalty program, you can offer a wide range of incentives to appeal to different customers’ preferences. Some will be encouraged to buy again by a discount, or free items. Others love being ‘part of the club’ with ‘money can’t buy’ offers for exclusive deals or the first chance to taste new menu items. Some are motivated by being able to use their points to donate to a charity they support, and some enjoy the challenge of gamification, trying to reach the next tier in the program, or get to a higher spend to unlock bigger discounts. A smart, integrated loyalty program will offer you a broad range of ways to engage customers and maximise loyalty value.
- Everywhere experience for customer satisfaction
Today’s customers interact with you in a host of different ways - at the counter, at a kiosk or drive-thru, online, via your mobile app or using a QR code at the table. No matter how great your offers, if your loyalty program is not available everywhere they order, your customers will soon lose interest in it. Having your loyalty system integrated into every channel, so that customers can earn and redeem points no matter how they order encourages higher participation and customer satisfaction.
- Social media integration for increased customer base
Loyalty programs not only encourage current customers to spend more but can also be used to reward them for inviting their friends to sign up too. You can turn your existing loyal customers into brand advocates, who bring in exactly the kind of people who are also likely to love your brand. Integrating your loyalty campaigns with social media and encouraging your existing customers to share their experiences online further widens your reach and can have a far greater impact, at a lower customer acquisition cost than traditional advertising.
- Increased app use for direct customer engagement
If you have a mobile app, embedding your loyalty system within it will not only make earning and burning points easier, but it will also encourage greater use of the app. An app with push notifications offers a fantastic way to communicate directly with each individual customer, straight to the device that is never far from their hand. You can build stronger relationships and create brand engagement that goes way beyond in-store visits.
In a competitive market, a well-structured, thoughtfully implemented loyalty program offers a highly cost-effective way to differentiate yourself, stand out and stay ahead of the pack.
