5 Reasons Your Restaurant Needs a Rewards Program
Nearly every type of business can have a rewards program. For businesses that have frequent return customers, there is no excuse for NOT having a rewards program. A restaurant is an excellent example of a business that would absolutely be missing out by not implementing a rewards program. Here are 5 reasons why.
1. Keep Customers Coming Back
Diners that enjoy a meal at a particular restaurant may return in the future, but it’s not a guarantee. If you offer them a reward for eating at your establishment, however, it is almost certain that they will return. And as any savvy business owner knows, returning customers often make up the majority of their establishment’s revenue.
With a loyalty program, you will be able to offer your returning customers an incentive to dine at your establishment on a regular basis, whether it’s a free entree or a discount. In order to earn that incentive, your customers will need to dine at your establishment several times and spend a certain amount of money.
2. Attract New Diners
One of the best ways to get new customers through your restaurant’s doors is through word of mouth. If diners enjoy their experience enough, they are likely to recommend your restaurant to their family members and friends. If they feel like they are getting a great deal because of your rewards program, they are even more likely to rave about your restaurant and recommend it to others.
Offering gift cards in addition to a rewards program is also an excellent way to attract new diners. For instance, if a customer enjoys the dining experience at your establishment enough, he may purchase a gift card for one of his friends or relatives, which will drive new customers to your restaurant.
3. You Can’t Lose
With careful planning and execution, there’s no way that your rewards program could fail. To avoid losing money after implementing a rewards program for your restaurant, ma
ke it so that your customers have to spend a certain amount of money before they can earn points or credit that can be applied towards their accounts. One easy way to do this is create a rewards program that offers a free menu item after purchasing a certain number of entrees.
4. Simple & Easy
Contrary to popular belief, starting a rewards program is not difficult. Loyalty program management software has made it significantly easier to set up and manage loyalty programs. We’ve come a long way since the punch cards of yesteryear. Today, restaurants use web-based loyalty program software so that they can set any rewards they want, avoid complicated paperwork, collect and store detailed information about each and every customer, and reward customers for specific purchase behavior.
5. Low Cost Advertising
Rewards cards programs keep your restaurant at the forefront of your customers’ minds. Think about it – every time your customers open their wallets, there you are, enticing them with thoughts of your restaurant’s delicious, char-grilled filet mignon or luscious bananas flambé. Instead of dining at a rival establishment, they will be far more likely to dine at yours.
A good rewards program does not guarantee a constant flow of customers, however. Combined with a pleasant atmosphere, good food, and great service, though, a restaurant rewards program is an excellent addition to your restaurant’s marketing strategy.