There's no doubt that restaurant loyalty programs are becoming more and more popular. A recent study showed that 73% of customers are more likely to visit a restaurant that offers a loyalty program.
However, the truth is that only some loyalty programs are created equal. While some loyalty programs are worth the investment, others are marketing gimmicks that only work when a restaurant is struggling.
Thus, there are many factors to consider when it comes to finding the best restaurant loyalty program in India. Restaurant loyalty programs can vary significantly in terms of what they offer, how these programs work, and what benefits they provide.
So how do you know which loyalty programs are worth your time, money, and effort? Well, we have you covered.
What Is a Restaurant Loyalty Program?
So, you're thinking of starting a loyalty program for your restaurant. That's a great idea! A restaurant loyalty program is a reward system that's created to address the needs and requirements of a restaurant or fast-food chain.
Loyalty programs are a very great way to show your customers that you appreciate them. And the best part is they're easy to set up and manage. You only need a loyalty card or app and a system that tracks spending and rewards points.
So if you're looking for some way to show your customers some love, consider implementing a loyalty program. They're a great way to build customer loyalty and encourage repeat business.
Keep a few things in mind while setting up your loyalty program:
- Ensure that you're offering value to your customers. This could be anything from discounted menu items or gift cards to special rewards or privileges.
- Make sure that your program is easy to use. Your customers should be able to earn rewards without jumping through hoops.
- Be sure to market your loyalty program to your customers. Let them know about the benefits of joining and how they can participate.
Why Are Loyalty Programs Important?
A recent study found that 43% of customers would visit a restaurant more often if it had a loyalty program. Moreover, ustomers who belong to loyalty programs are more likely to recommend that restaurants to their friends.
But what makes a good loyalty program? Here are two tips:
1. Offer experiential rewards: Customers want something unique and memorable that will make them feel like they're getting their money's worth. You can use digital reward programs, which the customers will appreciate.
2. Make your loyalty program stand out: Guests will be less likely to sign up if it looks like every other loyalty program. Make yours stand out with special offers and unique privileges. For example, you can learn from Zomato, it has a point-based loyalty program called Piggybank. You earn points every time you check in to a restaurant, rate it, or make a reservation through the app. Once you've racked up enough points, you can redeem them for discounts on food and drinks.
Benefits of a Restaurant Loyalty Program
Nowadays, almost every restaurant has a loyalty program, including small ones. Additionally, local businesses are seeing the benefits of implementing a loyalty program.
Thus, if you're thinking of starting a loyalty program for your restaurant, below are a few benefits you can expect from loyalty programs:
1. Increased Customer Loyalty
One of the top advantages of having a loyalty program is that it increases customer loyalty. When customers feel like they're being rewarded for their patronage, they're more likely to continue patronizing your business.
2. More repeat Business
Loyalty programs also lead to more repeat business. Customers who are enrolled in your loyalty program are more likely to come back and visit your restaurant repeatedly. This is especially true if you offer rewards that can be redeemed for free food or discounts on future visits. In short, loyalty programs can also help improve your customer retention rates.
3. Increase in Sales and Profits
Another benefit of restaurant loyalty programs is that they can boost your sales and profits. Studies have shown that customers who are enrolled in loyalty programs spend more money per visit than those who are not registered. So not only will you see more repeat business, but you'll also see an increase in overall sales and profits.
The Top 3 Restaurant Loyalty Programs in India
Some of India's best restaurant loyalty programs are run by popular food chains like McDonald's, KFC, and Domino's. These programs offer customers various benefits like free meals, vouchers, and discount coupons.
1. McDonald's McDelivery Loyalty Program: This program is designed for customers who order food online from McDonald's. This program allows customers to earn points for every online order they make. These points can be redeemed for freebies like burgers, fries, and drinks.
2. KFC Colonel's Club: The Colonel's Club is KFC's loyalty program which offers members free meals, coupons, and exclusive discounts. Customers must sign up on the KFC website or app to join this club. Once the user becomes a member, they can start collecting points every time they eat at a KFC outlet or purchase any KFC product.
3. Domino's Pizza Loyalty Program: The Domino's Pizza loyalty program offers customers a free pizza after they have purchased eight pizzas from the chain. This program is available only to customers who register on Domino's website or app.
Below is a list of some more of the top loyalty programs available you can take ideas from:
1. Swiggy Supr Daily: With Swiggy Supr Daily, members get access to exclusive discounts and offers from the best restaurants in town. They also enjoy free home delivery on orders over Rs. 500 and early access to food festivals and other events.
2. Zomato Gold: Zomato Gold members get 1+1 on food and drinks at the best restaurants across India. They also get access to exclusive events, such as wine tastings and chef meet-and-greets.
3. Dineout Great Indian Restaurant Festival (GIRF): GIRF is India's most prominent restaurant festival, where Dineout members can get up to 50% off their total bill at participating restaurants. There are also great deals on dining experiences, such as private chef dinners and cooking classes.
4. EazyDiner Prime: EazyDiner Prime members get up to 30% off their total bill at over 2,500 restaurants across India. They also get free cancellation protection on reservations, so they can always change their plans if needed.
5. Foodpanda Super Saver Deals: With Foodpanda Super Saver Deals, members can save up to 50% on their food delivery orders from select restaurants.
How to Choose the Right Loyalty Program for Your Restaurant
When it comes to choosing the right loyalty program for your restaurant, apart from choosing the right partner & the right technology it is also very important to consider the expenses involved into making the program successful.
Expenses involved in a Restaurant Loyalty Program
When it comes to starting a loyalty program for your restaurant, there are a few expenses you need to take into account.
1. Cost of the software or service you'll use to run your program. This can range from a few hundred Rupees to a few thousand, depending on the features you need and the size of your operation.
2. Cost of rewards for your customers. This could be anything from discounts on their next meal to freebies like T-shirts or hats. The more valuable the tips, the more likely your customers will sign up and participate in your program.
3. Marketing expenses. You'll need to inform your customers about your program so they can sign up, which means spending some money on advertising and promotion. But if done correctly, a loyalty program can be a great way to build customer loyalty and grow your business.
Tips for Successful Loyalty Program Implementation
Here are some tips to help your restaurant loyalty program be successful:
- Restaurant loyalty programs are a great way to encourage customers to return. If you make it easy for users to earn rewards and offer exclusive benefits, they will be more likely to return.
- Digital rewards programs are becoming more popular. Make sure your loyalty program is available as an app or on your website so customers can participate easily.
- Customers appreciate simplicity in loyalty programs. Keep your program simple and easy to understand so customers can quickly earn rewards and redeem them.
- Omnichannel marketing is a holistic approach that considers the different ways customers interact with a brand. This could include visiting a physical store, browsing an online store, or interacting with a brand on social media.
A loyalty program is the best way to not only delight your customers but also show that you appreciate them and their purchases. By offering incentives like free products, discounts, or points towards future purchases, you can incentivize customers to keep coming back & spending more money. Thereby, improving customer retention and generating more repeat business for your restaurant.
So, what are you waiting for? Start building your loyalty program today!
Check out Xeno’s Next Gen loyalty program for more information.