It’s generally accepted that loyalty programs in restaurants can be a great method of increasing the engagement of customers and retain them. According to the 2019 Restaurant Success Report, 25% of those who were surveyed believed loyalty programs are essential to their customer experience.RESOURCERestaurant Summary of Success This report gathers data from guests and professionals in the restaurant to let you know what it takes to make an enjoyable dining experience from beginning to end.
Not only are they essential for guests, but they’re essential to the profit of a restaurant:
- It will cost a company five to 25 times more to find new customers as compared to selling to an existing client.
- If you can increase customer retention by just five percent, your business’s profit margins will rise in the average by 75 percent.
- 80 percent of the future earnings result through 20% of existing customers.
Consumers have expectations when regards rewards programs and if these expectations aren’t met it could be extremely difficult to convince your customers to use rewards programs.
What do customers care about in relation to loyalty programs?
- Flexible ways to enroll (22 22.4%)
- Exclusive coupons and discounts (36 percent)
- Earning points ( 51 percent)
- Redeeming rewards with ease (55 percent)
In a dining environment the expectation of a customer is far more challenging than it appears. In many full-service restaurants, servers don’t take payments at the table. They take a check at the tables, then take the credit card of the customer to an in-person POS system or reader for card transactions and return it with the receipt. In this scenario there is no chance for customers to sign up for the loyalty program. the only method to earn rewards and redeem them is to use an actual loyalty card. There is also no option for customers to keep track on their rewards points out inside the dining establishment. These are just a few of the numerous ways that the restaurant’s loyalty programs may be a failure. However, there’s a solution.RESOURCEThe restaurant POS Comparison Tool is a free, flexible POS Comparison Tool that allows you to study and evaluate points of sale systems within the same Excel worksheet.
4 Ways Tablet POS Systems Can Improve Loyalty Programs
1. Digital Receipts
A lot of tablets-based POS systems have digital receipts that let customers to enter their telephone numbers or emails to receive either email or text receipts. In the event that the loyalty plan is integrated into the system customers won’t need to supply any additional details to join this loyalty scheme. This makes it simple for members to join the program without having to fill in excessive personal details that is vital since over one out of 10 loyal members (13 percent) express frustration or dissatisfaction due to the excessive personal information required during the enrollment process for loyalty programs ( Mintel).
2. Customer-Facing Tablets and Terminals
Alongside helping restaurants to serve more customers and move tables more quickly tableside handhelds and POS terminals that be turned into a customer-facing device will make the loyalty opt-in process simple. When customers tip, they can take a picture, and then get a receipt directly from the tablet’s interface to make the transaction, some POS systems provide the option to provide guests with an possibility of joining the loyalty program offered by the restaurant by simply selecting a checkbox (or inputting their email address if they did not yet make a request for a digital receipt).PRODUCTSToast Point of SaleLearn how an improved point of sale software can aid you in managing the restaurant you run.
3. Connect Customer’s Credit Cards to Their Rewards Accounts
Tablet-based POS systems such as Toast let customers connect the rewards account to major debit and credit cards. In this way, there’s no change in how they pay for meals. When guests pay for meals and they earn points and will have the option of redeeming points without having to show the card in person or provide an account number.
4. Track Rewards Points on Smartphones
Certain loyalty programs for restaurants have shown that when customers are close to unlocking their reward from loyalty, they spend 39 percent more ( National Restaurant News). To observe this kind of rise in your average spending at your establishment, customers require a simple method to keep track of their rewards so they can know when they are near to unlocking a new reward. When you have a tablet POS system allows customers to personalize digital receipts it can present customers with their reward points, along with the extra points they earn after eating.