How Can Your Cafe And Restaurant Become Better With Customer Loyalty Programs

With the high rate of fast-growing cafes and restaurants in the world today, the taste of your food is not the sole key to success. 

For your cafe/restaurant to keep rising and customers returning, you need to give customers something more than just an appetiser meal or delicious coffee; you must provide them lifetime value. 

Allow me to introduce you to customer Loyalty Program. This program is a great way to keep customers happy and always return for more.

What Is A Customer Loyalty Program

It is a program run by a company that offers various benefits to customers that come frequently. These benefits can come as free products, discounts, or other promotions. 

The customer Loyalty Program rewards customers for being loyal; it helps businesses increase their product sales and also helps them retain their existing customers. 

For example, Starbucks encourages its customers to earn stars and save those stars later for free meals and drinks. 

In this article, you will understand how to boost your cafe/restaurant with customer loyalty programs.  

Types Of Customer Loyalty Programs

1. Visit Based.

In this program, the cafe/restaurant management sets their rewards based on the customer’s visit. For example, a restaurant can offer free coffee on every fifth visit made by a customer. 

This tempts the customer to make frequent visits and, as a result, keeps returning until it is complete.

2. Amount Based.

In this type of customer Loyalty Program, the customers get rewards and benefits based on how much they have spent. For example, a customer can earn a star for every $100 well spent. 

Many full-service cafes and fine dining restaurants use this loyalty program.

What To Do Before Implementing Customer Loyalty Program

If you want to strengthen your customer retention rate, do well to follow these steps.

1. Know Your Customers.

Ask yourself these questions- how much does my customer purchase from me daily or annually? Do my customers pay on a credit basis or cash at hand? 

How long have my customers been visiting my cafe/ restaurant? What do my customers buy majorly? Can I make them purchase more? What profit value do my customers hold for my cafe/restaurant business?

2. Set A Target.

Ensure to get a list of all your frequent customers. Once you do that, set a target. For example, if a particular customer visits your cafe/restaurant 4 times in a week,  go ahead and adjust your target to five times. 

3. Categorise Your Customers.

Ensure to have your customer’s loyalty report, data, mode of payment ( cash or card), frequency of online ordering, volume of purchase, and any other vital data you would need. 

Once all those mentioned above are available, categorise them per your objective. 

4. Carry Out Some Ground Work.

You must know the needs and satisfaction level of your customers.  To do this, your cafe management team should conduct interviews and surveys to get the correct answers from your customers.

Remember, the primary purpose of customer loyalty programs is to reward loyal customers. So ensure you shortlist your frequent customers and keep them coming back. 

On A Final Note;

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