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Case Study: How Showmars Used Loyalty Rewards To Increase Revenue

December 5, 2014
by Case Study: How Showmars Used Loyalty Rewards To Increase Revenue

By rewarding customers according to their personal tastes, Showmars increased average check size per visit by 37%.

Showmars, a rapidly growing 30-location restaurant brand based in Charlotte, has found success by developing strong relationships with customers. A new case study featuring commentary from Executive Vice President David Prosser analyzes how Showmars rolled out an effective loyalty rewards program to make customer relationships even better. To start “Loyalty Marketing Proves to Be a Restaurant’s Secret Ingredient,” published to DM News by Natasha Smith, Showmars EVP David Prosser outlines his mindset as a restaurant executive: “Loyalty. It’s huge. Eighty percent of what [the marketing team] does is to try and get repeat business. Our effort is to not just build that customer base, but maintain that customer base.” We all know by now the monetary importance of customer retention marketing. This Showmars case study illustrates exactly how a focus on customer retention can drive success for a multi-location merchant. Here are three highlights that stand out:

Use Loyalty Rewards Programs To Establish Continuity Across Multiple Locations

According to David, Showmars works hard to make customers feel appreciated whenever possible. Managers and servers use every opportunity to make a positive impression on those who visit. What’s hard, however, is carrying that experience to every single location. Customers should get the same experience they deserve –  no matter what location they find themselves. Loyalty rewards provide an opportunity to make this vision a reality. Showmars used its loyalty program to gain a deeper customer understanding, which allowed the company to do a better job of personalizing each customer’s experience across locations.

Loyalty Rewards Multiply Customer Engagement 10X

Showmars has found success in the Charlotte area by focusing on customer appreciation. With local, face-to-face interactions, Showmars strives to provide customers with a superior in-store experience. With a retention program in place, Showmars could apply this same capability much more broadly. Even when cutomers are away from a Showmars location, David’s team can drive engagement that fosters a more beneficial relationship between Showmars and its best customers.

Customers Spend More With Better Engagement

Once customers signed up to the Showmars program, they immediately spent 7% more than average. Incentives effectively changed behavior. As customers continued in the program, their spending continued to increase. Once Showmars customers started visiting multiple times, their average check size increased by another 30%. When customers redeemed their rewards, they spent 70% higher than average. This level of spending both covered the cost of the rewards and drove incremental revenue. David attributes this success to customer appreciation. Customers repond positively when they know they are appreciated. A strong loyalty program allows Showmars to do just that. To read more about this Showmars case study, check out the article on DMNews, or the interview published to Loyalty360Need help evaluating loyalty programs? View our step-by-step guide. Any other questions? Please let us know. 


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