As the Head of Customer Success at Thanx, Tricia has overseen the launch and evolution of more than a hundred restaurant loyalty programs. She knows what works and what doesn’t. Here are some of her top recommendations and reminders as we close out the year.
#1. Make sure you have a digital sign-up incentive
The introduction of digital ordering has fundamentally changed the necessary give-get of loyalty sign-up incentives. With guests already entering their info in exchange for the convenience of ordering online, you only need a small incentive to encourage loyalty sign-up. But better to have something, than nothing. If you don’t have a clear, visible incentive to enroll, it’s time to set one up, ASAP.
#2. Remove guest checkout
You might be thinking, “but what if some of my customers won’t create an account? Will I alienate them and lose revenue?” The answer is, no, not only will you not lose revenue, you will likely see increased conversions, higher average tickets, and skyrocketing repeat traffic especially if cookies and one-click reordering are also enabled. That’s because the convenience of not having to log-in and re-enter info every time you want to place an order drives repeat traffic. Don’t believe me? Oath Pizza saw a 12% increase in order volume in the first month after they turned off guest checkout.
#3. Optimize the digital ordering checkout flow for database enrollment
Make it obvious why guests should enroll in loyalty after they have already entered in all of their information. Couple the choice to opt-in with the value of doing so today. In Thanx, this looks like a big “Save and Earn Rewards” button at the moment of purchase with a clear indication of what that incentive is. And, of course, don’t forget to encourage ordering direct to your third-party delivery customers through bag drops and other strategies.
#4. Make your intro offer available only online
Driving sign-ups online is so much easier than driving sign-ups elsewhere (and it’s inexpensive if you listened to my advice in tip #1). For that reason, we recommend making your sign-up offer only available for online redemption as a way of driving customers to your mobile, web, and other online ordering experiences where enrollment is a cinch. Easier enrollment means better customer data so you can provide personalized customer experiences and targeted marketing.
#5. Limit redemption risk
Last but not less, be sure to require a minimum purchase for redemption (meaning, the reward can only be applied to a purchase over $X) to protect your team from lopsided redemption exposure. This way, you can be sure that discount seekers take a hike.