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Proven ROI Case Studies for Restaurant Loyalty
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Proven ROI Case Studies for Restaurant Loyalty

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Restaurant Loyalty programs have bottom line impact as proven in these case studies

Restaurant Loyalty programs have bottom line impact as proven in these case studies


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  • 1. 6/14/2013 1Restaurant Loyalty ROIReal Results fromReal Restaurant Case Studies
  • 2. 6/14/2013 26/14/2013 2• Enroll new customers – X per month• % of store transactions by loyal customers• Increase customer frequency• Turn new customers into regulars• Increase ticket averages• Reduce indiscriminate discounts• Prevent customer lossLoyalty Goals
  • 3. 6/14/2013 36/14/2013 3Average E-mail club new members, permonth, per locationAverage Loyalty new members, per month, perlocation, over 8 monthsHigher enrollments than e-mail club aloneROI Examples29983.38xIncrease EnrollmentsCase Study: 5 store pilot at a fast casual/delivery national pizza chain. Previously used aweb-based e-mail only system. Switched to SalesBuilder with integrated POS sign ups& rewards.A Large, active customer database can not onlyhelp your marketing program, it can add to yourbusiness valuation!
  • 4. 6/14/2013 46/14/2013 4ROI ExamplesHigher ticket average for loyaltycustomers vs. non loyalty customers(even with loyalty discounts)$2.14Increased Ticket AveragesCase Study: 4 locations analyzed over a 3 month period, 4 order types compared.Dine In To Go Pick Up DeliveryLoyalty Member(4 store ticket av.)$12.23 $14.71 $25.17 $37.60Non LoyaltyMember(4 store ticket av.)$8.83 $10.89 $24.50 $36.92
  • 5. 6/14/2013 56/14/2013 5ROI ExamplesAverage # of NEW Loyalty customerswho returned at least once after initialorder (3 mo. period studied)27%12%Average # of NEW NON-loyalty customerswho returned at least once after initial order.Turn New Customersinto Regulars:Case Study: 10 store fast casual/delivery pizza chain. We analyzed their POSrecords to see how many new customers are coming back.The loyalty messages are really helping bring newcustomers back for another visit!
  • 6. 6/14/2013 66/14/2013 6ROI ExamplesAverage # of NEW Loyalty customerswho returned at least TWICE afterinitial order.14%3%Average # of NEW NON-loyalty customers whoreturned at least TWICE after initial order.Turn New Customersinto Regulars:And in the same study …
  • 7. 6/14/2013 76/14/2013 7ROI Examples Turn New Customersinto Regulars:And in another, similar study of 4 locations, we looked at all the new customers intheir POS database from January – May, 2013.Ordered 2+ times Ordered 3+ timesLoyalty Customers 41% 22%Non-Loyalty Customers 12% 4%New customers who joined this loyalty program were over 5x more likely to order3+ times than new customers who didn’t join!
  • 8. 6/14/2013 86/14/2013 8ROI ExamplesAverage transaction count of newLoyalty customers over 3 months.1.661.17Average transaction count of new, non-loyaltycustomers over 3 months..49 Difference in 3 months = $22.90 added valueper loyalty customer per year.Increased CustomerFrequency:Case Study: 10 store fast casual/delivery pizza chain. We analyzed their POSrecords to see how frequently their customers are ordering. $11.45 tick. Av.
  • 9. 6/14/2013 96/14/2013 9ROI ExamplesAverage transaction count of newLoyalty customers in first 60 days.1.631.09Average transaction count of new, non-loyaltycustomers in first 60 days..54Difference every 60 days . Loyalty ticketaverage of $29.91 = $96.90 added value perloyalty customer per year.Increased CustomerFrequency:Case Study: 5 store fast casual/delivery pizza chain. We analyzed their POSrecords to see how frequently their customers are ordering.
  • 10. 6/14/2013 106/14/2013 10ROI ExamplesLoyalty customers order, on average,once every 54 days.5472Non loyalty customers order, onaverage, once every 72 days.Increased CustomerFrequency:Case Study: 5 store fast casual/delivery pizza chain. Another way to look at howoften loyalty customers order
  • 11. 6/14/2013 116/14/2013 11Adding up the ROIROI ExamplesAverage monthly loyaltytransactions180 x $2.14 higher ticket average = $385.20 per monthConvert an extra 20% of newmonthly customers10 x $25 ticket average, .815 average ordersper month= $203.75 per monthIncreased frequency of loyaltycustomers1500 x 2.5 extra orders per year, $25 ticket av. = $93,750 per yr=$7812.50 per monthTotal Increased Sales, less 30% food cost: =$5,881 per monthReduced marketing costs Eliminate wasteful, non targetedmarketing spending=$500 - $1000 permonth.Total Monthly ROI: $6,881 per monthLess: Monthly Loyalty Program Cost ($199 - $249) per monthNet ROI: $6,632 per monthAssumptions: Enrolling 100 new members monthly; 50 are new customers, 50existing customers. 1500 total active members. Ticket average $25.
  • 12. 6/14/2013 126/14/2013 12GRS SalesBuilderLearn More• Fully automated e-mail & text based loyalty program• Sign up on website, via integrated POS and Online Ordering, ortext to join• Send messages based on pre-defined triggers for welcome,rewards, lapsed customer, birthday, anniversary, “near a reward”,spending achievements, holidays, and more.• Issue secure, individualized, trackable offers.• Affiliates, referrals, Facebook integration, surveys, e-mail /smsbroadcasts, reporting and more.Call 800-750-3947 or visitwww.granburyrs.com for more info