Presentation delivered by Will Hanrahan from Fazoli's 2018 National Brand Conference about the progress of the rewards program.

2. LOYALTY VISION
Build a Marketing
platform to acquire new
customers and grow the
lifetime value of each
customer
GROW
ACQUIREExecute
Predict
Engage

3. UNDERSTANDINGOUR
CUSTOMERS

4. MEASURE CAMPAIGN
PERFORMANCE

5. ?
GROW
ACQUIREExecute
Predict
Engage
BRAND LOYALISTSNON CUSTOMERS – ACQUIRE AND CONVERT
INVISIBLES– IDENTIFY AND ENGAGE

6. Participation Rate
Referrals
Visit Frequency
Redemption Rate

7. Source: Punchh
135+ Loyalty Customers
Loyalty Locations
Punchh Employees
37k+
170+

8. INTRODUCING
FAZOLI’S REWARDS!

9. 9
Time period: September 2017 –July 2018
Source:Punchh
$11.68
Average Spend
LOYALTY REALITY
398,224
Loyaltycheckins
$4,652,017
Total guest purchases
3.63
Average Visits
56,314
Repeat guests
109,584
Unique guests

10. OVER 200,000
APP DOWNLOADS!
106,618
Total iOS Downloads
95,200
Total Android Downloads
Timeperiod:September2017– July 2018
Source: Punchh

11. REDEEMED
63,289 TIMES
Time period: Launch through 8/24/18
Source:Punchh
Guests love our sign up
offer!
Free Baked Spaghetti 32%
REDEMPTION RATE
SENT TO
193,177
GUESTS

12. IN-RESTAURANT INDUSTRY MEDIA IN-APP REFERRALS WORD OF MOUTH YOUTUBE
HOW DID WE DO IT?

13. EFAMILY DIGITAL ADVERTISING YEXT PAGES SOCIAL MEDIA
HOW DID WE DO IT?

14. 69,653 loyalty transactions
in July 18
12,228 loyalty
transactions in October
17
WE ARE GROWING!

15. PARTICIPATION RATES
Nicholasville(1710)
Hazard (5301)
Columbus, GA (5306)
Dayton Mall (1795)
Sioux Falls (5303)
GOAL
WITHIN
12 MONTHS OF GO-
LIVE
Source: Punch Data August 1st –August 22nd
Participation rate = loyalty transactions as a % of all POS Transactions
Vincennes (1780)
Pharr (5309)
Hamburg (1785)
Muncie (1629)
Somerset (1692)
15.32%
13.25%
12.77%
11.62%
10.94%
10.77%
10.72%
10.67%
10.18%
10.04%

16. WHO ARE OUR FAZOLI’S
REWARDS USERS?

17. BIGGEST SIGNUP GROUP
AGED 20 – 29
Source: Punchh.
Number of signups byage groupfor Q1, Q2 2018

18. • Saturday and Sunday have the highest average checkyet are
least frequent days for loyalty app visits
• Check size on weekends is 20% higher than that ofweekdays
from app users.

19. • Loyalty guests ages 40-49 have the highest averagecheck
• The 70+ segment have the lowest average check

20. Punchh: Launch through8/24/18
203, 549 UsersSignups
60.13%Of Users1 visit
31.22%Of Users2 visits
21.32%Of Users3 visits
12.6%Of Users5 visits
5.05%Of Users10 visits
2.55%Of Users15 visits
1.47%Of Users20 Visits
• The user engagement funnel
• The guest journey, from app download to loyalty use

21. RECENCY
Visited Within 45
Days
Visited Between 45-
150 Days
Visited Over 150
Days Ago
FREQUENCY
1 Visit 2 – 3 Visits More Than 4 Visits
SEGMENTATION BY FREQUENCY AND RECENCY

22. DRIVE RECENCY WITH INACTIVE USERS
22Source: Last 150 Days ofData, pulled on8/24/18
POTENTIAL CHAMPION
Visited more than 3 times, withinlast 45-150 days
3% of Fazoli’s Rewards usersPOTENTIAL LOYALIST
Visited 2-3 Times, within last 45-150 days
2% of Fazoli’s Rewards UsersHIBERNATINGCUSTOMER
Visited 1 Time, within last 45-150 days
28% ofFazoli’s Rewards Users
How Do We turn these Profiles Back into Active Users?
LOST CUSTOMER
Visited 1 Time, morethan 150 Days ago
31% ofFazoli’s Rewards Users

23. DRIVE FREQUENCY WITH ACTIVE USERS
23Source: Last 150 Days ofData, pulled on8/24/18
ACTIVE CHAMPION
Visited 4 or more times in last 45 days
13% of Fazoli’s Rewards Users
ACTIVE LOYALIST
Visit 2-3 Times in thelast 45 Days
3% of Fazoli’s RewardsUsers
ACTIVE CUSTOMER
Visited Once in last 45 Days
20% of Fazoli’s RewardsUsers

24. LOYALTY SUCCESS STORIES

25. 4.5% INCREASE IN AVERAGE
VISITS PER GUEST
Source:Punchh Company Data. Time period:
Recent 90 Days – May 26, 2018.through August 24th 2018
Previous 90 Days - February 25th 2018 through May 25th 2018
AVERAGE VISITS PER
GUEST ARE INCREASING
LAST 90 DAYS
2.74 AVERAGE VISITS
PER GUEST
PRIOR 90 DAYS
2.62 AVERAGE VISITS
PER GUEST

26. REAL TIME FEEDBACK
Source:q1andq2 Punchh
1/5
3% All Feedback
2/5
4% All Feedback
3/5
9% All Feedback
4/5
17% All Feedback
5/5
67% All Feedback
FEEDBACK RECEIVED
65,808 TIMES

27. IN APP REFERRALS
Additional Spend
From Q1 Referrals$56,289
Additional Spend
From Q2 Referrals$54,097
Total Q1 & Q2
5359 Referrals
Free Drink
ReferralOffer
8.8%RedemptionRate

28. 30 Days Without Visit
ComeBackMessaging
16,538 visits
5.58% Visit in 7 Days
60 Days without Visit
Free CheesecakeSlice
4040 Redemptions
2.8% Redemptionrate
90 Days Without Visit
Free Sampler
6266 Redemptions
5.9% RedemptionRate
RECALL CAMPAIGNS
Source: Punchh data from launch through 8/23/18

29. Q2 Campaign Revenue
$101,660
Source:Punchh data from launch through 8/23/18
SURPRISE AND DELIGHT CAMPAIGNS
Q1 Campaign Revenue
$90,166

30. CONTINUE TO SURPRISE AND DELIGHT OUR GUESTS
Free Chocolate Chip
Cookie Dough
Cheesecake
Free
Pepperoni
Pizza
Breadsticks
Free
Breadstick
Slider

31. CONTINUE TO SURPRISE AND DELIGHT OUR GUESTS
6.1%
Redemption
RATE
3.47%
Redemption
RATE
2.61%
Redemption
RATE
Free Chocolate Chip Cookie Dough Cheesecake Slice (4/24 - 4/30) Free Pepperoni PizzaBreadsticks
(4/24 - 4/30)
Free Breadstick SliderwithAny Purchase (8/18 - 8/24)

32. CONTINUE TO SURPRISE AND DELIGHT OUR GUESTS
$9.44 Net
Average Check
$12.28 Net
Average
Check
$10.67
Net
Average
Check
Free Chocolate Chip Cookie Dough Cheesecake Slice (4/24 - 4/30) Free Pepperoni PizzaBreadsticks
(4/24 - 4/30)
Free Breadstick SliderwithAny Purchase (8/18 - 8/24)

33. 33
Time period: September 2017 – July 2018
Source: Punchh
Sales lift from doublepoints day
Double Points Checkins
511
Morevisits than
average
$6,040 Extraguests
total spent
Double
Points
Friday
869previous
month Average Friday
Checkin
*Average spend$11.83

35. MIGRATION
TESTING
SEGMENTATION
CONTENT
• Behavior Based Database Segmentation
• Testing New Rewards and Messaging

36. - Optimize Online Ordering within App
- Use Guest Feedback insights to guide App updates
- Increased In-restaurant Promotion
- Build App Offers into Promotional Calendar

37. HOW CAN YOU HELP LOYALTY GROW?

38. - Train crew
- Participate in App offers
- Login to the dashboard
- Respond to reviews

39. DOWNLOAD
THE APP!