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6/14/2013 1
Restaurant Loyalty ROI
Real Results from
Real Restaurant Case Studies
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 loss
Loyalty Goals
6/14/2013 36/14/2013 3
Average E-mail club new members, per
month, per location
Average Loyalty new members, per month, per
location, over 8 months
Higher enrollments than e-mail club alone
ROI Examples
29
98
3.38x
Increase Enrollments
Case Study: 5 store pilot at a fast casual/delivery national pizza chain. Previously used a
web-based e-mail only system. Switched to SalesBuilder with integrated POS sign ups
& rewards.
A Large, active customer database can not only
help your marketing program, it can add to your
business valuation!
6/14/2013 46/14/2013 4
ROI Examples
Higher ticket average for loyalty
customers vs. non loyalty customers
(even with loyalty discounts)
$2.14
Increased Ticket Averages
Case Study: 4 locations analyzed over a 3 month period, 4 order types compared.
Dine In To Go Pick Up Delivery
Loyalty Member
(4 store ticket av.)
$12.23 $14.71 $25.17 $37.60
Non Loyalty
Member
(4 store ticket av.)
$8.83 $10.89 $24.50 $36.92
6/14/2013 56/14/2013 5
ROI Examples
Average # of NEW Loyalty customers
who returned at least once after initial
order (3 mo. period studied)
27%
12%
Average # of NEW NON-loyalty customers
who returned at least once after initial order.
Turn New Customers
into Regulars:
Case Study: 10 store fast casual/delivery pizza chain. We analyzed their POS
records to see how many new customers are coming back.
The loyalty messages are really helping bring new
customers back for another visit!
6/14/2013 66/14/2013 6
ROI Examples
Average # of NEW Loyalty customers
who returned at least TWICE after
initial order.
14%
3%
Average # of NEW NON-loyalty customers who
returned at least TWICE after initial order.
Turn New Customers
into Regulars:
And in the same study …
6/14/2013 76/14/2013 7
ROI Examples Turn New Customers
into Regulars:
And in another, similar study of 4 locations, we looked at all the new customers in
their POS database from January – May, 2013.
Ordered 2+ times Ordered 3+ times
Loyalty Customers 41% 22%
Non-Loyalty Customers 12% 4%
New customers who joined this loyalty program were over 5x more likely to order
3+ times than new customers who didn’t join!
6/14/2013 86/14/2013 8
ROI Examples
Average transaction count of new
Loyalty customers over 3 months.1.66
1.17
Average transaction count of new, non-loyalty
customers over 3 months.
.49 Difference in 3 months = $22.90 added value
per loyalty customer per year.
Increased Customer
Frequency:
Case Study: 10 store fast casual/delivery pizza chain. We analyzed their POS
records to see how frequently their customers are ordering. $11.45 tick. Av.
6/14/2013 96/14/2013 9
ROI Examples
Average transaction count of new
Loyalty customers in first 60 days.1.63
1.09
Average transaction count of new, non-loyalty
customers in first 60 days.
.54
Difference every 60 days . Loyalty ticket
average of $29.91 = $96.90 added value per
loyalty customer per year.
Increased Customer
Frequency:
Case Study: 5 store fast casual/delivery pizza chain. We analyzed their POS
records to see how frequently their customers are ordering.
6/14/2013 106/14/2013 10
ROI Examples
Loyalty customers order, on average,
once every 54 days.54
72
Non loyalty customers order, on
average, once every 72 days.
Increased Customer
Frequency:
Case Study: 5 store fast casual/delivery pizza chain. Another way to look at how
often loyalty customers order
6/14/2013 116/14/2013 11
Adding up the ROIROI Examples
Average monthly loyalty
transactions
180 x $2.14 higher ticket average = $385.20 per month
Convert an extra 20% of new
monthly customers
10 x $25 ticket average, .815 average orders
per month
= $203.75 per month
Increased frequency of loyalty
customers
1500 x 2.5 extra orders per year, $25 ticket av. = $93,750 per yr
=$7812.50 per month
Total Increased Sales, less 30% food cost: =$5,881 per month
Reduced marketing costs Eliminate wasteful, non targeted
marketing spending
=$500 - $1000 per
month.
Total Monthly ROI: $6,881 per month
Less: Monthly Loyalty Program Cost ($199 - $249) per month
Net ROI: $6,632 per month
Assumptions: Enrolling 100 new members monthly; 50 are new customers, 50
existing customers. 1500 total active members. Ticket average $25.
6/14/2013 126/14/2013 12
GRS SalesBuilderLearn More
• Fully automated e-mail & text based loyalty program
• Sign up on website, via integrated POS and Online Ordering, or
text 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 /sms
broadcasts, reporting and more.
Call 800-750-3947 or visit
www.granburyrs.com for more info

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Proven ROI Case Studies for Restaurant Loyalty

  • 1. 6/14/2013 1 Restaurant Loyalty ROI Real Results from Real 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 loss Loyalty Goals
  • 3. 6/14/2013 36/14/2013 3 Average E-mail club new members, per month, per location Average Loyalty new members, per month, per location, over 8 months Higher enrollments than e-mail club alone ROI Examples 29 98 3.38x Increase Enrollments Case Study: 5 store pilot at a fast casual/delivery national pizza chain. Previously used a web-based e-mail only system. Switched to SalesBuilder with integrated POS sign ups & rewards. A Large, active customer database can not only help your marketing program, it can add to your business valuation!
  • 4. 6/14/2013 46/14/2013 4 ROI Examples Higher ticket average for loyalty customers vs. non loyalty customers (even with loyalty discounts) $2.14 Increased Ticket Averages Case Study: 4 locations analyzed over a 3 month period, 4 order types compared. Dine In To Go Pick Up Delivery Loyalty Member (4 store ticket av.) $12.23 $14.71 $25.17 $37.60 Non Loyalty Member (4 store ticket av.) $8.83 $10.89 $24.50 $36.92
  • 5. 6/14/2013 56/14/2013 5 ROI Examples Average # of NEW Loyalty customers who returned at least once after initial order (3 mo. period studied) 27% 12% Average # of NEW NON-loyalty customers who returned at least once after initial order. Turn New Customers into Regulars: Case Study: 10 store fast casual/delivery pizza chain. We analyzed their POS records to see how many new customers are coming back. The loyalty messages are really helping bring new customers back for another visit!
  • 6. 6/14/2013 66/14/2013 6 ROI Examples Average # of NEW Loyalty customers who returned at least TWICE after initial order. 14% 3% Average # of NEW NON-loyalty customers who returned at least TWICE after initial order. Turn New Customers into Regulars: And in the same study …
  • 7. 6/14/2013 76/14/2013 7 ROI Examples Turn New Customers into Regulars: And in another, similar study of 4 locations, we looked at all the new customers in their POS database from January – May, 2013. Ordered 2+ times Ordered 3+ times Loyalty Customers 41% 22% Non-Loyalty Customers 12% 4% New customers who joined this loyalty program were over 5x more likely to order 3+ times than new customers who didn’t join!
  • 8. 6/14/2013 86/14/2013 8 ROI Examples Average transaction count of new Loyalty customers over 3 months.1.66 1.17 Average transaction count of new, non-loyalty customers over 3 months. .49 Difference in 3 months = $22.90 added value per loyalty customer per year. Increased Customer Frequency: Case Study: 10 store fast casual/delivery pizza chain. We analyzed their POS records to see how frequently their customers are ordering. $11.45 tick. Av.
  • 9. 6/14/2013 96/14/2013 9 ROI Examples Average transaction count of new Loyalty customers in first 60 days.1.63 1.09 Average transaction count of new, non-loyalty customers in first 60 days. .54 Difference every 60 days . Loyalty ticket average of $29.91 = $96.90 added value per loyalty customer per year. Increased Customer Frequency: Case Study: 5 store fast casual/delivery pizza chain. We analyzed their POS records to see how frequently their customers are ordering.
  • 10. 6/14/2013 106/14/2013 10 ROI Examples Loyalty customers order, on average, once every 54 days.54 72 Non loyalty customers order, on average, once every 72 days. Increased Customer Frequency: Case Study: 5 store fast casual/delivery pizza chain. Another way to look at how often loyalty customers order
  • 11. 6/14/2013 116/14/2013 11 Adding up the ROIROI Examples Average monthly loyalty transactions 180 x $2.14 higher ticket average = $385.20 per month Convert an extra 20% of new monthly customers 10 x $25 ticket average, .815 average orders per month = $203.75 per month Increased frequency of loyalty customers 1500 x 2.5 extra orders per year, $25 ticket av. = $93,750 per yr =$7812.50 per month Total Increased Sales, less 30% food cost: =$5,881 per month Reduced marketing costs Eliminate wasteful, non targeted marketing spending =$500 - $1000 per month. Total Monthly ROI: $6,881 per month Less: Monthly Loyalty Program Cost ($199 - $249) per month Net ROI: $6,632 per month Assumptions: Enrolling 100 new members monthly; 50 are new customers, 50 existing customers. 1500 total active members. Ticket average $25.
  • 12. 6/14/2013 126/14/2013 12 GRS SalesBuilderLearn More • Fully automated e-mail & text based loyalty program • Sign up on website, via integrated POS and Online Ordering, or text 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 /sms broadcasts, reporting and more. Call 800-750-3947 or visit www.granburyrs.com for more info