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WANT TO SET UP A LOYALTY SCHEME

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LOYALTY SCHEME

Ever wanted to set up a loyalty system to reward customers for repeat custom. 

A loyalty system can provide you with a way to reward customers and encourage repeat business. It is also a useful, considerable marketing tool. By collecting details about your customers, such as their e-mail address and location or date of birth, you can target them with targeted promotions to help grow your revenue.

The first port of call of great marketing is having consistent food and service, get that right and what follows below will be a doddle. 

Consumer confidence has been knocked with the coronavirus pandemic, but so has business confidence. Setting up a loyalty scheme could help strengthen new relationships. 

SETTING UP A LOYALTY SCHEME

Not every fish & chips shop has a loyalty program, but there is a demand for them. If you don’t have one, then it’s worth looking into. UK customers are more receptive to loyalty schemes than those in other countries.

77% of people in the UK are members of at least one loyalty programme. 

DINERS LOVE GETTING SOMETHING FOR FREE

Offering a free meal, on every 10th purchase would delight customers. 

Offering a free side with every 5th purchase. 

Sending a meal for two on their Birthday.

MAKE REWARDS RELEVANT AND EASY TO REDEEM

LOYALTY SCHEME

Sometimes there can be little uptake with loyalty schemes, and relevance is critical for a customer, on top of that they need to be easy to understand and easy to redeem.

30% of people will not join a loyalty scheme if the rewards are not attractive or relevant to them.

MAKE IT MOBILE

LOYALTY SCHEME

If you don’t want a load of small business card types of punch cards, then look at using a stand-alone loyalty app or why not talk to your epos system provider. 

Over half of customers aged 18-50 years old want restaurants to offer loyalty programs via a mobile app.

KEEP REWARDS ACTIVE

Depending on the type of reward, you want to make sure your offer doesn’t expire too quickly. 

Rewards expiring too quickly is the main reason people leave a scheme. The longer rewards remain active; the more likely customers are to take advantage of them. What you don’t want is people feeling like they are part of a game that they have to beat the system on.

DON’T GET TOO PERSONAL or too familiar

One benefit of a loyalty scheme is you will be collecting data, but if you abuse it, people will get fed up and not see the value in what you are doing. They will think you are a pain in the rear and move on. 

If you ask for birthday information, be upfront and tell them they will receive a meal for two on their birthday. If you want to know their e-mail address tell them, it is so that you can e-mail them news and vouchers.

Asking for too much personal information can be very off-putting for people, although UK customers are more willing to part with this information than others. If you consider how much people share on Facebook these days, the difference is they know what they are signed up to for the most part.

Parting thoughts

Loyalty schemes can be useful, but if they are long-winded and not deemed good value people will not return more often, and if they do, they probably won’t purchase any more which is the intention of the scheme.