The Challenge
A national casual restaurant chain wanted to increase the visit frequency of its less active
loyalty members and capture a greater share of their spending.
The Program
The restaurant group targeted infrequent loyalty program members with a bonus-points
offer designed to encourage multiple visits. During the promotion month, guests received extra
loyalty points every time they visited. The number of bonus points received by the guests
escalated with successive visits – that is, the bonus points award doubled with their second visit
and tripled with their third visit.
Paytronix's technology enabled this promotion in multiple ways. Specifically, Paytronix:
- Created the list of targeted guests
- Managed the email distribution of the offer
- Configured the rules engine to recognize the dynamic promotion at the point of sale and
to ensure a smooth, accurate accrual process - Provided detailed reporting capabilities to track the promotion results
The Results and Financial Return
The promotion sparked a 54% rise in visit rates and fueled a 42% rise in monthly revenue
from this segment.
Even more important, the promotion produced a big carry-over effect: Visit rates remained significantly higher in the month after the promotion ended. (See the chart.) This result lifted segment revenues 27% above the baseline during the post-promotional month!
The lure of extra loyalty points clearly influenced the guests’ dining decisions and increased visit frequency. A visit challenge is an effective way to engage guests and earn more of their share of wallet.
To learn more about motivating your guests to visit more, contact us.
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