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How does your loyalty program stack up?

Learn how your program rates against the best in the biz—plus get tips about how to improve it. Paytronix has been providing loyalty solutions and support to top restaurant brands for more than 15 years, and we're offering up some of our best strategies for program growth today.

 
 

Attention Franchisees: That “We Miss You” Offer Is Making You Lots of Money!

In a franchised restaurant organization, corporate frequently has to defend marketing programs to franchisees. In this case, franchisees were having difficulty seeing the value of the chain’s corporate-run win-back program. They were convinced that guests redeeming the “we miss you” offer were not spending any more than the offer’s retail value.

 

The Challenge In a franchised restaurant organization, corporate frequently has to defend marketing programs to franchisees. In this case, franchisees were having difficulty seeing the value of the chain’s corporate-run win-back program. Franchisees were convinced that guests redeeming the “we miss you” offer were not spending any more than the offer’s retail value.

The Promotion A weekly email campaign is deployed to reach loyalty program members who have not visited any of the restaurant locations within the past 90 days. The message contains a free entrée offer to be redeemed within the next 30 days.

The restaurant chain enjoys several benefits from the Paytronix features that enable this promotion:
1. No drain on resources: An automated campaign runs weekly without involving the chain’s marketing or IT staff.
2. Useful guest behavior data: Reports detailing the campaign’s results help the corporate marketing team articulate to franchisees the promotion’s true financial benefit.
3. Less fraud: Through the integration with the merchant’s POS, Paytronix limits fraudulent guest activity by making the reward available only one time. Plus, on the campaign’s expiration date, the system automatically removes any unredeemed rewards from accounts.

The Results and Financial Return Delivering Value to the Franchisees

The franchisees were delighted to learn that when the guests redeemed the offer, the restaurants were receiving about $8 in incremental revenue. In fact, on that visit, the guests spent 74 percent more (net of the entrée reward) than the chain’s average check across all guests. The reward paid for itself on that first member visit. Plus, a considerable number of the targeted guests continued to visit during the 10 months following the promotion. In reality, the franchisees experience a 10x return on the cost of the win-back offer.

To learn more about how you can drive sales with a loyalty program, contact us.

 

| Attention Franchisees: That “We Miss You” Offer Is Making You Lots of Money!
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