Loyalty programs have the power to transform how restaurants, convenience stores (c-stores), and other types of businesses encourage guests to make repeat purchases, drive deeper engagement, and increase customer retention. To enroll in your current or upcoming loyalty program, they need to know about it.
Loyalty program ads are an excellent way to improve enrollment and activation rates. These ads educate new and existing customers about your loyalty reward program and what’s in it for them. In this article, we discuss loyalty program ads and how to successfully utilize them to promote long-term brand loyalty.
Understanding Loyalty Program Ads
Loyalty program ads are promotional campaigns designed to encourage current and potential participants to join, engage with, and benefit from your loyalty rewards program. These ads highlight program perks, such as exclusive deals, early access to events or promotions, discounts, or points for purchases, in an effort to attract attention and drive participation.
We all know customer loyalty is an important metric in the long-term success of any business. Yet, guests aren’t interested in signing up for additional text messages or giving away their email address to every business they engage with. You have to convince them it’s worth joining your loyalty program.
Effective loyalty program ads are a key part of your restaurant’s broader loyalty marketing strategy. They not only boost program enrollment but strengthen customer relationships and enhance brand recognition. These ads introduce potential loyalty members to your program, re-engage inactive members, and increase the frequency of repeat business.
The best customer loyalty programs don’t stop communicating value to customers after they sign up. These businesses continue to remind and engage customers, even if they already visit often.
For example, the Starbucks rewards program sends out challenges or limited time promotions to loyalty members, even if they already visited the same day. If they come back between 3pm and 5pm, they’ll enjoy a bonus reward. If they visit on a specific day, they’ll earn double stars.
5 Essential Elements of Effective Loyalty Program Ads
The most effective type of loyalty program ads for every restaurant will vary, based on your guests, brand, and loyalty program design. However, there are at least five essential elements successful loyalty program ads share:
1. Targeted Messaging
Your ads must speak directly to your audience. Tailor your messaging to address the needs and preferences of your ideal customer, emphasizing the unique benefits of your loyalty program.
2. Creative Content
Eye-catching photos, compelling copy, and a clear call-to-action (CTA) are key to capturing the attention of your audience. Showcase the most enticing images you have from your menu (or your not-so-secret menu) and highlight the most desirable, exclusive rewards. What items are top sellers? This data reveals what customers want most. Be open to customer feedback to see what works best.
3. Strategic Placement
The placement of your ad strongly impacts its success. Make sure your restaurant advertising efforts reach guests where they’re likely to engage. If your customers already follow and engage with you on Facebook, for instance, Facebook might make the most sense to foster social media engagement with your loyalty program ads.
4. Consistent Branding
Maintain a cohesive brand voice and design across all ads. Consistency helps build trust and reinforces your restaurant’s identity. New and existing guests alike should be able to quickly identify your restaurant based on how the ad looks.
5. Mobile Optimization
Data shows us guests are most likely to interact with your ad on their smartphones or tablets. Prioritize a mobile-friendly and responsive design to ensure pages load quickly. You don’t want to waste money on an ad customers can’t open or have a good experience with.
5 Loyalty Ad Power Messages That Convert Viewers Easily
Just as important as how your loyalty program ad looks is what it says. Here are five angles to keep in mind when developing compelling messages that resonate with your target audiences:
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Highlight Outcomes
Clearly communicate the outcomes and experiences guests will gain by joining your loyalty program. Focus on tangible benefits like free meals, discounts, or priority access to special events. Make it very clear what customers receive for signing up and participating.
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Create Urgency
Incorporate time-sensitive offers or limited-time bonuses to motivate immediate action. For example, “Join today and earn double points on your first purchase!” Don’t emphasize the fact they have time to think about joining your loyalty rewards program later. They’ll forget and will not follow through. Make the offer so enticing they’re worried about missing out.
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Use Customer-Centric Language
Speak directly to your audience with language that resonates. Phrases like “Earn rewards you’ll love” or “Turn every visit into savings” make your message more relatable. This type of ad is about what’s in it for them, not your business.
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Simplify the Process
Assure potential loyalty program members that signing up is quick and easy. Include phrases like “Sign up in seconds” to reduce perceived barriers. Any friction in the sign-up process leads to reduced enrollment and activation rates.
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Clarify Loyalty Program Rules
Whether you use a value-based loyalty program or have tiered loyalty programs based on annual spend, clarify what customers should expect when it comes to earning rewards. If you don't, customers might realize later that your rewards program might not meet their expectations. Consequently, this can lead to a high churn rate, while such a program should be nurturing customer retention.
Do they need to earn a certain number of points? Do they receive additional discounts once they meet a certain spending threshold? Make them realize how they benefit from the program with what they already spend.