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5 Common Hesitations to Introducing a Loyalty Program at Your Restaurant (and How to Overcome Them)

by
Tyler Felous
created on
Feb 17, 2016

When we speak with restaurateurs, we often hear that they've evaluated offering a Loyalty Program in the past only to decide against it. 

 

We spoke with our own clients to understand their hesitations and how they overcame them to build a thriving asset for their business.

Here are the top 5 hesitations we hear to introducing a loyalty program at a restaurant.

 

1.) Once I introduce it, I can't take it back

What hospitality business wants to take things away from their guests? But this is an avoidable offense.

 

Remember, the main reason to introduce a program is to build a thriving asset of customer data for your business. While you want to entice guests, the best strategy is to gradually introduce guests to a program without over relying on rich benefits. 

 

As a result, you protect your ability to adjust, up or down, your program. In the end, if you find a program just isn't benefiting the business, honoring rewards for a period until a clear end date is always a safe way to gradually wind down.

 

2.) It's too operationally complex

Servers have their hands full (many times literally!) on the floor as is. How is it feasible they can adopt additional responsibilities?

 

We've seen a lot of creative solutions to this, most notably, focusing rewards on experiences that can be enjoyed outside the venue. Dinner at your restaurant with complimentary tickets to a show, perhaps? 

 

These experiences create a memory tied to your establishment while taking the onus off your service staff.

 

3.) It won't fit my restaurant's brand

With so much choice for consumers, differentiation is key for restaurants and brand is a key piece to this. The truth is, if you design your program correctly, you can actually enhance your brand.

 

Tell your restaurant's story through your rewards. This is why we built Wisely into a completely customizable rewards platform. Our partners' brands come first.

 

4.) A Loyalty Program will hurt my margins

No question restaurants have less to work with than many other businesses; but they also can lean on providing access and experiences that don't cost the restaurant much incrementally.

 

Curious how to approach reward creation? Check out our Formula to Creating Engaging, Profitable Loyalty Rewards.

 

5.) What other businesses are onboard?

Unfortunately, creating your own app is expensive (it's also not worth it for most small businesses - check out why in our data-driven analysis!).

 

This means most loyalty choices are a network of many small businesses. Understandably, if you're joining a loyalty network with other businesses, they should be your peers. 

Wisely ensures your guests are only exposed to the restaurants they frequent by creating a personalized home screen for every guest. If you're the only restaurant they're visiting, Wisely might as well be your own app - they'll see nothing else.

 

 

We hope walking through these concerns has taken some of concern out of creating a program for your guests. If you think it's exploring further, we'd love to chat.

 

  Request A Demo

 

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Wisely empowers restaurant groups to grow and sustain profitability by acquiring valuable new guests, converting them into regulars, and keeping them happy for life. Our software is easy-to-use and enhances productivity, so staff can focus on what really matters. For more information or media inquiries, please contact us at hello@getwisely.com.