Why Your Restaurant Should Abandon Coupons And Embrace Loyalty Programs

By credibly.com

When business is slow, many restaurants turn to discounts and coupons in order to get more people through the door. However, discounting is rarely an effective strategy for developing regular customers, and can even end up hurting your business. We spoke to Donald Burns (aka The Restaurant Coach™) to learn why loyalty programs are a much wiser path to success than giving away your product.

CREDIBLY: What’s the main problem with a restaurant using coupons to attract customers?

DONALD BURNS: I find that people who use coupons are loyal only to the coupon. They’re not loyal to the restaurant or the brand, they’re only loyal to the deal they can get. I use this example a lot: Have you ever gone to Apple and gotten a

Redefining route to market using loyalty programs

By naftal Nyabuto Route to market is how you sell your product and how you plan your sales. A company's success is defined by how well their route to market is developed. No matter how great your product is, choosing the right retail channel and distributor can be a key determinant of success when entering a new market. A business should put more emphasis in hiring the right people to define and map its route to market in order to propel the success of sales strategy .While there are dozens of strategies to consider when entering a new market, this post will focus on the three key strategies.

Evaluate the distribution landscape for your product and Identify the strongest distribution channels for your business
Use technology to create loyalty in your channels
Use feedback mechanism to continuously re-evaluate the market.

1. Evaluate the distribution landscape for your product and Identify the strongest distribution channels for your

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Relationships, Not Rewards, Are Key To Successful Loyalty Programs

Consumers' overall engagement in traditional loyalty programs has declined consistently over the past four years and retailers are looking to refocus their loyalty initiatives to compete more effectively. In the past, points programs, discounts, punch cards and rewards played starring roles in loyalty initiatives. But industry experts are finding that these tactics no longer impact consumers' overall loyalty to a brand or retailer.

"Loyalty has a definition to it that is dated," said Andy O'Dell, Co-Founder and Chief Strategy Officer at Clutch, in an interview with Retail TouchPoints. "A lot of people consider loyalty a one-dimensional experience: I spend money and I get points or I buy a certain number of things and I get something for that."

Tiers and thresholds also have been a staple in programs. If consumers reach a specific spending threshold, they reach a new program tier or level. Although these formats are supposed to tout

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Loyalty Fatigue: Turning Loyalty Programs into Genuine Customer Relationships

By Arnaud Bouchard A number of loyalty programs have operated the same way for decades. Customers buy a favorite product. They are rewarded with points. In time, they cash in those points. The objective of the loyalty program is, in theory, ‘achieved’. Given that there has been no fundamental change in the process for years, it is no surprise that 50% of consumers worldwide are dissatisfied with the quality of loyalty programs and their features[1] . Fatigue and stale familiarity have set in: only half of households that belong to loyalty programs are active participants[2]. (more…)

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The Power to Transform Purchase Decisions with Loyalty Programs

Every sale is a win, but converting customers into loyal brand advocates is the ultimate goal. You can quickly transform one-time shoppers into repeat customers by designing a loyalty program. Keep the following guidelines in mind when you decide to create a system that your existing and prospective customers will actively use, and learn how the program influences their purchasing behaviors. (more…)

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Designing the Right Rewards Program for Insurance Customers

Author: Lauren Reus

This blog is the first in a four-part series related to the Lenati whitepaper titled, “Designing the Right Rewards Program for Your Business.” This particular post focuses on the insurance industry and key considerations for loyalty marketers managing an existing rewards program, or building a new rewards program. The following posts in this series will cover the banking, retail, and high-tech industries.
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Implementing successful staff/Sales team incentives

by Staffmotivationmatters.co.uk

With strong sales being the key to success, it’s imperative that you motivate your team to bring in business and boost that bottom line – which is why every organisation should consider incorporating sales incentives into their reward programme. Generating a healthy sales pipeline is one of the biggest challenges in any business, so it pays to provide staff incentives that are directly linked to sales performance – what better way to encourage extra effort than to show that those efforts will be recognised? See how mzawadi has successfully launched such programmes.
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7 Successful loyalty programmes

Did you know it costs a business about 5-10X more to acquire a new customer than it does to sell to an existing one? Not only that, but on average, current customers spend 67% more than new customers. In light of statistics like these, businesses must think about what they are doing to keep their customers coming back to their business. And if you’re like 65% of marketers, your company has implemented a loyalty program. (more…)

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