How restaurant loyalty programs can drive more traffic and a better customer experience

Diving certificate:

• Restaurant customers who freely switch between online and store ordering channels buy more often and spend more than customers who stick to a single channelaccording to PAR Punchh Research published last week. The customer loyalty and engagement software company investigated Millions of customer data points of hundreds of brands that use their platform.
• The findings, according to PAR Punchh, highlight the need for restaurants to offer user-friendly, seamless experiences to maximize the potential of multi-channel shoppers. Loyalty apps can fill this role by enhancing the in-store and online experience alike.
• “A powerful loyalty platform is not just a nice-to-have; it is an absolute game-changer for seamless customer experiences,” Savneet Singh, CEO of PAR TechnologyCX Dive told us in an email. “By integrating deeply into a brand’s ordering and delivery ecosystems, loyalty programs transform every interaction into an opportunity for convenience.”

Diving insight:

Loyalty programs traditionally encourage visits through simple incentives like discounts, but modern technology can help restaurants create great experiences and make dining out more convenient.

The key is to connect loyalty programs to the company’s broader tech ecosystem, including payment, ordering and delivery systems, Singh said, so CX leaders can access more data points while improving the services available to customers.

A powerful loyalty app can pull in customer data to improve the ordering experience no matter where or when they order. The app can make it easy to access past orders, provide personalized recommendations, and display preferred payment options.

Loyalty apps can also enhance the restaurant experience. At Snooze AM Eatery, for example, customers can use the mobile app to track wait times, get on waitlists for tables, and secure preferred seating as they move up the loyalty program tiers.

“A modern restaurant loyalty app needs to offer more than just rewards – it should be a digital powerhouse that transforms the way customers interact,” Singh said.

Digital ordering capabilities should continue to be supported by more traditional loyalty features like personalized messages and exclusive offers, Singh said. Modern additions like gamification through challenges, tiered benefits and social media integration that allows customers to share their rewards can help round out a loyalty program.