Tips and Tricks
Does your restaurant have regular clients? Let’s talk about how much money customer retention can make for your restaurant.
Customer retention is defined by your restaurant's activities that keep your guests coming back. Retaining guests is 7-8 times cheaper than getting new ones.
Research done by Frederick Reichheld claims that “increasing customer retention rates by 5% increases profits by 25% to 95%.” These numbers may seem a bit unrealistic at first but many surveys reach the same conclusion. Repeat customers are much easier to sell to and have higher average order value than first time buyers. Also repeat customers are a lot more likely to recommend your restaurant to a friend or a colleague. All that leads to increase in profits.
So the real question is can you afford not to retain your restaurant’s guests?
Did I just read your mind? True, pre-pandemic customer retention had a huge focus on the restaurants’ service, menu and location.
Personally, I see the pandemic as an opportunity. All your current, past and future guests are gathered in one place - online.
To create customer retention, should start with social channels. You will need a social media strategy that focuses on creating a sense of community, a sense of belonging. For example, connect emotionally with your followers - tell your restaurant’s and staff’s stories. Make people feel like they know you and your business, so they have a reason to come back.
Another important aspect of your strategy should be user-generated content. Repost your guests’ post. It may sound silly but it’s a fantastic phycology trick. We, as people, want what others are having. On that note, when a client gives you a review or a praise, share that too!
If you are looking for some tips and tricks on how to sell more takeaway via social media, We got you covered! Get inspiration for your next social media post on Instagram here and if you prefer Facebook, click here.
People love the attention when they visit their favorite restaurant - the owner knows their name, the waiter knows their favorite dish. But how realistic is that a restaurant staff can offer this level of service to more than 10 people? It’s not.
So what is the real secret to retaining clients? Loyalty programs.
If big market players such as Burger King and McDonald’s are investing in loyalty programs in 2021, then that should be your next move too.
Why do loyalty programs work? Loyalty programs provide you with your guest’s contact information - their name, phone number and email address. And that is all you need to send personalized offers that will keep your guests returning!
People love special offers. You don't have to take my word for it! Studies show that 83% of consumers change their buying behaviour based on coupons and discounts.
Before you start persuading yourself how much money you will lose by offering a 10% discount or a free soda on a Monday night, let’s look at some more data.
People who use coupons spend 24% more than other consumers. Seems like after all that free soda will pay off. Restaurants that use Quickorder’s loyalty program claim the average of 26% bigger orders and 27% more loyal customers.
First things first, you need to get a loyalty program. The best way to get people to join your loyalty program during pandemic is via your takeaway ordering page.
Start sending people personalized offers, as soon as they sign up to be part of your restaurant’s loyalty program. We all know first impressions matter, so give new guests 10% off on the first online purchase. With a loyalty program from Quickorder, you can segment the people in your loyalty program. For example, reach everyone who ordered a family size pizza during the last week and send them a free soda coupon if they place a new order today!
Pro tip - always add an expiration date to your offers. The sooner the expiration date, the better. This will trigger people’s fear of missing out on a good offer. Read more tips, how to get a profitable loyalty program in your restaurant here.
Why is NOW a great time to invest in a loyalty program? You have a bit more time on your hands to set up the loyalty program and get used to communicating with your guests. Implementing a loyalty program in your mobile ordering system makes it easy to get people to sign up and it will also make you less dependent on third-party delivery services. Most importantly, once the pandemic is over, you can reach your guests directly and fill up your restaurant every day!
Are you ready to get started with retaining your guest and boosting your sales? Contact us for a non binding offer.
Desi is the Social Media manager for Quickorder. She has great insight into how restaurants can improve their sales using social media and other digital marketing strategies.
Tips and Tricks
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