As restaurants seek to differentiate their loyalty programs and make them more effective in recognizing and rewarding good customers, some are turning to technologies (integrated in P.O.S. systems or processed by stand-alone terminals) that enable real-time rewards at the point of purchase. In addition to issuing certificates or other redemption tools on the spot, these systems can also provide printouts for program members with information on their point balances or convey messages about events, promotions, and program news. "Real-time loyalty programs have the power to generate interest at the point of sale and give staff a way to immediately interact with customers and convey that they are, indeed, valued," says Malcolm Fowler, vp and gm, Ernex. "It also reduces the dependency on training servers in every nuance of the program," he says. Michael Klauber, co-proprietor, Michael’s on East, Sarasota, FL, whose loyalty program features real-time rewards, agrees that members like the immediate recognition and gratification. And, they don’t have to wait for things to come in the mail, a strong advantage considering the evidence that a large percentage of consumers leave loyalty rewards programs because they grow tired of waiting to accumulate points and receive certificates. Another benefit, says Michael, is the cost savings on printing and mailing point balances and certificates to his Connoisseur Club members. Michael says that point-of-purchase printouts are also a major communication vehicle. "We offer trips for Club members, which is something we announce and promote this way," he says. Malcolm agrees that it’s an effective way to inform members about point balances and/or if they’ve accrued enough to redeem, announce promotions such as double points periods or special events, contests, or simply thank members for their patronage. BRIEFING Newsletter - July/August 2005 Related Articles and Links |
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