Article

Fast casuals dominate social media web

Innovative operators keep the fast casual segment ahead of the pack through social media strategies.

August 10, 2010 by

By Amanda French

At the 2010 National Restaurant Association Restaurant, Hotel-Motel, it was standing room only during the panel discussion called Fast Casual Differentiators: Make Your Brand Standout in the New Market Economy. The high level of attendance made it clear that the fast casual category isn't just a passing phenomenon. And with sales of the Top 100 chains in excess of $17.5 billion in 2009, the segment is leading the industry charge.

We've decided to take an in-depth look at what separates the segment from the rest and what truly makes it shine. This week, we take a look at the segment's emphasis on social media.

Facebook. Twitter. Four Square. Consumers and food executives are familiar with social media outlets like these, but how have fast casuals differentiated from other restaurant segments such as QSRs?

Linda Duke, CEO of Duke Marketing, contributes the rise of fast casuals to the “savvy” and innovative operators that lead the segment, and implemented early on social media strategies into their marketing plan.

“The use of social media has become important and a cost effective way for reaching customers,” Duke said.

And unlike quick-service concepts, fast casuals engage fans and followers with more than just offers. Duke said many have created discussion opportunities for fans to talk with other fans and chances to share pictures and stories about their experiences.

According to Paul Barron, founder of fastcasual.com, 71 percent of fast casuals use social media and 75 percent of consumers expect restaurants to provide information through these social media outlets.

The top outlets consumers found most useful were: websites (92 percent), Facebook (84 percent) and Twitter (80 percent). Additionally, 78 percent of consumers use their mobile phones to access information.

“Social media is a dialogue, not a monologue,” said Melissa Simpson, manager of social media for Firehouse Subs. “It’s no different than having a conversation with customers in your dining room.”

Firehouse Subs joined the social media wave because customers were talking about them. It also gave the company another way to give fans and followers an opportunity to be involved in the decision- making process. Also, customers want to be connected to founders and local franchisees.

John Pepper, CEO and founder of Boloco Inspired Burritos, was one of the first fast casual operators to be recognized for his embrace of social media as way to connect with guests. He tweets regularly and personally responds to Boloco’s fans and followers.

“It has been fun and rewarding,” Pepper said. “I built up a lot of really good relationships.”

While some fast casuals have seen an increase in sales since making a presence on social media outlets, Pepper said Boloco hasn’t seen a correlation between its social media presence and sales. He doesn’t consider social media as the sole factor when trying to increase sales, but believes it is an important component of branding.

What fast casuals do with social media

Red Mango and Panera Bread have both used social media to announce new product launches – spread through their Facebook and Twitter pages. Meanwhile, Rubio’s Fresh Mexican Grill uses its social media presence as an opportunity to push its e-club.

Rubio’s gave San Diego residents a coupon for a free fish taco to promote a win for the San Diego Chargers during the NFL Playoffs earlier this year.

San Diego Charger’s fans had to print off a coupon for their free fish taco, sign up for Rubio’s e-club and visit a San Diego Rubio’s to redeem the coupon.

Even if the home team lost, Rubio’s was prepared to offer one free regular-sized drink coupon to fans.

Fast casuals also use social media to help recover from bad press or a bad customer experience.

“Every customer deserves a response,” Pepper said.

Duke said fast casuals can integrate social media into digital menu boards and in-store kiosks — especially as their use spreads throughout the industry. However, the ultimate goal is to be original with social media and build up loyal patronage.

“Restaurant operators must stand out to be the consumer’s choice, and communicate with them with whatever media or method is applicable,” she said.