Technology
Revenge dining: What's loyalty got to do with it?
Dave Werner, VP of Product Marketing at HungerRush, describes how restaurants can capitalize on revenge dining by investing in personalized customer engagement.
June 16, 2023 by David Werner — Vice President of Product Marketing, HungerRush
As the restaurant industry rebounds from the trials and tribulations of recent times, a new trend is emerging — revenge dining. Eager patrons, starved of social interactions and delightful culinary experiences, are flocking back to restaurants with a vengeance despite rising inflation. To seize this golden opportunity and foster customer loyalty, establishments must embrace personalized loyalty and rewards programs that cater to the unique preferences of their patrons.
Understanding revenge dining
Revenge dining encapsulates the collective desire to savor extraordinary dining experiences after a prolonged period of restricted access to restaurants. Patrons are seeking not just sustenance, but a memorable experience to make up for lost time. In fact, the Census Department found that consumer spending at restaurants and bars has gone up by 13% in March 2023 compared to 2022. Capitalizing on this trend requires restaurants to tailor their offerings to the individual preferences of their customers.
The power of personalization
By implementing a personalized loyalty and rewards program, restaurants can forge deeper connections with their customers. Gathering data on dining habits, favorite dishes and preferred dining occasions can help establishments curate unique experiences that resonate with individual tastes. Consumers are also more than willing to share their personal information if it leads to a better experience. Based on a recent survey from HungerRush, 61% of consumers are comfortable giving out their information in exchange for relevant discounts and offerings, tailored more to their likes and preferences. Collecting this valuable information enables restaurants to surprise and delight customers, driving repeat visits and encouraging them to share their positive experiences with others. They are also key to driving more foot traffic — 55% of consumers visit establishments where they earn rewards two times per month.
Tailoring rewards
A successful loyalty program is one that rewards customers in a way that feels personalized and special. For restaurants looking for the most well-received loyalty programs, points-based systems on purchases are the most preferred (52%) by consumers today followed by punch-card programs (23%). A well-crafted loyalty program goes beyond just rewards though as it provides an opportunity for restaurants to elevate the customer experience. By utilizing the collected data, establishments can offer personalized recommendations, surprise celebrations for special occasions, or even personalized menu suggestions based on past preferences. This personalized touch creates a sense of exclusivity, making customers feel valued and appreciated for their loyalty.
Creating a seamless experience
To fully capitalize on revenge dining and the power of personalized loyalty programs, it is crucial for restaurants to leverage technology. Implementing user-friendly apps, digital platforms, and email marketing allows customers to easily engage with the loyalty program, track their rewards, and receive personalized recommendations. Moreover, such platforms enable restaurants to gather real-time feedback, ensuring continuous improvement and better understanding of customer preferences.
In the age of revenge dining, restaurants have a unique opportunity to drive customer loyalty by embracing personalized loyalty and rewards programs. By capturing and utilizing valuable customer data, establishments can tailor their offerings, rewards, and experiences to match individual preferences. The era of revenge dining presents a gateway to success for restaurants that are ready to adapt and invest in personalized customer engagement and those that want to create a connected restaurant experience.
About David Werner
