Restaurants typically do not know the customer. Customers visit a restaurant, order food and drinks, pay and leave but there is no identification of the customer that can be used to understand their behavior and incentivize them with targeted offers. Card-based loyalty schemes are used as a way to overcome this, but only a minority of customers enrol and even then may fail to use the card.
Mobile self-service uses the perfect device for identifying the customer and providing a channel to communicate offers to them either within the outlet or remotely to drive additional visits. That is their smartphone.
The frequency and times of visits can be tracked to identify the most loyal customers. The individual items ordered within the App are recorded in a database.
Below is a diagram showing customer relationship evolution over time.
Connect with the Customer
By offering QikServe, operators can start to Connect with the Customer, and capture behaviour and buying patterns. At this stage the customer gets the benefits of enhanced service and convenience and the operator achieves the operational benefits of increased sales through second service, enhanced table turns, and reduced staff costs.
This is the first stage in the journey. The stages are:
- Connect with the Customer
- Know the Customer
- Incentivize the Customer
Know the Customer
As customers are acquired through QikServe, a customer database is constructed automatically. Customer visits and actual items ordered are recorded. This is then used in stage 2 – Know the Customer. The database can be analyzed to understand customer behaviour. We can then answer questions such as:
- Which customers visit more than once a month?
- Who are my highest value customers?
- What do they like to eat or drink?
- Who are my most loyal customers?
Incentivize the Customer
The customer behaviour and purchase information can then be used in stage 3 – Incentivize the Customer. Highly relevant targeted offers can be constructed and personalized for the individual customer. Offers are displayed automatically at the appropriate point within the App. Example offers could be:
|A group of four ordered two main meals and two kids meals.||A family of four ordered 2 kids meals.||Free kids meal on next visit.|
|A group placed multiple beer and wine orders.||A mixed group of friends.||Free drink on next visit.|
|A group of two ordered glasses of wine.||A pair of friends.||Buy two glasses get rest of bottle free on next visit.|
|A customer has used the App to order main and dessert for two.||A couple.||2-for-1 on appetizers on next visit.|
As an alternative to free items, normal promotional incentives can be used such as bogof (buy one get one free), 25% off, etc. Offers can be time-limited to drive footfall at quiet periods. The mobile channel can be used to communicate the offers in real-time.
Being able to target customers down to an individual level requires a new way of thinking. It is much more effective than traditional segmentation by demographic which assumes that all males or females of the same age like the same things!
Customers can be targeted either in-outlet or remotely to drive additional visits.
Following on from incentivizing the customer is building loyalty. There is no need to collect stamps or issue plastic cards. Loyalty scores are automatically credited through use of the App. Unlike loyalty cards, the points can also be inspected and used from within the App. It’s like a loyalty card with a screen and keyboard.
For example a customer may get a free drink, main, or dessert after a certain number of purchases.
Using the behavioural data, rewards can be personalized for the individual customer. Operators can get suppliers to sponsor items to reduce costs or generate an income stream. The customer benefits from instant gratification because the recording of eligible events is automated within the App.
The marketing solution is implemented by the QikServe Engage product.