How Rewards Drives Profits for Restaurants

A Strategic Investment in Loyalty:
In today’s competitive restaurant landscape, loyalty programs are an essential tool for driving profits, reducing costs, and creating long-term, profitable customer relationships. GETS Rewards is a Hybrid Coalition loyalty Program and is specifically designed to help restaurant owners maximize profitability by attracting new customers and repeat visits, fostering brand loyalty, and increasing customer spending.

Why Loyalty Programs Are Essential for Restaurant Profitability:
Loyalty programs are more than just discounts—they’re powerful profit-drivers. By encouraging customers to return, increasing the average check size, and attracting new diners, GETS Rewards helps restaurants leverage loyalty for tangible financial gains.

Revenue Boost from Repeat Customers: Research shows that loyal customers spend more per visit and return more frequently. In fact, loyal customers spend up to 67% more than new customers, as they tend to make larger orders, add extras, or upgrade items. For restaurants, this means more consistent revenue streams from a reliable customer base.

Profitability Through Retention:
It costs 5 to 25 times more to acquire a new customer than to retain an existing one. Loyalty programs like GETS Rewards focus on customer retention, which reduces marketing and acquisition costs, ultimately improving profit margins. By investing in retention, restaurants secure long-term profitability while minimizing the expenses associated with constant customer acquisition efforts.

Capturing the Discount-Seeking Diners:
With 85% of consumers stating that deals and discounts influence where they dine, GETS Rewards meets customer demand for value-driven dining experiences. Restaurants can attract deal-seeking diners without the deep discounting that can erode profit margins, as loyalty rewards are specifically tailored to increase repeat visits rather than one-off sales.

The ROI of Rewards

Proven Profit-Driving Potential:
The return on investment (ROI) for loyalty programs is undeniable. With GETS Rewards, restaurants can measure success in real terms, including increased ticket sizes, customer retention, and incremental revenue gains:

Increased Customer Spend:
Members of loyalty programs often spend significantly more than non-members. 37% of consumers report that they would spend more at a restaurant that offers a loyalty program. Restaurants can capitalize on this tendency by offering rewards for high-value items, such as combo meals, premium ingredients, or special beverages, driving up the average check size.

Higher Frequency and Customer Visits: 
Customers enrolled in loyalty programs visit 40% more often than non-members, meaning that each loyal customer contributes more to revenue than a casual visitor. GETS Rewards encourages consistent visits by rewarding patrons for return dining, turning occasional diners into regulars and helping restaurants achieve steady revenue flow.

Long-Term Profitability and Value:
Increasing customer retention by as little as 5% can lead to a profit increase of 25-95% due to the cumulative effect of repeat visits and higher spend per visit. For restaurants, this boost in customer lifetime value can significantly improve profitability, especially when considering that loyal customers tend to stay with brands over time and are less price-sensitive.

How GETS Rewards Increases Profits

A closer look at key program benefits attracting and retaining deal-seeking diners:

Appeal to Price-Sensitive Patrons:
In the current economic climate, 60% of consumers cite deals as a deciding factor in where they choose to dine. With GETS Rewards, restaurants can strategically target price-sensitive customers, offering discounts and rewards that entice them to dine without over-discounting or eroding profit margins. The program allows restaurants to compete on value while still maintaining profitability.

Turning Discounts into Loyalty:
Rather than offering blanket discounts, GETS Rewards provides tailored deals that encourage long-term loyalty. 79% of customers are willing to give a restaurant another chance if they receive a discount for a return visit. This re-engagement tactic is particularly valuable for restaurants looking to retain customers and increase lifetime value after a subpar experience.

Driving Higher Spend Through Emotional Loyalty:

Creating Deeper Customer Connections:
Emotional loyalty, where customers feel personally connected to a brand, drives higher spend. 52% of customers are more likely to recommend restaurants they’re loyal to, and 88% find personalized food recommendations appealing. With GETS Rewards, restaurants can leverage customer data to offer tailored promotions and recommendations, which foster emotional loyalty and keep customers coming back for a higher-spending experience.

Encouraging High-Value Purchases:
Loyalty members are more inclined to upgrade their orders, add sides, or try premium options. By offering rewards for these high-value purchases, GETS Rewards nudges customers to spend more on each visit, effectively increasing average ticket size without any additional marketing expenses.

Meeting Digital Expectations for Convenience

Aligning with Customer Preferences: 
Modern diners expect digital convenience, with 56% of Millennials preferring app-based loyalty programs. GETS Rewards’ app-based system streamlines the loyalty experience, making it easy for customers to engage, redeem points, and receive rewards right from their phones. This digital convenience not only boosts participation but also increases spending, as loyal members tend to visit and order more frequently.

Data-Driven Profit Optimization:
With GETS Rewards, restaurants gain access to valuable data on customer behavior. By understanding which items are popular among loyalty members, or identifying times when they’re likely to dine, restaurants can adjust their offerings and promotions to match customer preferences, ultimately boosting both sales and profits. Data-driven insights also allow for more targeted marketing, helping restaurants to maximize ROI from their loyalty efforts.

Cross-Promotion Opportunities with the Coalition:

Maximizing Brand Exposure Across Coalition Partners:
GETS Rewards is part of Getslocal’s Hybrid Coalition, meaning it allows customers to earn and redeem points across multiple participating brands. 73% of consumers prefer a multi-brand loyalty program, as it increases the perceived value of points earned and makes the program more enticing. For restaurants, this means more exposure to potential customers who are part of the broader loyalty ecosystem, driving new customer acquisition without the need for extra advertising.

Cross-Selling and Cross-Promotion: 
GETS Rewards encourages diners to explore other coalition brands, introducing restaurants to customers who may not have discovered them otherwise. By collaborating with other local businesses, restaurants can boost visibility and attract new customers, all while keeping profits high by relying on coalition-wide brand loyalty.

Proven Tactics to Maximize Profitability:
To make the most out of GETS Rewards, here are some proven tactics for restaurant owners to drive profitability through loyalty:

Offer Immediate Rewards for Higher Impact:
Customers respond best to instant gratification, with 76% of diners preferring immediate rewards over accumulating points. By offering small discounts on first-time orders or free appetizers for loyalty sign-ups, restaurants can immediately hook customers and encourage them to make larger purchases on subsequent visits.

Promote High-Margin Items with Rewards:
GETS Rewards allows restaurants to tailor incentives towards high-margin menu items like appetizers, drinks, and desserts. By using rewards to draw attention to these items, restaurants increase average spend per visit and improve overall profitability.

Host Exclusive Member Events:
Loyalty members value exclusivity. Hosting special events, early tastings of new menu items, or themed dinners exclusively for GETS Rewards members provides an elevated experience that encourages loyalty and increases spend. Such events also create a unique marketing opportunity for word-of-mouth promotion, attracting both new and returning diners.

Leverage Automated Redemption:
Simplifying the redemption process with auto-redeem options (which 72% of diners prefer) enhances customer satisfaction and keeps loyalty engagement high. When customers don’t have to manually track points or remember to redeem rewards, they’re more likely to remain loyal and continue their patronage, ultimately boosting profits through consistent repeat business.

Loyalty as a Long-Term Profit Strategy: 

Why Restaurants Should Invest in GETS Rewards:
As competition among restaurants intensifies, and consumer expectations continue to rise, loyalty programs like GETS Rewards are an essential component of a profitable business strategy. Beyond short-term discounts, loyalty programs drive consistent revenue and improve customer relationships in ways that generic advertising simply can’t achieve.

By joining GETS Rewards, restaurant owners gain access to a powerful loyalty ecosystem that helps them build a sustainable revenue model, capitalize on repeat business, and attract new diners without sacrificing profit margins. With its tailored rewards, customer insights, and digital convenience, GETS Rewards provides a comprehensive solution for restaurant owners looking to turn loyal customers into consistent revenue drivers.

In today’s rapidly evolving market, the right loyalty program isn’t just a tool for customer retention—it’s a strategic investment that can transform a restaurant’s profit potential and build a loyal customer base ready to support them for years to come.

GETS Rewards offers restaurant owners an unparalleled opportunity to boost profitability, engage diners, and create a brand that customers choose time and time again.

The BOTTOM LINE for  Restaurants

EXAMPLE:

Ryan's Dining Habit:

• Visits "Big Mamma's Pizzeria" 10 times a year.
• Average spend: £50 per visit, totaling £500 annually.

Reward Accumulation:

• Earns 10% in Solo points for each sale.
• Each Solo point is worth £0.01.
• Accumulates 5,000 points over a year, valued at £50.

Redemption Ratio:

• One redemption transaction for every 10 issue transactions.
• Average sale: £50 per visit.

Voucher Strategy:

• Minimum voucher deal is double the average sale (£100).
• Uses 5,000 points for a £50 voucher towards a £100 purchase.

Customer Upsell:

• Doubles average purchase from £50 to £100.
• 10% points issued have no initial cost, helping sales at full retail value.

Financial Impact:

• Gross Profit Margin (GPM) of 80%, Cost of Goods Sold (COGS) of 20%.
• 5,000 points cost £10 wholesale.
• On a £100 sale, £50 covers COGS, making the additional points cost-free.

Outcome:

• Big Mamma's Pizzeria ends the year with £550 in the bank.
• Ryan saves £50 on his favorite pizza.

Win-Win Situation:

• The pizzeria boosts sales and customer loyalty.
• Ryan enjoys the benefits of his loyalty points.

Redemption Day: Turning Points into Priceless Moments 

At Big Mamma's Pizzeria, today was no ordinary day for Ryan. It was "Redemption Day"—the moment when loyal customers like him get to savor the rewards of their dedication. For months, Ryan had collected Solo points with each slice, each laugh, each visit. Each point was a small thank-you from Big Mamma’s, a way to say, "We’re glad you’re here."

 Today, Ryan had enough points for his first big reward: £50 off his next pizza order, as long as he hit a £100 spend. Instead of his usual pizza, he scanned the menu with fresh eyes, eyeing those deluxe toppings he usually skipped, the stuffed crust he’d been meaning to try, and even a new dessert he’d heard rave reviews about. He could practically taste the upgrade. 

When he placed his order, there was a spark of joy in the restaurant too. For Big Mamma's, Redemption Day wasn’t just about discounts—it was a celebration of loyalty. Ryan’s doubled spend that day wasn’t just a win for him but a win for the pizzeria. His loyalty and excitement echoed the success of their reward program. 

With pizza boxes in hand and a smile on his face, Ryan left Big Mamma's that day feeling valued. And as he took that first bite of his upgraded meal, he knew that Redemption Day would keep him coming back, over and over again.

Summary
Ryan dines at Big Mamma's Pizzeria ten times a year, spending £50 per visit. Through their loyalty program, he earns points worth £50, which he uses toward a £100 purchase—doubling his usual spend. Big Mamma's benefits from increased sales with minimal cost, thanks to their 80% profit margin, while Ryan enjoys savings on his favorite pizza. A win-win for both!