The food and beverage industry is an extremely competitive industry. The stiff competition means that you are not only competing against other products like your own but also other alternatives. In comparison to other industries, the slim margins and relatively low price tags means that it’s imperative to sell in high volumes. Sales volumes can be increased by getting customers to repeatedly visit your store or to increase the amount when purchasing. This is where rewards programs come in handy.
Rewards programs for food delivery companies, supermarket chains and luxury restaurants are fundamentally different from what you have come to expect from other industries. One example of their differentiation is the kind of rewards they offer. Discount coupons aren’t the biggest draw-ins for this industry, however, free treats, complimentary delivery and branded items do the job.
The industry saw a spike in demand these past two years due to the global pandemic, unlike other verticals such as fashion who were struggling to maintain contact with their loyal customers. The projected market volume in the food and beverage industry will reach $476,177 billion by 2025, according to a study on Statista.
Wondering what it looks like in practice? Here are five examples of effective rewards programs in the grocery and food & beverage industry.
Welbee’s Loyalty Club
A national supermarket chain that has recently digitised their offerings to include a rewards program on their mobile application and website. Following their rebrand when merging four different supermarket chains to form Welbee’s, it was a natural step to upgrade their loyalty program from their previous system. One result of these supermarkets joining forces was that customers can now shop at eight different locations around the Maltese Islands and benefit from the exclusive offers that are available to their mobile rewards scheme users.
– When spending €50 or more at any of their 8 store locations you are entitles to choose either €3 cash in card or 400 bonus points
– With every €100 spent you are entitled to choose either €7 cash in card or 1000 bonus points or 18 bottles of water or 5 bottles of soft drinks.
Welbee’s Loyalty Club is powered by Loyale.
Alajmo is a Michelin star restaurant group based in Italy with several chains around the globe. In an increasingly crowded space, Alajmo differentiates itself by rewarding their customers with smiles for dining at any of their multiple restaurants across the globe. They fostered the notion of positive reinforcement to a tee, as customers automatically feel happier when getting rewarded with smiles rather than points. With a name that makes you feel part of an elite group, Alajmo+ Club creates a sense of exclusivity right off the bat.
Another aspect that makes Alajmo a cut above the rest is the incorporation of a top-up feature. Members may top-up their account without necessarily making a purchase in order to benefit from more rewards or to enter into a higher tier.
Alajmo’s rewards program led to significant increase in customer lifetime value, and most customers decided to take advantage of it.
My Panino Giusto
Panino Giusto is an Italian casual dining restaurant chain that in the 80s revolutionised the Milanese lunch routine, introducing the panino as a gastronomic idea of high quality. The advantages of enrolling in Panino Giusto’s rewards scheme are the following;
– Priority Lane: Takeaway, delivery and table payments
– Exclusive advantages: points, cashback, coupons and offers
Panino Giusto thrive off of their tier system which motivates customers to reach Panino Club status which allows them to unlock exclusive events, previews and behind the scenes footage. This is a perfect motivator to encourage customers to spend more when visiting their outlets or to visit their outlets on a regular basis.
Zen Sushi to Go
Zen Sushi to Go is Malta’s first sushi takeaway restaurant to digitise their offering with a website, mobile app and an integrated rewards platform. Zen Sushi to Go has implemented its rewards program in an effort to provide customers with a truly omnichannel experience. Zen Sushi to Go’s primary platform is its physical stores, however they also have an eCommerce website and mobile application. Therefore, connecting the in-store and online experience made perfect sense.
Customers can save their favourite menu items for quicker access as well as add entire previous orders to their basket. Users can also scan the QR code featured within the app in store to claim or redeem their points. This allows for a seamless experience between the company’s physical and online stores.
Costa Coffee Club
Costa Coffee Club is an amazing example of a food and beverage rewards scheme done right. Whilst there are multiple reasons as to why, let’s hone in on the first two. Firstly, their rewards scheme makes use of premium rewards levels to motivate customers. When customers reach the top status, they unlock exclusive rewards such as special invitations.
These tiers are the perfect motivator for customers to shop more to achieve that desired Golden bean status. The thrill of the chase is even sweeter than the reward, however in this case a free cup of coffee hits the spot nicely.
Want to learn more about our custom builds?