Craig and Dianne LeMieux, breadth developers and franchisees for Tropical Smoothie Cafe, couldn’t be happier with their brand’s adherence program. The brace accept opened 75-plus locations in Northern Ohio, Michigan, and Colorado, accept about 50 added awash and in assorted stages of development, and, with partners, own 10 cafes themselves.
The admission of the Tropical Smoothie Accolade app in July 2016 has fabricated a cogent aberration in sales, says Craig LeMieux, who batten with us for this article.
“That accolade arrangement for adherence brings our barter aback added about and increases transactions. It’s a key allotment of our business model,” he says. The app, which works at any Tropical Smoothie store, is not the alone chump adherence apparatus they apply to access echo business.
On an boilerplate of already a week, their authorization locations accelerate argument letters alms appropriate incentives. Individualized for anniversary location, the letters about are beatific on canicule aback the acclimate at those locations adeptness be a barrier to seeing barter appear through their doors.
“Customers today appetite to apperceive that the cast notices their adherence and are adored for it,” says LeMieux. He and his wife additionally apperceive their customers. “I’ve apparent some brands accolade their barter with accolade afterwards authoritative a assertive bulk of purchases. A chump at Tropical Smoothie Cafe may be a little added health-conscious than your boilerplate quick account restaurant customer. That’s why we action article that we apperceive absolutely that our chump wants. About it is money off or a chargeless smoothie, depending on the offer.”
The brand’s access are a abridged account of three account now bearing able chump adherence success for franchises: 1) accept to what your barter say they appetite and like; 2) activate locally and, if possible, aggrandize to national; and 3) accomplish it accessible as accessible for barter to accompany the affairs and be common patrons.
The act of listening, broadly defined, is additionally proving able for brands that address to their customers’ bigger instincts. Positive chump acknowledgment to community-based accommodating contributions and sponsorships is cogent franchisors and franchisees akin that barter acknowledge them cerebration above the buck.
“Customer adherence is a continued game,” says George W. Tinsley, II, carnality admiral and managing accomplice of Tinsley Ancestors Concessions, a fast-growing aggregation currently managing 40 locations in the Miami and Tampa International airports. “Anybody accepting into it should be in it for the continued haul.”
The ancestors business, founded in 1982 by Tinsley’s father, George W. Tinsley, Sr., includes backing in KFC, TGI Fridays, Starbucks, Pizza Hut, Jose Cuervo Tequileria, Quiznos, and more. The arch Tinsley opened his aboriginal authorization in 1984, a KFC (see his contour in MUF, Q2 2017).
For Tinsley and his father, one archetype of the continued d is anniversary any cast offers fabricated by KFC. “But what we begin formed best was actuality actively complex in the association our barter appear from–people charge that to body a loyalty. Inside the store, it’s about architecture a aggregation that’s actively acquainted and absolutely enjoys confined our customers.”
So the Tinsleys actively accepted association involvement. It began early, with the arch Tinsley bartering abundant craven dinners to augment a accomplished school, and has aback broadcast to accessory academy awards ceremonies for advisers and their children. It all builds an agent adeptness that encourages abysmal chump familiarity, says the adolescent Tinsley.
“We attending at anybody as stakeholders in our business. In our KFCs, advisers can adumbrate the adjustment for 50 to 70 percent of our customers,” he says. That charge additionally includes academy scholarships for employees. The Tinsleys additionally body partnerships with sports teams, accouterment commons aback the teams fly. The after-effects of this access allege for themselves: while KFC’s boilerplate abundance of acquirement is 60 to 65 days, the Tinsley-run locations boilerplate is every 10 days.
What works for one authorization cast or industry adeptness not assignment for another, but the aforementioned three attempt (listening to customers, absorption locally, and authoritative the affairs accessible to accompany and use)–customized to alone circumstances, abide the same.
Jersey Mike’s Shore Credibility Rewards affairs is auspiciously auspicious barter to accrue and redeem points, but the brand’s adherence affairs absolutely begins afore a new abundance alike opens. In the canicule arch up to a admirable opening, advisers of the new abundance arrangement adjoining businesses to let them apperceive that during the store’s aboriginal bristles canicule they will accept a chargeless sub if they accomplish a donation to a bounded school.
This approach, says John Helm, who owns 15 Jersey Mike’s Subs in New Jersey, has resulted in “lines out the aperture for bristles canicule straight. Bodies are bushing their stomachs and we’re adopting accoutrements of dollars for bounded schools.”
Beyond that bounded accent is Jersey Mike’s civic “Month of Giving” every March, culminating in a “Day of Giving” area this year 1,360 restaurants donated 100 percent of sales, accidental added than $6 actor to 170 charities nationwide. Locally, the attack aloft added than $377,492 this year for Make-A-Wish New Jersey.
“That day there are no discounts,” Helm says, “but the association comes in and supports what we’re doing. Sales are amateur that day.” The association amicableness that begins with bounded charities and association organizations feeds into circadian sales, too, Helm says.
Jersey Mike’s adherence affairs began in archetypal bite agenda form, but the card-based arrangement was accessible to abuse, so abundant so that it was discontinued for a time, says Rich Hope, Jersey Mike’s arch business officer. With its architecture updated–it’s now accessible as an app–Shore Credibility Rewards is a abundant success. Forty-five percent of the brand’s barter are allotment of the program, added than alert the akin advised advantageous for a chump adherence program, Hope says.
During admirable openings, Jersey Mike’s advisers don’t advance barter to accept in the program, but they are accustomed advice about it. Signing bodies up during their orders accepted to add too abundant time to a transaction, so the affairs is now accessible with a simple argument bulletin and downloadable app. The acknowledgment has been tremendous: the Shore Credibility affairs has added than 9 actor associates and is abacus 35,000 new ones weekly, says Hope.
“Our rewards affairs is simple, accessible to get started with, and it’s accessible to redeem points,” he says. “Over 50 percent of our sales are from our adherence program. At our best stores, three of every four barter are adherence affairs customers. Now we accept a huge abject of bodies who are business for us, cogent our adventure for us.”
Pearle Eyes EyeCare Centers, founded in 1961, has a altered affectionate of chump adherence claiming than the archetypal QSR (price, quality, chump service, for example). The hurdle instead is educating its barter that the brand’s franchisees do added than accommodate eyeglass frames and lenses, alike admitting those articles represent the majority of its revenue.
Multi-unit Pearle Eyes franchisee Chris Butcher, doctor of optometry and COO of several locations in Florida, has been sending a committed aggregation to association events. His ambition is to accord the accessible a adventitious to acknowledge what the cast can do by alms a chargeless blush eyes or apparition test, or answering questions about insurance, eyeglasses, or how to advance advantageous apparition for all ancestors members–and conceivably accept them accomplish an arrangement to appear in. Already that aboriginal arrangement has been made, Pearle again emphasizes its acquaintance as a healthcare provider and its adeptness to do added than aloof advertise glasses.
“We are earning the assurance of the patient,” says Butcher, “and we appetite the acquaintance they accept to be memorable abundant so they appear aback in a year. You may charge glasses, but the allotment that’s abiding is eye health.” Activity out to accommodated bodies by accommodating in association contest to allotment his stores’ eye bloom expertise, he says, “is a way to collaborate with bodies area they’re at.”
For added than 30 years, Taco John’s has deployed a reliable tactic to activation chump adherence and bottom traffic: Taco Tuesday. “It’s a archetypal anatomy of chump adherence program,” says Tamra Kennedy, a nine-unit Taco John franchisee whose franchising career began in the franchise’s accumulated offices in 1984.
“We accept congenital assurance with our barter through the apprehensive taco,” says Kennedy, “and we do see some barter alone on Tuesdays. But we can calculation on that, and we acknowledge it.”
A few years ago, barter asked if Taco Tuesdays could accommodate bendable carapace tacos too. The cast listened and responded with a yes. Chump acknowledgment was huge, says Kennedy, with bendable carapace tacos outselling brittle by two to one. “They accepted that we responded to what they absolutely wanted,” she says.
Taco John’s has additionally paid absorption to the agenda skills–or abridgement thereof–of some of its customers, whose generational acquaintance still leans against application corpuscle phones as phones. The cast still has a cardboard bite agenda for breakfasts, but it additionally has an app with a accolade system, and it’s working. “We apperceive that, about speaking, our bedfellow analysis boilerplate is college aback it includes accolade items–and that they feel accept about acclimation added items. It’s all allotment of the all-embracing picture,” she says.
Kennedy has abstruse that chump adherence is “a alliance amid compassionate barter and accomplishing their needs. Everybody wants a acceptable deal, and if there’s a way to save a brace of bucks and accept a abundant meal, again I appetite to be the abode you anticipate of first. It becomes a catechism of strategically allotment what to abatement and how to bazaar that discount.”
And during new card account launches, she’s acceptable with samples. New steak burritos were aboriginal presented on the house, and aback salsa confined debuted, guests were accustomed chargeless accoutrements of nacho chips to animate them to arch to the salsa bar. Nor does she absence an befalling to babble up and allotment advice with customers.
“We allocution to bodies about what’s on the horizon, alike at the drive-through window, and we put samples on people’s trays,” she says. “Most bodies appetite in on the secret, and they’re activity to be agitated if you don’t acquaint them.”
Pie Bristles Pizza is aloof bristles years out of the gate, admitting it is allotment of Rave Restaurant Group, which has been franchising its Pizza Inn cast aback 1963. Its chump adherence program, Circle of Crust, has been out advanced from the start. The app, which replaced a card-based program, offers upgraded rewards, online ordering, and automatically adds accolade points, amid added features. Barter acquire a point for every dollar spent and are adored with $10 aback they ability 100 points.
Kerry Goebel, one of Pie Five’s founders, is seeing college analysis averages for Circle of Band members, but he’s aloof as aflame about the advantageous abstracts to be harvested about what his barter are ordering.
“We can see spending and affairs habits and acknowledgment questions like, ‘Is this what you want?’ We can acquaint article and watch how our loyal barter react,” he says. Recently, Pie Bristles debuted a cauliflower band as a limited-time action at a brace of locations. “It was affairs so abundant we couldn’t accumulate it in stock,” Goebel says. “Now, bodies are advancing every anniversary for this band and it will become a abiding accession to the menu.”
The advice acquired from the app’s users is basic to the brand’s continuing success and approaching growth, he says. “We are innovative, but we accept to break with what’s admired by our customers. We can be added acclimatized about what we cycle out with an alternate affairs that’s mutually beneficial.”
Loyalty accounts now account about 30 percent of transactions, a allotment that is growing at Pie Five’s 78 locations in 20 states. Goebel, forth with his brother, sister, and ancestor (Dave Goebel, above Applebee’s CEO; profiled in MUF Q4 2016), additionally owns 12 Pie Bristles locations in Kansas and Missouri.
If anyone understands the differences and interactions amid authorization brands, it’s Rahul Marwah, who manages operations and development for the Denco Ancestors of companies. His parents bought their aboriginal franchise, a 7-Eleven, in 1983. Today the Denco Ancestors owns 25 Denny’s, 10 Subways, 7 Popeyes Louisiana Kitchen, and 3 7-Eleven stores, as able-bodied as Marriott, Hilton, Choice Hotels, and InterContinental Hotel Group hotels.
With this big-picture perspective, Marwah, who calls himself “technically a Millennial,” is a bit of a agnostic on the amount of adherence programs, at atomic in his own life. “I participate in all of them,” he says, “but it absolutely doesn’t drive my decisions.”
And he sees some lag in the about-face from cardboard to digital–a problem, he says, “because bodies accept chock-full absent to backpack cards and coupons, and I anticipate a lot of brands haven’t ample this out yet.” Hotel brands, whose franchisors atone franchisees for apartment accustomed abroad with becoming points, do drive echo business with such programs, however.
What he does see as a advantageous access are networks of retailers that collectively participate in a rewards program–such as Plenti, a 3-year-old rewards affairs from American Express that let associates acquire credibility in one abode and use them at another–until AmEx shut it bottomward on July 10.
For a rewards or adherence affairs to be effective, the amount point has to be right, he adds. “If you’re talking about a meal with an boilerplate admission of $28 to $40, I don’t anticipate you’re activity to accept that aforementioned full-service dining area added than already a month. But if you are able to participate in a arrangement with assorted brands, again it’s an befalling for all boats to rise.”
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