1. Remove the Strings!
How to Build Guest Loyalty with
Email Marketing
Joe Gabriel
Fishbowl

2. Copy of Presentation
Joe Gabriel
jgabriel@fishbowl.com
www.fishbowl.com/nra
Twitter/@fishbowljoe
Facebook/@fishbowljoe

3. Is Your Online Marketing Strategy
Working?

4. Are you caught up in the…

5. What IS Guest Loyalty?

6. Loyalty Works
57% of Adults said they would
be more likely to visit a
restaurant that offered a
customer loyalty program
rather than one that did not
Source: National Restaurant Association

7. 80% of your sales come from 20% of
your customers

8. Acquisition works GREAT with Loyalty

9. Question?
What is the one thing you need to…
– Make an online reservation?
– Set up a Facebook,
Foursquare or Twitter
account?
– Write a review on Yelp?
– Place an online order?

10. An Email Address!

11. Email is Big
Source: Visible Gains

12. Growing Bigger

13. How your guests want to hear from you

14. Big ROI with Email
Source: Direct Marketing Association, The Power of Direct
Marketing, 2011-2012

15. Email is Permissive

17. Set Up Your Email Account

18. Easy with Single Log-In Management Tools
Manage from
one place

19. Build Your Email List
• In Store
• Paper Sign Up Slips
• Staff Engagement & Incentives
• POP
• To-Go Bags
• Window Clings
• Placemats
• Staff Buttons
• Online
• Website Join Form
• Social Media Sites
• Contests/Sweepstakes
• Forward to a Friend
• Online Reservations & Ordering
• Other Sources
• Public & Charity Events
• Mobile Phone

20. Brand Ambassadors
Mobile
Devices
New
Media
Marketing
Social
Email
Media
#1 choice for ages
25 to 65+

21. Elements of a successful Email program
Mix of 3 elements: Brand,
Community, Loyalty
 2-3 Loyalty “gifts” annually to drive
enrollment and baseline ROI (ex: BOGO
entrée gifts on Welcome, Birthday,
Anniversary)
 12-18 brand and community messages
per year
 1-2 other “Surprise” offers, usually one-
day offers
 = Total of 18-24 communications per
year

22. “But I hate to discount”….

23. Sorry, you have to Remove the Strings

24. Strings you say?
 Strings turn Gifts into
Coupons
 Restrictions encourage
the guest to NOT
redeem
 Thank You= Loyalty

25. And thank your Guests 2-3X per year

26. Case Study
WELCOME GIFT
 Free Menu Item
 AVG Cost of Gift $9.50
 57 % Open Rate
 12K Member List
AVG Check- $55

27. Case Study
Birthday Promo
 13,563 members
 No-strings attached
Birthday Gift
 40% redemption rates
(versus 8-12% Fishbowl
average)
 Results: $200,000 in
directly attributable sales
 …plus great goodwill and
lots of new diners

28. Case Study
FREE Birthday Pizza
 50% Open Rate
 No strings attached
 Built list over 12K
 46% Redemption Rate

29. Other Loyalty Campaign Ideas
• Belated Birthday
• Thank You for Dining
• Wedding Anniversary
• “We Miss You”

30. Email Customer Appreciation Promo
overwood (wood-fired american
kitchen) Father’s day at
Overwood offers Dad a classic gift
(we’re not telling) along with a $5
gift Certificate for his next visit!
Kids---take our “Dad census” and
win a free dessert…Special
Father’s Day menu available all
day!
ROI:
Sales up $1,546 (17%)
Cost of $83 (+ Old Spice)
Plus bouncebacks…

31. All-In Per Store ROI
Assumptions:
Table-service, $16 PPA x 2.5 guests = $ 40 average check per table
2,000 list members per store; 3 loyalty gifts (Welcome/Anniversary, B-day, Survey)
$ 9 avg. discount, 10% average redemption, 40% direct costs, 20% cannibalization
per store, full year: Loyalty gifts only +1 visit/yr
loyalty gift redemptions 600 600
additional undiscounted visits 0 2,000
total “program” visits 600 2,600
(x) check average = Added Sales $ 24,000 $ 104,000
(-) 20% cannibalization on offers (4,800) (4,800)
(=) Net incremental sales $ 19,200 $ 99,200
(-) All discounts (600 x $ 9) (5,400) (5,400)
(-) 40% direct costs (on incremental sales) (7,680) (39,680)
(=) Added Profit before program costs $ 6,120 $ 54,120

32. Questions?

33. THANK YOU!
Joe Gabriel
Fishbowl
jgabriel@fishbowl.com
www.fishbowl.com/nra
Twitter/@fishbowljoe
Facebook/@fishbowljoe