Customer appreciation is the foundation of any successful restaurant. Picture this: a regular who frequents your establishment for your mouth-watering dishes and inviting ambiance. They could easily opt for other dining options, but they choose your restaurant time and time again. This is what we call loyalty. In this blog post, we will explore into the customer loyalty programs for restaurants, shedding light on how these programs can not only show your appreciation to loyal patrons but also attract new ones.
We'll also provide you with valuable insights and ideas for implementing loyalty programs that keep your customers coming back for more, alongside strategic recommendations to elevate your gifting strategy with Giftpack's client gifting service.
What Are Restaurant Customer Loyalty Programs?
Restaurant loyalty programs are vital for retaining customers and gathering valuable data about their habits. In 2019, a survey of 2000 Americans found that 65% are more loyal to restaurants that offer rewards. These programs can increase revenue and build customer loyalty by rewarding repeat visits. How can you get started setting one up?
Defining Restaurant Loyalty Programs
A restaurant loyalty program is an organized structure that rewards consumers for their repeat business and loyalty. These programs can offer incentives, discounts, or exclusive benefits to keep customers returning. What are the goals of these programs?
The Primary Goals of Restaurant Loyalty Programs
Boosting Revenue and Retention
The primary goal is to keep customers returning, increase their lifetime value, and drive revenue for your restaurant. These programs can increase customer retention, leading to higher profitability. They are crucial for retaining customers in a competitive industry, such as the restaurant business. How can these programs help restaurants survive in a competitive market?
Rewarding Regulars
Customer loyalty programs are a great way for restaurants to keep their customers coming back and keep them happy. Guests can sign up for a restaurant's loyalty program, and the more times they visit, or the more money they spend, the more perks they get, from free appetizers or drinks to coupons or merch. What are the benefits of these programs?
Building a Loyal Community
Loyalty programs can help restaurants gain more insights into their customers and preferences. They can also help create a community of loyal customers who advocate for your restaurant. It can also increase customer retention and bring in more regular customers. How can you get started setting up a loyalty program?
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• Customer Appreciation Day • Closing Gifts For Buyers • Customer Loyalty And Retention • How To Build Brand Loyalty • Customer Rewards • Thank You Notes For Customer Appreciation • Customer Appreciation Week • Customer Loyalty Program Ideas • How To Measure Customer Loyalty • Thank You Gifts For Clients
Why You Need A Loyalty Program For Your Restaurants
Restaurant loyalty programs are vital to boosting customer retention and attracting new customers. Word-of-mouth marketing is an effective method for attracting new customers. Satisfied customers are eager to share their experiences, including their experience with your restaurant’s loyalty program. This form of marketing might attract more customers than other strategies.
Nearly 80% of customers remain loyal to a brand with a loyalty program. By allowing customers to convert their points into money, you can encourage them to return—loyalty members generally purchase more often and at higher prices than non-loyalty members. This can boost your revenue by 5–10%. In fact, improving customer loyalty by 5% can boost profits by 95%.
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10 Best Customer Loyalty Programs For Restaurants
1. Item-Based Rewards
This program offers a free item after a specific number of purchases—commonly referred to as “Buy 9, get the 10th free.”
Best for
Quick-service restaurants or high-frequency items like coffee, sandwiches, or smoothies.
Why it works
Encourages repeat visits and builds a habit through a simple reward structure.
2. Points-Based Loyalty Programs
Customers earn points based on their spending and can redeem them for food, discounts, or merchandise.
Best for
Full-service restaurants or multi-location chains with higher average order value.
Why it works
Drives larger purchases and repeat visits. Highly flexible and scalable.
3. Time-Sensitive Promotions
Rewards or discounts, such as birthday rewards, holiday offers, or slow-day deals, are offered for a limited time.
Best for
Restaurants need to boost traffic during off-peak hours or events.
Why it works
Creates urgency and re-engages customers who may have lapsed.
4. Subscription-Based Loyalty Programs
Customers pay a recurring fee in exchange for perks like monthly credits, priority service, or free delivery.
Best for
Restaurants with a loyal base and recurring services (e.g., coffee shops or meal subscriptions).
Why it works
Generates predictable revenue and deepens brand loyalty.
5. Online Ordering Rewards
Rewards are earned through app or website orders, encouraging digital adoption.
Best for
Restaurants with a delivery or takeout focus.
Why it works
Reduces dependency on third-party apps and brings customers into your owned ecosystem.
6. Digital Stamp Cards
A modern version of the punch card, where purchases are tracked digitally and automatically applied.
Best for
Smaller restaurants or cafes are looking for a simple, low-barrier loyalty system.
Why it works
Easy for customers to understand and participate in without sign-up friction.
7. Gamified Loyalty Systems
It adds an interactive component—such as spinning a wheel, surprise bonuses, or achievements—to the reward experience.
Best for
Brands targeting younger demographics or looking to build a fun brand identity.
Why it works
Increases emotional engagement and customer retention through entertainment.
8. Referral-Based Rewards
Customers receive rewards for referring friends who sign up or make a purchase.
Best for
Restaurants are launching new locations or growing a customer base quickly.
Why it works
Incentivizes organic growth and leverages social proof from existing customers.
9. Social Media-Driven Rewards
Incentives are tied to social interactions, such as tagging the restaurant, posting photos, or writing reviews.
Best for
Brands that rely on local awareness or word-of-mouth marketing.
Why it works
Increases digital visibility while reinforcing loyalty behavior.
10. Experience-Based Rewards
Customers unlock non-monetary perks like early access to new menus, exclusive tastings, or reserved seating.
Best for
Premium or concept restaurants that want to create exclusivity and community.
Why it works
Builds emotional connection and brand prestige beyond simple discounts.
4 Examples Of Successful Restaurant Reward Programs
1. MyMcDonald’s Rewards
McDonald’s offers a digital loyalty program where customers earn points for every dollar spent, redeemable for free meals. Customers can also earn bonus points by linking their credit or debit card to the McDonald’s mobile app, boosting customer engagement and retention. With its tiered rewards system, the program has proven to be a hit among customers and has helped increase customer loyalty.
2. Hut Rewards from Pizza Hut
Pizza Hut’s loyalty program, Hut Rewards, allows customers to earn points for every dollar spent on food online. The goal is to increase customer visit frequency and loyalty. The program is simple to join and offers exclusive offers, birthday rewards, and other perks.
The points earned can be used for free pizzas during delivery or carryout, enhancing the customer experience and incentivizing repeat purchases.
3. DD Perks® from Dunkin Donuts
Dunkin’ Donuts’ DD Perks® loyalty program rewards customers with points for every dollar spent, which can be exchanged for free drinks later. The program also offers additional perks for loyal customers, such as free beverages after a certain number of weekly purchases.
By leveraging digital payment cards and partnerships with other businesses, Dunkin’ Donuts has seen increased customer retention and engagement, with the mobile app surpassing 12 million downloads.
4. Starbucks Rewards
Starbucks, with its ubiquitous coffee shops, has a loyalty program that boasts over 24.2 million members in the United States alone. The program offers reward points for every dollar spent, which can be redeemed for gifts or free items.
By offering a prepaid card and a credit card with accelerated points, Starbucks ensures that customers have multiple ways to earn rewards and stay engaged with the brand. This has increased customer retention and overall retail sales for the coffee giant.
Related Reading
• Customer Loyalty Survey • How To Reward Customer Loyalty • Customer Appreciation Event Ideas • How To Create A Loyalty Program • Customer Loyalty Program Examples • B2B Customer Loyalty Programs • Types Of Customer Loyalty • Member Appreciation Ideas • Customer Recognition • Ideas For Customer Appreciation • Customer Appreciation Day Ideas For Banks • Complimentary Gifts For Customers • Customer Loyalty Ladder
What Do Successful Restaurant Loyalty Programs Have In Common?
Seamless Integration with Shopping Patterns
The most successful restaurant loyalty programs have a few things in common. They all connect with real shopping patterns – you come to the restaurant, make a payment, and get points automatically. Most of these programs use a mobile app where customers can scan codes or make payments for food. This makes earning and redeeming points a breeze and encourages repeat business.
Frictionless Earning and Redemption
A mobile app for a loyalty program makes it easier for customers to earn and redeem points. Successful programs have an easy, in-and-out process that attracts new customers and keeps existing ones returning for more.
Boosting Engagement with Exclusive Deals and Targeted Messaging
Digital loyalty programs provide a way to offer special deals and incentives to customers using the app. These exclusive deals give frequent customers even more reason to stick around. The apps provide a messaging platform between businesses and their customers. They can send messages about their latest offers and announcements, boosting customer engagement hands-free.
Data Hub for Customers, Engagement Tool for Businesses
Restaurant loyalty programs provide a data hub for customers. They can access information on their collected points, new offers, purchase history, and more. This keeps customers in the loop on the latest offers while helping businesses boost customer engagement. The key to a successful restaurant loyalty program is making the rules simple and accessible via the company’s website.
How To Get More Signups To Your Loyalty Program
Email Newsletters
Email newsletters are a great way to reach guests who have already agreed to share their personal information. In a newsletter, you can call out the incentives of your loyalty program to encourage adoption. Make sure to mention perks like your mobile app, birthday rewards, and gift cards in your email newsletters to keep customer engagement high.
Digital Receipts
Digital receipts create an easy way to capture the necessary information to enroll an existing customer into your loyalty program. By getting phone numbers and email addresses upfront; there should be limited additional information needed to opt into the loyalty program, which will increase the likelihood that they sign up.
Tie Credit Cards to Rewards Accounts
Connecting reward accounts to credit and debit cards will mean guests do not need to present a physical loyalty card or account number. Instead, anytime they swipe their card in-store, they receive loyalty points.
Reward Tracking on Smartphones
Providing an accessible way to track rewards will ensure customers know when they are close to unlocking a new incentive. 60% of consumers in the U.S. who belong to loyalty programs say they do so for special offers that aren’t available to others. Think about it - it's easy to justify that extra side dish if you’re about to unlock a loyalty reward. An app that gives guests points for every mobile order is an easy way to increase customer loyalty to your restaurant brand.
Invest in Customer-Facing Tablets and Terminals
Handheld devices and customer-facing POS terminals allow guests to be easily prompted to add their email addresses and personal information. By offering a simple opt-in checkbox, you can capture new loyalty members during their dining experience.
Start Building Meaningful Connections
At Giftpack, our driving force is to simplify the corporate gifting process while maximizing the impact of each gift. Utilizing our custom AI algorithm, we create highly customized scenario swag box options for you. We deliver globally and have an extremely user-friendly platform. We curate the most fitting gifts from a vast catalog of over 3.5 million products worldwide (which is ever-increasing).
By carefully considering an individual's basic demographics, preferences, social media activity, and digital footprint, we tailor each gift selection process regardless if the recipient is an employee, a customer, a VIP client, a friend, or a family member. With a wide range of locally and globally sourced gifts, we ensure that personalized gifting is accessible and achievable on a large scale, delivering meaningful connections across the globe.
Try Giftpack's client gifting service for free today.
5 Best Incentive Ideas For Your Loyalty Program
1. Welcome Drink for New Loyalty Customers
A welcome drink for new loyalty customers is a great way to encourage first-time sign-ups. Once these customers are within your loyalty network, they can work to unlock point-driven rewards. If your cocktails are pricier, feel free to offer a free food item instead.
2. Discount on a Meal
Setting a certain percentage off a meal or certain menu items in exchange for a high number of reward points is highly valued by guests. Guests will likely spend more and may also be more likely to invite others who are new to dining with you.
3. Free Delivery
Offering a free delivery code in exchange for a certain number of reward pointshttps://www.bigcommerce.com/blog/coupon-marketing/) can be appealing to loyal online customers. It can also be a useful tactic to convert on-premise regulars into off-premise guests.
4. Free Appetizer on Your Nth Visit
Benchmarking a reward on a number of visits encourages repeat dining, and, as we know, repeat customers spend more than new customers. If your appetizers are on the pricier side, you could easily switch the reward to a free dessert or any other low-cost item.
5. Free Branded Tote Bag, Hat, or Coozie
Branded merchandise in exchange for loyalty points is a great way to both show your appreciation for loyal customers as well as maximize on free marketing. Let your customer base model off your merch!
Related Reading
• Customer Appreciation Events • Customer Recognition Programs • Inexpensive Customer Appreciation Gifts • Customer Loyalty Marketing Strategy • Customer Loyalty Program Software • Customer Loyalty Management • Customer Loyalty Strategies • Loyalty Program Integration • Loyalty Program Automation • Loyalty Business Model • Business Loyalty Program • Best Business Loyalty Programs • Customer Loyalty in Business • Business Customer Loyalty
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• Basic demographics • Preferences • Social media activity • Digital footprint of the recipient
AI-Powered Personalization for Every Recipient
This tailored approach ensures that each gift is personalized, whether it is for an employee, customer, VIP client, friend, or family member. Giftpack boasts a vast catalog of over 3.5 million products globally, enabling them to provide a wide range of gift options that resonate with the recipient. The platform also supports global delivery, making it convenient for businesses to send personalized gifts to their clients and employees across the world.
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