Best Customers Equal Best Profits
Pairing your most frequent diners and your highest profit menu items leads restaurants down the path of success.
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Every restaurant owner loves to see the faces of repeat customers as they come through their doors. But many do not understand just how much these important diners contribute to the bottom line. Taking care of an establishment's best customers has a ripple effect in increased word of mouth advertising, loyalty and reputation as well as increased sales numbers.
Understand the Full Impact of Repeat Customers
To understand the full impact repeat business has on profitability, it is important to understand where and how loyal customers dine. Customer Loyalty Key to Success
, an article provided by the National Restaurant Association, offers some eye-opening numbers and statistics regarding the percentage of gross revenue generated by loyal patrons. When these high profit customers place high profit orders from your menu, the effects are multiplied rapidly. Read the section titled "Recipe and Menu Costing" for a quick look at the importance of knowing your profit margins per menu selection.
Dedicated Repeat Customers are a Powerful Asset
Repeat customers provide your business with far more than multiple dinner tickets. The expectation of good value for their dollar and a positive experience translates into priceless advertising. Your reputation is based on the perception of quality and value held in the community and surrounding area. Repeat customers are often vocal proponents of their favorite establishment and need to be treated as such.
Coupons and Punch Cards
Customers like the value and the reward of being special patrons. Targeted coupons and punch cards can be a specific reward for those who visit your restaurant frequently. Be creative when pursuing a customer reward program and find something which matches your theme and ambiance. Target your highest profit meals with your most loyal customers to gain the most out of any program you select.
More Than Customer Loyalty
Most software programs available on the market will provide a tracking system for customer loyalty and help produce punch cards or coupons. As an added bonus, other reports can also be generated to allow an establishment to monitor all tickets from a particular customer or other combinations of information. Digital Dining
offers a complete POS program which can track much more than repeat business. Custom reports will allow restaurant owners and managers to customize advertising, track menu purchases by day of the week and create a rewards program for repeat customers.
Menu costing and customer loyalty tracking are two powerful indicators of your bottom line. Knowing the most profitable foods and the most profitable customers will allow a restaurant to combine the two elements for success and find a pathway to increased and reliable revenues.
Written by: Caroline Retzer