Mark Brandau has a great profile on restaurant social CRM/Loyalty programs. Check out the bit about Punchh below:
Peter Pappas, a seven-unit franchisee of Baldinos Giant Jersey Subs in North Carolina, discontinued paper loyalty cards years ago “because employees could just give things away” by over-punching friends’ cards.
But with the mobile app Punchh, customers only get a “punch” on their virtual loyalty card by taking a picture of their receipt. The app reports the transaction to Baldinos’ point-of-sale system and Pappas’ analytics dashboard. After racking up five visits, Punchh users can bring the full “punch card” on their phone to redeem a $6-off discount that only can be spent on the premises of one Baldinos location one time — triggered and verified by the smartphone’s GPS capability.
“In four months, I have a 20-percent redemption rate, which is beating the pants off my e-mail club,” Pappas said. “It hasn’t increased the check average, but it has increased guest frequency. … It’s nice, because we’d been absent from a loyalty program for a long time because it wasn’t measurable.”
He also likes to see the Facebook posts that Punchh users can automatically send out each time they get their virtual cards punched, which increases his restaurants’ awareness online and drives social referrals.
Thanks!! Mark for a great piece. Read the full article here.