Cinnabon Launches Loyalty Program as Mobile Rewards Become Table Stakes for QSRs
Where once mobile rewards programs were the purview of only the most digitally forward-thinking restaurant chains, now it is noteworthy when a restaurant does not offer customers a way to win points for their loyalty. Cinnabon announced Monday (Sept. 20) that it is launching its first app and rewards program, featuring per-dollar points and special offers.
“We’ve already been extending our reach beyond traditional mall bakeries through food delivery and e-commerce partnerships, streetside bakeries and grocery products,” Kendall Ware, chief brand officer at Cinnabon, said in a statement. “The new Cinnabon app, Cinnabon Rewards program and online ordering is just the latest way we’re meeting fans where they are.”
The Context
Noting the opportunity digital loyalty programs present for quick-service restaurants (QSRs) to retain their digital customers even as consumers return to their life away from home, many restaurant brands have been rolling out new rewards offerings this year. In February, Dutch Bros Coffee launched a rewards program that drew in 1.4 million users in its first month. In June, Popeyes launched Popeyes Rewards and McDonald’s rolled out MyMcDonald’s Rewards nationwide. In September, Burger King launched a similar nationwide rollout of its Royal Perks program.
Related news: Dutch Bros' Digital Rewards Program Draws Over 1 Million Users In First Month
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By the Numbers
Data from the PYMNTS Delivering on Restaurant Rewards report, created in collaboration with Paytronix, find that consumers want to be reward for the value of their spending and the number of their visits and that QSR customers want to receive free food and personalized offers.
Read more: NEW DATA: Two-Thirds Of Consumers Find Restaurant Rewards Impersonal
What the Experts are Saying
“Guest expectations have changed forever. Exceeding them requires not only improving the loyalty offering but using program data to improve the guest experience,” Michelle Tempesta, head of product and marketing for Paytronix, told PYMNTS. “Brands like Panera Bread and Jimmy John’s positioned themselves well by being early adopters of Apple Pay and Google Pay. They enabled diners to not only pay but to pass their loyalty identifier via a contactless tap at the point of sale. Guests feel safe, and the brands deliver an exceptional experience.”
The savviest rewards programs are segmenting their users into increasingly specific categories, to offer rewards more tailored to the individual customer’s needs.
“AI allows us to make the best-informed decisions, and for us, it was a no-brainer,” Andrew Rebhun, El Pollo Loco’s vice president of digital, told PYMNTS. “The thing with AI is the more you use it, the better the software and the back-end system gets.”
See also: How El Pollo Loco Uses AI To Help Personalize Rewards Program Offerings
Red Robin Turns Onboarding Data Into A 'Day One' Personalized Loyalty Experience