Loyalty guide
Start with the next action you need
“More loyalty” is not a measurable brief. Decide whether the immediate priority is another visit, a higher-value order, a direct order, a referral, an event booking or useful feedback. One programme may support several goals, but its first campaign should have one clear job.
| Mechanic | Best suited to | Hospitality example | Watch closely |
|---|---|---|---|
| Stamp card | Frequent, easy-to-count visits or products | Coffee, lunch or brunch frequency | Reward cost, completion rate and visit interval |
| Points | Variable spend and product mix | Points based on qualifying spend | Liability, exclusions and perceived value |
| VIP membership | Recognition, access and high-value relationships | Priority benefits or member-only occasions | Benefit delivery and tier clarity |
| Coupon | A single time-bound action | Welcome or first-direct-order benefit | Expiry, one-time use and contribution margin |
| Gift card | Revenue before fulfilment and customer acquisition | Dining or experience gift | Expiry law, redemption and outstanding liability |
| Referral | Trackable customer introductions | Reward after a referred guest completes a qualifying visit | Fraud, existing customers and qualifying rules |
| Mini-game | Attention, participation and reward reveal | In-venue wheel linked to a neutral qualifying action | Prize odds, availability, promotion terms and review policy |
Protect margin before you publish
Model the full cost of the reward, including food cost, staff time, tax treatment, fulfilment and the possibility that a guest would have purchased anyway. High perceived value does not have to mean high cost. Access, recognition, progress and selective upgrades can be more effective than permanent discounts.
Build the campaign around the card
- Welcome the new member and make the first reward easy to understand.
- Trigger the next message from a meaningful event: visit, reward, birthday, inactivity, segment or campaign source.
- Limit frequency and suppress people who have already acted.
- Measure behaviour after enrolment, not only the number of cards installed.
- Review reward cost and outstanding liability alongside revenue.
Keep reviews separate from incentives
Do not exchange a reward, prize or game entry for a public review, a particular rating or a changed review. Collect private feedback where useful, route service recovery fairly, and make any public review request neutral.
Questions to take into a strategy call
- Which customer action would produce the most useful commercial change?
- How often can that action reasonably happen?
- What reward has high perceived value and controlled real cost?
- Can staff explain and process it during a busy service?
- Which data is genuinely needed, and how will preference and consent be respected?
- What result would make the programme worth continuing?