Customer Frequency: Keep your most valuable customers coming back
Just how much is your most valuable customer worth? More than you would think. According to Venga, your top 5% of customers bring in 20% of your restaurant’s total revenue. That’s a small number of people bringing in a lot of your revenue.
Where do you take your friends for a meal? Your favorite restaurant, of course! Your most frequent customers will likely introduce friends, coworkers, and family to your establishment, as well—and are some of your most likely online reviewers too. So they are absolutely key to increasing your customer base.
This select group of customers is extremely valuable, so it’s important to keep them coming back.
- First, identify them. Who are your most valuable customers? And how often do they visit? With your POS system, it should be easy to track customers—especially delivery and carryout customers. Take a look at which customers buy more than once a month, and how much they spend per order.
- Dig into your customer data to find out what your MVP’s are ordering, and look for similarities between them. These ordering trends help you identify the staple menu items that your best customers keep coming back for. Identify other items that complement your customers’ favorites, and offer specials to increase order size. Be creative. Do your repeat customers buy a lot of Hawaiian pizzas? Consider an add-on discount when they also purchase bread sticks.
- Get to know them. Your employees probably already recognize most, if not all, of your most frequent guests. They may know that John Smith on Main Street always orders extra bacon on his pizza. Have your employees enter notes and reminders into your POS system, so that any employee can give John the level of service he has come to expect. If your POS supports it, add a reminder that pops up for staff whenever a frequent customer orders.
- Use a loyalty program to grow your repeat customer base. This will encourage more customers to come in more frequently, and reward them for doing so. For more on this, check out Restaurant Marketing: Retain Valuable Customers with a Loyalty Program.
- Find out what they think. Whether you use a formal survey, or simply take the time to ask questions, find out what frequent guests think about your service and food quality. They will notice if quality or service changes.
In addition to helping you keep a finger on the pulse of your restaurant, asking your customers’ opinion has a huge impact on customer loyalty. In a previous post, we talked about Harvard Business Review study that shows that just the act of surveying customers increased retention and loyalty.
Get to know your most valuable customers and work to keep them coming back, and watch your repeat sales grow.