How Restaurant Gift Cards bring you profits

Product expansions are one of the most enticing ways for businesses to widen their revenue streams. Restaurant businesses are no different. There are many ways to promote restaurants and ensure repeat visits from customers. Restaurants should keep coming up with new attractive incentives to ensure customer loyalty as well as revisits. These could include packaged versions of an original ingredient like jam or barbeque sauce, you could also go as far as expanding into merchandise like t-shirts, keychains, shot glasses, mugs etc. While all these are good sources of customer engagement, there is another form of incentive many restaurants in India don’t incorporate that are gift cards. Restaurant gift cards bring you profits and once you start deploying them you will see enhanced customer loyalty and attract more footfall because frankly, nobody would say to a discounted or potentially free meal!

So should you invest in restaurant gift cards? What are the perks of deploying these at your own restaurants? Let’s take a look.
Remember, if you’re going to attract more and more customers make sure you’re up to date on all compliances. This gives a relief of quality products to the customers by displaying your FSSAI license. If your FSSAI license has expired, consider going for an FSSAI license renewal.

Also, take a peek at the Checklist to start a restaurant business in India to make sure everything is in order.

Restaurant Gift Cards: Advantages & How to Deploy

Restaurant gift cards

Gift cards are good for restaurant businesses

Big Bills

Your restaurant staff can be trained to upsell and market your gift cards into the mix when they’re making recommendations. For cashiers, this process can be integrated seamlessly at the Point of Sale(POS) while the customer’s order is rung up towards the kitchen. (Check out: POS software). In the case of waiters and servers, it could be added at the time or before presenting the bill so the costs can be included there and then with the bill generated. Check Out: 20 Restaurant Waiter Training Tips.

Non-Perishable Products

Most products sold in a restaurant are perishable food items which require immediate consumption. In contrast, restaurant gift cards are non-perishable products which don’t get spoilt. So, you can still keep them to deploy at a later time if they haven’t created the buzz you hoped for in the first go. Deploy them at special occasions as well as for routine days by going for an all seasons inclusive card design. It also acts as a souvenir for the customers to remind them that you are still around and that you are always ready to serve them the next time they decide to come around to your restaurant.

Year-Long Sales

Do not limit yourself to special occasions for deploying restaurant gift cards. Think about the various gifting opportunities like Mother’s Day, Father’s Day, Birthdays (look at Starbucks).

In addition, to this India literally an endless amount of holidays, special occasions, festivals which can be utilized to ensure more footfall or orders from your restaurant.  However, do keep in mind that how you project the gift cards theme to your restaurant is very important and depends upon the theme of the restaurant. For example, you cannot be too pushy with the gift cards in a fine dining type restaurant. For that type of an institution, you can deploy a call to action on the bottom of the menu or have your waiting staff very gently introduce them to your rewards program. restaurant gift cards like these entice a customer to visit again and again

Starbucks’ Rewards Program for Birthday!

Immediate Revenue

A great advantage of using restaurant gift cards is that you make immediate revenue from the sales. The receiver of the gift card has to pay upfront to the restaurant and leads to an immediate sale. In some cases, if the gift card is never redeemed, or is lost, the restaurant makes a profit. Ofcourse, if the card is reddemed the revenue for that meal or that reward has already been accounted for.

Future Visits Guaranteed

Well of course nothing is guaranteed and you can never be sure about these things but, securing a gift card sale will help ensure the fact that someone or the other will come to your restaurant referred by a good experience from the previous diner and this will not only attract more customers but it will also help build a reputation for your restaurant as one of those who values the service above the money .

Brand Power

Restaurant gift cards empower your restaurant with the most important tool of it all for restaurants i.e. brand awareness. Of course when a customer with your restaurant’s gift card talks to their friends, family, acquaintances, they will sometime or the other how they have a gift card from this awesome restaurant. Obviously, you should be including your phone number, address etc for new customers as well as the gift card holder to get in touch with you regarding an order, or reserving a table or could be anything else. The whole point is that your restaurant is getting the exposure it needs, people are talking about your restaurant in a positive way. From there on, next opportunity people get they are going to visit your restaurant. Great isn’t it?

Things to look out for while implementing Restaurant Gift Cards

  1. Don’t put an expiry date: Gift Cards are to be treated like cash. If you put an expiry date on a “gift” card, it loses its value. Honor the agreement and don’t put any expiry dates. For this, you might have to seek a vendor who is agreeable not to put expiry dates and doesn’t have a problem with inactive cards.
  2. Put high Rupee Value levels: Let’s say for example that your average bill comes out to be around Rs. 250, consider offering increments of cards of values of Rs 300, Rs, 500 and Rs. 1000. If a customer buys a high-end gift card they will keep returning to avail the money left in the account. This also presents you with an opportunity to impress the customer on more than one occasion, leading to a brand loyalty and also increased chances of word-of-mouth recommendations.
  3. Upselling Opportunities: If a gift card receiver is getting his total bill for the food reduced because of the card, they wouldn’t ordering a little bit more just to enjoy the perks! Use this to upsell your best dishes with the most revenue and catered towards the customer’s tastes, A win-win situation for all.

So it is pretty apparent, that, gift cards could really inspire the culture and bring more and more footfall to your restaurant and eventually increase sales, outreach among other things to help your restaurant be full of food and wine! Literally and figuratively.
Don’t forget if you don’t have FSSAI license for your restaurant call us at +91-8750008585 to get it now.

 

 

 

 

 

 

How Restaurant Gift Cards bring you profits
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2018-11-02T12:17:23+00:00Food Business Startup|Comments Off on How Restaurant Gift Cards bring you profits
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