5 ways QSR brands can incorporate gamification into rewards and loyalty campaigns
Making loyalty programs fun and engaging benefits diners and restaurants alike.
The business of quick-service restaurants (QSRs) is an increasingly competitive one, marked by thin margins, higher costs, and rapidly changing customer preferences. But that doesn’t mean it can’t be fun.
Because of those harsh marketing truths, establishing and retaining customer loyalty, and relationship marketing in general, is critical in the QSR world. That’s why adding gamificationinto loyalty programs levels up your program and increases consumer engagement. Just because typical loyalty rewards programs are mostly based on earning and redeeming points, doesn’t mean yours has to be (or even should be) so transactional and, well… boooooring.
After all, there’s more to games than the reward. Playing any game is fun.
Taking the time to integrate fun, game-like elements into loyalty rewards programs has several benefits. For starters, email/SMS messages that suggest something fun or rewarding get higher engagement than those offering only transactional benefits. And the more opportunities you have to engage customers, the more opportunity you have to collect more and different types of data, which can be used in future promotions and communications.
Here are five ways QSR brands can incorporate gamification into rewards and loyalty campaigns.
1. Progress bars
Games are all about progress: achieving that next level or challenge. Behavioral science shows that people become more motivated to complete a goal the closer they get to accomplishing it.
The easiest and most effective way to implement this in a loyalty program is the addition of a simple progress bar. Show them exactly how many points or purchases away they are from reaching that next level. Also, be sure to remind them of the benefits they’ll receive once that next level is reached.
See for instance how KFC used gamification in its highly successful loyalty program.
2. Digital punch cards
Punch cards have built-in progress bars. And with the transition from physical to digital cards, they’re also more easily integrated into a far broader range of activities than mere point-of-sale transactions.
This makes punch cards fast and easy to implement, as well as easy to introduce and explain to customers. What’s more, they satisfy the basic goal of any loyalty program: acknowledging customers’ business and inspiring them to return for more.
Researchers at the University of Chicago concluded that goal-oriented punch cards not only may lead to more sales than the cost of the reward, but that how customers respond to achieving rewards can predict future loyalty and engagement.
3. Task-based rewards
It’s not all about the sale. There are many ways to reward customers for certain types of behaviors, particularly those that open the door to future engagement opportunities. Download the app? Get points. Subscribe to SMS alerts? More points. Share a review or invite a friend? You get the picture.
While these actions may not generate an immediate sale, or revenue, they set the stage for more sales in the future. And, they have the potential to generate more personal information about your customers to help with relevant messaging and offers. More on that in the next tip.
4. Surveys, polls, quizzes
The ability to personalize customer communications relies on accurate personal information. And information that customers willingly provide directly (called zero-party data) is the most accurate and reliable.
Surveys, quizzes, and polls are time-tested ways to collect information from customers. And rewarding participation with valued rewards is an equally proven way to motivate customers to respond.
For instance, according to our Consumer Trends 2024 Consumer Trends Index, 91% are willing to trade personal information in return for discounts or coupons. Further, gamifying the experience (“This or that” polls for instance, or customizing products through available choices) makes it even more fun and enjoyable to engage.
5. Instant wins
Instant wins are interactive experiences that deliver an immediate benefit, such as a discount for a purchase made within a certain timeline. This can take the form of dynamic content like spinning a digital price wheel, or clicking a blurred image to reveal a discount code/offer.
These are likely to generate a massive spike in clicks, and allow brands to capitalize on human curiosity - more so than a plain, static offer.
Whether you’re looking to juice up your email marketing, or your loyalty program, or both, bringing gamification elements to your relationship marketing efforts is a smart way to liven up the customer experience and boost engagement.
Make it fun and rewarding for your loyal customers.
For more details on how to accomplish this, plus real-world examples of companies that have done so with success, download the free 2024 Gamification Guide for QSRs and see how Marigold can help you get your game on today.