Bill Hanifin
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Carrabba’s Italian Grill stands apart from many of its chain restaurant competitors. Sure, the food is freshly prepared, the wood-burning grill adds ambiance to the setting, and the service is excellent, but I was thinking about their approach to building customer loyalty.
Looking at several national competitors in quick-serve (QSR) and white-table restaurant chains, I found that Starbucks, TGI Fridays, Dunkin’ Donuts, Tasti D-Lite all had rewards programs offering points for dollars spent in the location. Crate & Barrel as well as a host of national specialty retailers are partnered with Shopkick, offering Kick Rewards for purchase transactions as well as checking-in at the store and scanning selected product bar codes.
Carrabba’s has selected a different path, one that is principally communication driven, using direct mail, SMS and location based services to deliver offers, promotions and – just this week (see graphic) – money off coupons.
The Amici Club was launched in 2010 with enrollment available both on-line and in restaurants. I encountered the program as I suspect many people did – by filling out a 3×5 card placed on the dinner table. Talk about old school, but Carrabba’s says it has enrolled over 1 Million people to date.
Since my enrollment, Carrabba’s has been a cautious new friend, treating me with respect. I’ve received mostly emails and a few direct mail pieces offering something special related to a holiday or inviting me to a cause related fund-raising dinner. I’ve been paying attention to their mailings because they are not beating me to death, assuming that just because I signed up that I’m their newest “best friend”.
The parsing of the direct and email invitations I have received is a good example of how to manage a customer communication stream. Smartly coordinated communications can move people from enrollment to purchase to survey, leading to additional visits and a willingness to recommend the restaurant to others. In sum, Carrabba’s is effectively managing the customer loyalty lifecycle.
Carrabba’s has also encouraged check-ins with Foursquare and has used both the location based marketing channel and SMS to communicate offers when customers are ready to dine. That’s a great example of social loyalty at work – creating an exchange with a customer near the point of purchase, hopefully presenting an offer that will influence subsequent purchase behavior.
Now, Carrabba’s has taken the Amici Club a step further, sending a direct mail offer for $10 off specific appetizers or a complementary appetizer or dessert with purchase of an entrée.
Carrabba’s has been building its relationship with customers through the Amici Club thoughtfully and gradually, and is presenting a good example of how to engage with Consumer 2.0 using Social Loyalty tactics.
I’m going to continue to pay attention to Amici Club. Let me know what you think.
