Catering has emerged as a critical revenue stream for restaurant brands trying to stay competitive in today’s market. The ability to offer large-scale meal services for holidays, parties, corporate events, and other gatherings allows restaurants to reach new customers, increase sales, and solidify brand loyalty. As catering is expected to make up nearly 10% of the restaurant industry’s projected $1.2 trillion in sales by 2030, this growing sector is one that restaurant brands cannot afford to overlook. Integrating catering with your loyalty program not only capitalizes on this opportunity but also builds long-lasting relationships with your customers and can be a powerful strategy for success.
Why Catering Loyalty Programs Matter
Catering offers a unique opportunity to build deeper relationships with customers. Unlike individual orders, catering deals with larger quantities and often serves groups of people, potentially introducing your brand to new customers. This is where a well-designed loyalty program comes into play.
By offering rewards specifically tailored to catering customers, restaurants can encourage repeat business and build long-term relationships. For instance, offering points per dollar spent on catering can entice customers to choose your restaurant for their next big order. Restaurants can also offer exclusive rewards for first-time catering customers, such as a free appetizer or dessert, to make a strong first impression.
Diversified Revenue Stream
Catering not only diversifies revenue streams for restaurant brands but also creates an opportunity to enhance customer loyalty. During the holidays, when on-premises dining often slows due to inclement weather or seasonal closures, catering can help offset this dip in revenue. By integrating catering with loyalty programs, brands can create special promotions that incentivize repeat catering orders, such as bonus points or exclusive rewards for large group purchases. This allows restaurants to keep their most loyal customers engaged and boost off-premise sales during slower periods.
Increased Customer Data
With orders coming through for on-premises, takeout, and delivery orders, restaurants are already capturing customer insights from their loyalty program to run their businesses. Catering adds another data layer of customer preferences and behaviors, which can inform marketing strategies and more targeted campaigns.
Seamless Awareness
Restaurant marketers may wonder: If we launch a catering program, how can we use loyalty to promote it effectively? The answer is simple—leverage your existing loyalty channels and tools. Through in-app reminders, you can alert loyal customers of special catering offers whenever they place an order for dine-in, takeout, or delivery. Creating a targeted campaign tied to these offers, such as earning bonus points or redeeming rewards for catering orders, can drive customer engagement.
Additionally, loyalty members can receive exclusive in-store coupons or redeemables through the app, incentivizing them to choose your restaurant for their next catered event. These digital platforms offer prime real estate, such as dedicated navigation tabs in your app or website, where guests can easily discover catering options and learn about special promotions. With loyalty-integrated campaigns, you ensure that your catering offers reach your most valuable customers.
Adapting to the Return to Office Trend
While catering is valuable year-round, the return to office trend has presented an additional opportunity for restaurant brands. As more companies bring employees back to the office, the demand for corporate catering has grown. By tying catering directly to loyalty programs, restaurants can capture this market by offering exclusive deals for office catering orders, such as discounted rates or bonus points for large orders.
Best Practices for Integrating Catering and Loyalty Programs
Tailored Rewards
Design rewards specifically for catering customers, such as points per dollar spent, discounts on future orders, or exclusive offers for first-time catering clients.
Personalized Incentives
Offer rewards for the individual placing the order, even if they aren’t consuming the meal, to encourage repeat business.
Holiday Promotions
Utilize the holiday season to introduce special rewards and promotions within your loyalty program that are tailored to catering orders.
Streamlined Ordering
Ensure your online ordering system for catering is seamless and integrates with your loyalty program to make it easy for customers to earn and redeem rewards.
Follow-Up
After a successful catering event, follow up with a personalized offer or discount to encourage the customer to choose your brand for their next event.
Catering During the Holiday Season
The holiday season is also crucial time for restaurant brands to maximize their catering efforts. This period sees a spike in demand for catering services, driven by holiday parties, family gatherings, and corporate events.
Your holiday catering efforts should be seamlessly integrated into your loyalty program. Use your marketing channels—email, social media, and in-store signage—to promote these holiday offers to your loyalty members.
To leverage this demand, restaurants should offer holiday-themed rewards within their loyalty programs. For example, awarding extra points for holiday catering orders or offering special seasonal menu items as rewards can drive higher engagement. Ensuring that the loyalty program is prominently featured in holiday catering promotions can also increase enrollment and encourage repeat orders.
The Long-Term Benefits of Catering Loyalty
Catering offers a valuable opportunity to diversify your revenue streams and build stronger customer relationships. By tying your catering services directly into your loyalty program, you can turn one-time catering clients into regular customers who not only think of your brand for their catering needs but also for their everyday dining. As the industry continues to evolve, those restaurants that effectively leverage their catering programs and integrate them with their loyalty initiatives will be better positioned to thrive.
For more information on how you can optimize your loyalty program to boost your catering offerings, schedule a personalized demo today.
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