Restaurant Loyalty Outlook for 2025

By: Ashley Gomez

Strategy

As 2025 continues to ramp up, the restaurant industry reflects on the last year that included both challenges and successes. Overall sales plateaued in May and dipped into negatives in June due to slower consumer spending. Customers reacted to the pressure caused by inflation and a slowdown in job growth by not wanting their wallets to take a hit from higher pricing and by visiting a little less than expected throughout the year.

There were some bright spots too. Quick Service (QSRs) and fast casual restaurants experienced positive sales growth as customers looked for less expensive options and value from the brands they love. Customer preference for dining out was still there, but brands had to work harder to capture the bulk of guests’ extra income.

Some brands thought outside the box to engage customers through new avenues. We witnessed several foodservice formats colliding to offer their customers a different take on the typical restaurant experience. Taking a page from Asian supermarkets, HMart offers groceries, drinks, seafood, restaurants/cafeterias, games/events, kitchenware, and small appliances, giving customers a range of reasons to visit and stay. Subway tapped into the power of electric car charging by partnering with GenZ EV Solutions with plans to build Subway oasis parks across the U.S. for a connected network of green spaces and EV charging stations. It will be interesting to see how customers support such endeavors.    

The restaurant marketer’s role will only become more complex in 2025, as brands must not only capture guests’ attention but also provide meaningful experiences that drive both engagement and sales. As we discussed, brands have several pathways to consider for future success.  

While exploring new tech, tools, and channels is crucial, the most important focus for restaurant marketers in 2025 will be delivering a unified, personalized experience. This is where the insights from our 2024 Voice of the Customer program came into play. During our most recent in-person event, participants overwhelmingly emphasized the growing importance of personalization, loyalty program innovation, and leveraging emerging technologies to enhance customer engagement.  

Here are the Top 5 2025 Restaurant Loyalty Trends uncovered through our Voice of the Customer program:

  1. Move the Needle with AI for Marketers

  • Action: Implement AI and machine learning tools to tailor recommendations and predict exactly what your customers will want next. 
  • Benefit: Predictive offers help automate segmentation, making AI engines smarter at upselling and personalizing offers. AI-driven personalization is crucial in minimizing high cart abandonment rates (ranging from 60%-80% for restaurant apps). 
  1. Serve up Personalization with Dynamic Content

  • Action: Use data to create dynamic content within emails and SMS messages. 
  • Benefit: Increases customer engagement and makes customers feel valued. 
  1. Create App-less Loyalty

  • Action: Implement SMS-based loyalty programs and Apple/Google Wallet Passes to move your customer base away from just having an app-based experience. Some customers just want to get in and out… here’s a way to cater to them! 
  • Benefit: Broadens audience reach and improves engagement without requiring app downloads. 
  1. Design Non-discounted Loyalty Opportunities

  • Action: Focus on gamification and exclusive experiences rather than discounts. 
  • Benefit: Builds emotional connections and long-term loyalty. This can be achieved through creative campaigns and marketing efforts without massive tech updates. 
  1. Update Loyalty Structures

  • Action: Develop coalition loyalty programs and subscription-based models. 
  • Benefit: Increases perceived value and promotes repeat visits. 

Quick Wins for Immediate Impact

  • Personalization and App-less Loyalty: Start here for big benefits with less effort and minimal tech changes. 
    • Example: Use data to personalize emails and SMS messages, like addressing customers by name and updating point status. 
  • Gamification and Exclusive Experiences: Use creative marketing campaigns to engage customers without major tech updates. 
    • Example: Launch a frequency-based challenge where customers earn rewards for completing a certain amount of checkins. 
  • Gradual AI Implementation: Begin with simple AI tools and expand as you see positive results. 
    • Example: Start with AI-driven email recommendations to suggest menu items based on past orders. 

At PAR Punchh, we believe loyalty is an outcome of creating these types of meaningful and personalized experiences. While discounts have their place, they are only one ingredient in the recipe for success.  

To build a standout loyalty program, you’ll need a mix of the following:  

  • Tiered membership or surprise-and-delight campaigns  
  • Gamification and challenges  
  • Lifestyle perks and exclusive experiences  
  • Purpose-driven or identity-based elements  

These elements, when blended together, will differentiate your program from the competition and provide a more compelling reason for guests to stay loyal. We’re here to help you refine your approach and make sure you’re on the right track.  

Want to explore more about how your brand can thrive in 2025? Learn more about our Voice of the Customer program to collaborate with fellow industry leaders and gain insights that will shape your success. Join the program today and register for our upcoming February event.  


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