Oracle Hospitality identifies what drives consumer loyalty in new research
Oracle have announced the findings of two research initiatives aimed at identifying the consumer drivers for loyalty in the industry, and the impact of technology.
Insights from the study highlights a global demand for loyalty programs in the hospitality industry and the critical role of technology to create memorable guest experiences.
Identifying Consumer Drivers for Loyalty
Loyalty programs are a critical driver of repeat business for both the food and beverage and hotel industries with their ability to identify consumer habits, demographics and personalization opportunities. With these insights the hospitality industry can more effectively create frictionless experiences that encourage repeat engagement. To better understand what makes loyalty programs most effective Oracle Hospitality recently conducted a survey of 6,500 global food and beverage consumers and 8,000 hotel travelers represented by the U.S., Brazil, Mexico, Australia, U.K., Germany, France and Japan.
Recipe for Engagement: Essential Ingredients for a Restaurant Loyalty Program
Key insights from the research for the food and beverage industry include:
- Consumers around the world want to join loyalty programs. In the U.S., 65 percent of consumers are already members of one or more food and beverage programs. Even in Japan, where the lowest percentage of consumers were already members of a program from our survey, nearly one-third belonged to a loyalty program.
- Plastic loyalty cards remain the preferred loyalty tool with mobile applications gaining popularity. At 62 percent overall, plastic swipe cards were the most preferred method across all generations. At a 56 percent preference, Millennials wanted to use apps for loyalty programs and 50 percent of Gen Xers also agreed that apps are a preferable method.
- Perceived personal savings drive loyalty. Money off of every purchase (71 percent) and free products (63 percent) were the top two most attractive rewards to consumers.
“Loyalty programs provide restaurant operators with the opportunity to reward guests for repeat business, to create a marketing database for personalized promotions, and to guide the strategy for future programs ensuring their relevancy,” said Mike Webster, senior vice president and general manager, Oracle Hospitality and Oracle Retail. “Oracle Hospitality has a differentiated offering that leverages best-in-class, cloud POS with an integrated gift and loyalty solution and cloud analytics suite that minimizes the creation of disparate data silos which can create false perspectives of guest engagement.”
Join Oracle Hospitality at Oracle Industry Connect
Oracle Hospitality will be presenting new product releases, market insights and customer case studies at Oracle Industry Connect in Orlando, FL from March 20-22, 2017. For more information on attendance please visit https://www.oracleindustryconnect.com to register.
