June 26

Restaurant Owners – Use COVID To Feed Your Database

Use The COVID Rules To Ignite Your Strategic Marketing – Cafes, Restaurants, & Bars

Here is a very simple idea you can apply today.  Plus a way to automate the info it collects.  Ready?

So – depending on what state you operate in – you need to collect info for “Contact Tracing” of your visitors.  It is a good idea, and very important for you to do.  It increases our safety, plus it is a law and will get you fined if you neglect it.  You are required to get the name, phone, address, and maybe email (depending where you are).

In the olden days of business coaching, this was one of the tasks that usually required significant discussion (and frequently bullying) to get business operators to do this.  I would say – collect the names and contact details of your visitors.  And we would talk about all the powerful, profitable, business-value building things we would do with the information.

Usually we had to be a bit crafty and have a “fishbowl” with chance to win a “something” in a monthly draw – and visitors dropped a business card or filled out a piece of paper to add.  And a tiny notice saying that by entering you were ok with being in our “Platinum Diners Club” or whatever we called it.

Despite the massive upside and massive increase in marketing power that collecting your customers/clients/ visitors names – almost no one did it, or does it. It drives me a bit nuts…

Except now it is different.

Now you MUST collect that customer info by LAW to allow COVID tracking.

I have been in numerous cafes and restaurants now, where I am handed a crappy looking folder with badly photocopied forms, and in one case a little scrap book to put my details.  This shows that business owners are still not seeing the potential of their lists.

A Slightly Different Version to Test?

If you assume that the customer in your cafe is the result of some marketing you have done, then there is a definable cost per customer attracted.  For many cafes this number is teeny weeny, and consists of their signage and their experience delivered.  In some cases their rent is a marketing cost as the location may have significant foot traffic.  You PAY to attract that customer.

If you going to pay for something, does it make business sense to both measure the effectiveness of what you pay to attract new customers, and to also maximise your return on that payment?  Plus, if you are forced to spend time and effort in collecting the details of your customers, new and old, why not maximise the return on that as well?

This almost free change could triple your profits or at least keep you in business?

A simple change for those businesses using single sheets of paper on a clipboard is to add a section below the information you must collect for tracking.  Add a TICK BOX that says something like “YES, please  – add me to your Platinum Diners Club – I would like to enter your monthly Members Draw AND receive occasional special dining offers by email/sms/app (choose one)”

Pretty easy, ay?

And what if you add a line that asks for your birthday (just day and month), and your anniversary?

And what have you just achieved?  You now have the basics for a customer list that will allow you to use otherwise impossible but most effective marketing.  Here are just a few ways to use your new list:

  • Have a special members only offer notification for “rainy/cold/hot days”.   Or “We got a great deal on Tassie Lobsters”.
  • Or any day which is traditionally slow for you – create and send a profitable, but great value for your customers offer.  Sent JUST to your list.  Free bottle of wine, second main free, free dessert/soup/entree, kids eat free, and so on.  With this model you can COMMUNICATE your bundle offers.
  • With their birthdays and anniversaries – what do people often do on these special occasions?  A special (expensive) dinner for two?  And big events where the whole extended family comes, and eats and drinks to celebrate?  Or they want catering for their event?  You know your margins – and when your marketing cost is known in advance (and very low) – you can afford to be at the front of this massive demand.
  • Lots more ideas!
  • Plus if you ever decide to sell your profitable business, you will get more because you have a list of customers.  Because it means your marketing system is more mature than those who do not use their databases.  If you are buying a business – and it does not have a list – your first marketing action step is very clear.
Now AUTOMATE The Process

Now – what else?  The obvious next step up is to use your iPad or tablet instead of a paper version.  This easy – join my newsletter list and I will tell you exactly how to do it, simple, easy and very low cost.  With an electronic version – THEY can put their details straight into a your database program/loyalty program/or just a spreadsheet if you want.  You can have an email or sms sent to them welcoming them, with a special offer for their next visit (if you want).  Plus no paperwork for you.

There plenty of electronic form creation options available, both free and paid.

SMS marketing is easy these days.  There are plenty of bulk sms programs online who deal with everything – including the “unsubscribe” function for the people forgot they signed up or leave town.

And with not much further effort you can add a “loyalty program” – which tracks their spending.  You then know exactly who your most valuable members are.  You can make special offers just for them.  You can encourage them to bring their friends – who statistically will also be more likely to be great value too.  You can notice if they have not been into your restaurant for a certain time, and check in with them – invite them back.   For super power – you can add your data to a CRM (Customer Relationship Manager)

And you can send them not just offers, but also education and info.  Perhaps share your secret recipe for your most popular dish?  Reminders for their anniversaries (with perhaps a voucher from that excellent florist – owned by your sister?).  Remember your catering menu.  And your Wine Tasting Event that your best customers get free entry to.

And competitions?  People love competitions and draws.  Even on your first basic form or electronic version at the very start – they can go in the draw for something – just for filling out the form.  To thank them for coming in and supporting you during a crisis.  Perhaps even just a lolly or piece of dense chocolate with their coffee.  (Because chocolate can boost your immune system and is yummy).

Of course there are layers.  Clients say “James – do you ever stop?”  The answer is not usually. 

For example, with your new form – a super powered question is “Have you been here with us before?”  With an electronic interactive form – if they say NO, this is my first time – an extra question can appear that asks how they heard about you.  If they tick YES, you can flash a “Thank you for coming back to us.”.  If you know what marketing brought in a new customer – you get out of Marketing Kindergarten.

But not everyone wants all the bells and whistles.  Your little cafe or coffee trailer with plastic chairs on the footpath might not have the clientele that best responds to full on CRM marketing.  But the first step – just UPGRADE your COVID forms to invite your customers to become “members” is certainly for everyone.

Be sure to comply with your State and Federal regulations about the information you are gathering.  If a patron does not tick the become a member box, you must, for example destroy/erase the information after 28 days.

I am absolutely certain that over 90% of any hospitality businesses who read this idea will NOT apply it, even if they think it is a good idea.  They will keep doing exactly what they are already doing.  It is the ability to see that how we think drives our success, more than anything.   Your current thinking is giving you your current level of success.


Tags

cafe, crm, database marketing, restaurant


You may also like

I Asked ChatGPT For Two Items: A Consultant’s Report for Regenerating A Regional City Centre & A Report About Paid Parking In Townsville

I Asked ChatGPT For Two Items: A Consultant’s Report for Regenerating A Regional City Centre & A Report About Paid Parking In Townsville