Large retailers are used to dealing with big problems. Thousands of stores, millions of customers and billions of transactions. Dealing with that kind of order flow can be a logistics nightmare. How do I staff my stores? When are my peak hours? Do I have to add personnel at the store level to support my new marketing campaign? The problem is exacerbated exponentially when it applies to quick service restaurants (QSR). Not only do you have to manage an influx of customers, they are expecting to be served in less then 5 minutes.
The most forward thinking QSRs are using mobile to manage their transactions. Starbucks is currently handling over 2.1 million mobile payments each week. They added over 1.4 million new members to their loyalty program in the first quarter of 2013. Further, by combining loyalty with tender Starbucks has outpaced their competitors by miles. Customers rewarded Starbucks for making life easier, and loaded over $1B onto gift cards in the most recent holiday quarter.
History has told us that once a bar has been set, consumers expect the competition to rise to the occasion. Coupling location data with mobile payments allows QSRs to do just this.
Integrating location-based marketing and analytics into their mobile application gives QSRs a leg up on managing order flow. Timing is everything in the restaurant world. Make an order too soon and it sits, giving customers a cold experience. Custom orders create more work, creating even longer lines.
Location-based marketing allows QSRs to understand where a customer is in relation to the store. Thus, a customer places an order on a mobile device. Once the patron breaches a 1-mile radius geofence, the order is prepared. Within 5 minutes the customer is in the store, picks up the order and is acknowledged with a “Thank You for Your Business” notification on the way out. In today’s time compressed society, a customer who knows they can patronize a certain store and have their custom order waiting for them, is a repeat customer.
Time saving is just the beginning. QSRs are constantly looking for innovative ways to drive store traffic in off-peak hours. Why not target customers within a 5-mile radius of the store to come in for a 3 p.m. treat on a hot day? Location-based marketing allows QSRs to understand who received the offer, who opened it and what store they went to.
Streamlining order flow, maximizing off-peak hours revenue and tracking marketing campaigns are just a few of the benefits QSRs can receive with Location-based marketing. Get a leg up on the competition, start marketing today.
Thanks to the mobile retail blog