Email Marketing to Increase Sales & Guest Loyalty

Wednesday, March 23, 2011

Fishbowl Cocktail Facts

• 10 years old, 130+ employees- Alexandria, VA based

• The leading provider of on-demand marketing software and services to the restaurant industry

• Serving over 40,000 restaurant locations

• Managing an opt-in member database of over 50 million guests

• More than 1.5 billion email messages distributed annually

• Technology and services designed specifically for the restaurant industry

• Chosen partner of leading organizations in the restaurant industry…

Agenda

• Why Email?• Growing Your List• Elements of a Successful Email Program• Create Loyalty• Campaign Opportunities• Local Store Marketing• Integrating Social Media• Tracking & Measuring Results• 10 Tips to Walk Away With

Why Email Marketing?

• More than 204,000,000 Americans use email regularly-Pew Internet & American Life Project & Google Public Data (April 2010)

• 86% have given their email to a retailer

• $43.52 returned for every dollar spent in 2009-Direct Marketing Association (2009)

• Email IS Mobile

• 75% of daily social media users said email is still the best way for companies to communicate with them.

- Marketing Sherpa (2010)

• “41 percent of consumers surveyed by the NRA say they choose new restaurants because of e-mail promotions... ”

-National Restaurant Association (2010)

Three Core Components

Send Offers, Menus, Specials,

Events

Track Campaigns for Delivery & Customer

Engagement

Build, Manage, & Grow Email Lists

Build a loyal customer base

Drive customer Interest & return visits

Measure impact on Sales & ROI

• Paper Sign Up Slips• Staff Engagement &

Incentives• POS Materials• To-Go Bags• Window Clings• Placemats• Staff Buttons

How To Grow Your Lists – In Store

How To Grow Your Lists – Online

• Website Join Form• Social Media Sites• Contests/Sweepstakes• Forward to a Friend• Online Reservations • Online Ordering

How To Grow Your Lists – Other Sources

• Public & Charity Events• Mobile Phone

Applications• Loyalty Cards• Flash Buying Sites

Elements of a successful program

Mix of 3 elements: Brand, Community, Loyalty

2-3 Loyalty “gifts” annually to drive enrollment and baseline ROI (ex: BOGO entrée gifts on Welcome, Birthday, Anniversary)

12-18 brand and community messages per year

1-2 other “Surprise” offers, usually one-day offers

= Total of 18-24 communications per year

Create Loyalty

Birthday Promo

• 13,563 members in database

• No-strings attached Birthday Gift

• 40% redemption rates (versus 8-12% Fishbowl average)

• Results: $200,000 in directly attributable sales

• …plus great goodwill and lots of new diners

Case Study

Campaign Opportunities

Use consistent messaging with a good mix of emails:

• Restaurant News

• Last Minute Special Events

• Theme Dinners

• Kids-Related

• In-Store Events (music, trivia)

• New Menu / Recipes

• Community Related Events

• Gift Card Sales

• Holiday / Seasonal Events

• Viral Marketing

Special Menus, Events

Cause Marketing

Case Study

• Subject Line: Helping Others Never Tasted So Good

• Target Audience: 78,141• Open Rate: 41%• Click Throughs: 3,171

RESULT: Sales company-wide upover 4% for the week

Kid Friendly Promotions

Target Your Best Guests

Integrate your email program with local online reservation solutions to increase recognition, results, measurability– “Click here to book your birthday dinner

—and gift from us” – Create other promotions for holidays,

slow dayparts

Seamless software integration with “Reserve Now” button

EVENTValentine’s Day lunch and dinner special menusPromoted with 2 emails to list of 3,905 members. Included link to reserve online

RESULTS23% open rate, 149 click-through’s Sold out entire restaurant

Have Fun!

SMOOCH YOUR POOCH!

Stop in any Wednesday in April with your dog to get a free large cheese pizza.No Dog? Bring your significant other pet* You may be required to kiss that animal on the lips to prove that significant other pet is really yours.

New Media

Marketing

Mobile Devices

Social MediaEmail

Is email really Social?

How are people sharing?

Connecting Facebook Fans to Email databases

User Signs In

Becomes a Fan

Receive Status

Updates

Responds and

Shares

Fan Signs Up for E-club

22

Facebook Email Join Form

Turn Your Customers into Promoters

Social Sharing Links:A simple click of the Facebook sharing button,inserted into your restaurant’s emails, andrecipients can promote your restaurant’smessages to their friends across the Facebook network. The average social media user has nearly 200 friends with which to share your

restaurant’s messages

Facebook Stats:The average Facebook user has 120 “friends,” and their communications pack the power of a personal referral –not advertising clutter.

Strengthen Guest Relationships

Extend your restaurant’s relationship with itsemail club members by offering an easy wayto connect on social media sites

• Allow guests to connect with you on social networks directly from your email campaigns

• Automatically insert social links that match the guest’s preferred location

• Include follow links for Twitter, Facebook, Myspace, Yelp!

• Offer incentives for E-club list members to “like” and “follow” your brand

• Ensure your provider is “Whitelisted” or “Sender Score Certified”

• Avoid over messaging• Avoid large images in the body and large

attachments• Avoid Spam Filter Triggers in the body/ subject

line, such as:• Free, f r e e, weight loss, $, debt, Claim,

earn, Hot, juicy• Practice Confirmed Guest Opt-in or Double Opt-

in

Deliverability

Measure your Results

• Analyze and evaluate the success of your marketing

• Improve effectiveness through measurement and testing

• Compare your performance to industry benchmarks

• Share campaign results with your staff

• Gain in-store and online feedback from your guests

How to Measure Results

All-In Per Store ROI

Assumptions:

Table-service, $16 PPA x 2.5 guests = $ 40 average check per table

2,000 list members per store; 3 loyalty gifts (Welcome/Anniversary, B-day, Survey)

$ 9 avg. discount, 10% average redemption, 40% direct costs, 20% cannibalization

per store, full year: loyalty gifts only +1 visit/yr

loyalty gift redemptions 600 600

additional undiscounted visits 0 2,000

total “program” visits 600 2,600

(x) check average = Added Sales $ 24,000 $ 104,000

(-) 20% cannibalization on offers (4,800) (4,800)

(=) Net incremental sales $ 19,200 $ 99,200

(-) All discounts (600 x $ 9) (5,400) (5,400)

(-) 40% direct costs (on incremental sales) (7,680) (39,680)

(=) Added Profit before program costs $ 6,120 $ 54,120

10 Tips to walk away with

• Build your list through multiple channels• Create fun and interactive emails• Emphasize your brand personality• Be open and responsible• Manage the frequency• Don’t be Boring!• Shape the customer experience- Provide ROI• Integrate with social media• Measure and share your results• Create Loyalty- Current guests are best source of new guests

Questions?

THANK YOU!

Twitter.com/fishbowljoeFacebook.com/fishbowljoejgabriel@fishbowl.com

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