Why Your Restaurant Needs An Integrated Guest CRM System
The restaurant customer experience is more than just what happens at the table. Restaurants that bring that whole experience into an integrated CRM system build a brimming base of informed, engaged, and loyal customers who can’t wait to return.
Any customer that makes a purchase at your business has a 60% chance of becoming a repeat customer.
That’s a promising stat, especially for restaurant owners. After all, imagine everything your restaurant could accomplish if three out of every five customers served returned for a second or third helping.
Cultivating such a relationship, however, means restaurants need to focus on remaining on customers' minds even after the dining experience is over. According to The White House Office of Consumer Affairs, acquiring new customers is 6-7x more expensive than retaining old ones, proof that keeping customers is not only helpful in creating a healthy brand, but also about bolstering a restaurant’s bottom line.
Connecting with customers in this current economic climate is a tricky proposition, especially for restaurant owners. To build a robust and effective customer retention strategy, you need tools — like a restaurant CRM system — to power that approach. This solution can plug directly into your POS system and enable your restaurant to stay in touch with customers and deliver the kind of personalized and intuitive experience that turns new customers into regular restaurant patrons.
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What is A CRM?
First things first: What is a CRM? The letters stand for “customer relationship management,” and the platform is just what it sounds like. It’s a software solution that helps companies organize all aspects of the customer experience, letting an owner find out who visited, what they ordered, and how they can entice them to come back over and over again with great marketing and promotions.
Consider the fact that every human being has his or her own CRM — their brain. Up there, we’re able to store dates, read social cues, and make decisions that ultimately define our relationships with friends and loved ones on a daily basis. A CRM helps a business’ brain get all its ducks in a row to help accomplish its big-picture retention goals, and improve the customer experience across the board.
Which then begs the question…
What is A Restaurant CRM System?
In short, it’s a way to connect with customers and create an experience that builds long-term rapport with the most essential parts of any restaurant — the people. Thanks to COVID-19, the restaurant experience is very different to what once was, and the relationship between customer and restaurant is rapidly evolving.
So, a restaurant CRM system serves as a container for any quirks or particulars that can help a restaurant connect with customers in any manner other than the traditional server-guest dynamic.
A restaurant CRM platform uses precious bits of information to build a bridge between the restaurant and its public. Information such as:
Customer Email Addresses and Phone Numbers: A survey of Toast customers found that off-premise dining experiences, which were at 15% before the pandemic, are up to 70% now. These purchases happen online and over the phone, so restaurants are receiving tons more data about their customers than ever before. The challenge that a CRM solves is keeping that data organized and accessible.
Customer Order History and Preferences: A restaurant CRM platform can store previous orders and help staff notice trends. For instance, CRMs can empower your servers to point out new dishes that might appeal to dine-in customers or enable your online shop to do quick recall and bring up past dishes that buyers might want to try again.
Customer Dietary Restrictions: A restaurant experience, no matter where it occurs, should be one where the menu offers an array of options. A restaurant CRM platform can note food allergies and preferences so customers can have an inclusive and safe restaurant experience from anywhere at any time.
Customer Birthdays and Anniversaries: A visit to one’s favorite restaurant can be the perfect punctuation to celebrating a birthday or an anniversary. With those dates on file, restaurants can contact customers near those special days with personalized messages that entice them to come celebrate at the restaurant.
Why Use an Integrated Restaurant CRM?
Information is a powerful tool, and it’s an especially useful tool as a point-of-sale resource for your restaurant. With celebrations and personal information just a click away in your restaurant CRM system, the customer experience can be efficient and feel personalized.
Greg Gibbs of Chicago Bagel Authority says "At the end of the day, it comes down to the data and what we’re able to achieve because of it." For example, Chicago Bagel Authority made $1,600 in direct sales off of a single “Miss You” email campaign sent to past guests who hadn’t visited in a while.
To learn more about how Chicago Bagel Authority uses Toast Marketing, read their story here or watch the video below.
How a CRM Helps You Engage and Retain Customers
Here are three benefits an integrated restaurant CRM can provide:
Send Emails to New Customers and Old Regulars
Word-of-mouth buzz and traditional advertising are still effective means of engaging potential visitors to your restaurant. But an email campaign incorporated into your integrated restaurant CRM helps restaurant owners appeal to former regulars and potential newbies alike.
For potential new visitors, the Toast Marketing tool can build customer lists and email templates so restaurants can execute strategic and targeted email rapports with new customers. The marketing tool also allows restaurants to measure open rate and collect foundational email statistics that allow you to adjust your campaign and keep new customers primed.
As for lapsed customers, Toast Marketing enables you to schedule outreach and engage old visitors and try to regain their interest at the most opportune times. Users of the marketing tool who sent “Miss You” messages to customers saw 9.4% of visitors return within two weeks, leading to $488 in revenue.
Understand Customer Ordering Patterns
An integrated restaurant CRM helps restaurants sift through the massive amounts of customer data, serving up only the information they need at any given time. With previous visits and preferences at your fingertips with a CRM integrated into your point-of-sale technology, restaurants can bring a consultative, suggestive approach to the dining experience.
The Toast Go 2, our newly updated handheld POS, incorporates a litany of customer ordering insights, then rolls them all into a portable, hands-free customer experience that gets diners their dish of choice quickly and conveniently.
Power Your Loyalty Program
An integrated restaurant CRM isn’t just handy during transactions. It also gives restaurants the information needed to reward its most frequent and loyal visitors.
Toast Loyalty gives restaurants the necessary tools to tailor a loyalty program to their liking. Restaurants can craft their own signup bonuses and birthday rewards, establish dollars-to-points exchange rates, and roll all that into a restaurant-specific gift card that entices your loyalists to come back time and time again. Plus, restaurants can get a clear picture of their repeat customers and see who is primed to recoup those reward incentives.
Improve the Experience to Boost Retention
Good (and bad) restaurant experiences stick with customers and are shared readily. A CRM restaurant system houses all the pertinent information necessary to make that experience an end-to-end happening for customers.
Restaurants can use a CRM to show all their customers love at the table, in their inboxes, and wherever else to inspire loyalty and build a rich collection of engaged and avid customers.
Related Restaurant Resources
DISCLAIMER: This information is provided for general informational purposes only, and publication does not constitute an endorsement. Toast does not warrant the accuracy or completeness of any information, text, graphics, links, or other items contained within this content. Toast does not guarantee you will achieve any specific results if you follow any advice herein. It may be advisable for you to consult with a professional such as a lawyer, accountant, or business advisor for advice specific to your situation.