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Customer Loyalty Tips for the Restaurant Industry

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❶Recommended articles Citing articles 0. The hospitality industry has become much more competitive in recent years.

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Or do they plan on coming to Paris several times a year? In any case, I know that they're observing us. They look around and they see that the restaurant is like a club: This gives them a sense of belonging to the group of diners who are present.

There are some things you shouldn't do to such guests. You shouldn't share your whole life with them on the first encounter. Just give them a little attention: If you tell them your whole life story and the next time they bring friends, they will expect you to recognize them—something you cannot be sure you'll be able to do.

When you do recognize them, then you can go a little further: The restaurant is a brand. But there are other institutions. And by maintaining this institution and by helping it grow and consistently evolve, little by little—doing better every day—you develop into a leader.

The leader does not necessarily have to agree with Chef or the owners, but he has to be very clear about and say what he wants. There are so many restaurants that were great—for example, the world's best restaurant, Maxim's. They changed the leader. They took a man and replaced him with another man—a more corporate Yes-man that would never dare to go against the decision makers—and that's the way you lose your way.

You have to fight for your vision, and the best tactic is to bring in business, which is more difficult today than in the past. Many years ago, everyone was paid on commission, based on your customers. Today, you pay your staff fixed salaries, which makes it much more difficult to excite and motivate people to work with you—especially if they have to be in the restaurant for lunch time and again for dinner, knowing how difficult it is when you live in Paris.

And it's even more challenging when the restaurant is open seven days a week and if, within the same hotel, there are different approaches to working together. To succeed and keep the show running, you have to focus on yourself. You have to believe in yourself and not give up. If I gave up, I wouldn't like myself anymore; I would feel bad. Of course, there are moments when I tire out, but I know that I will come back.

And if you try in your life and you fix little challenges, it's the same. There is never a straight line, there are always difficulties.

But when it works out, it inspires you, and you try another, and another, and another time. This provides you with confidence, which then gives you the confidence of all your employers, because you are realizing things that have never happened before. I think the name and the brand are always more important than the manager, but you also have to acknowledge that some brands no longer exist because they were not able to find the right manager.

I have found that, in creating this base of loyal customers and, with it, the network, moments happen when all the stars align—when things suddenly connect. If you don't see this when it happens, you are blind or too absorbed in the operations to notice.

But you need to connect these things together, because it provides new business opportunities. You need to step back and let go to see the opportunity, which is why you have to have confidence in the people around you. But you also have to control—that's important. Sharing this vision is not always easy to communicate, but you have to try to and persevere. Connecting all these beautiful things together works—it brings you business and opens up new playing fields. They have become friends. In , the Tour de France will come down the Avenue Montaigne—our street—because we have connected the dots.

And, tonight, I have a big private party with 15 journalists outside the hotel, where I'll be an ambassador for my restaurant, the hotel, and the Tour de France. Believe it or not, each time the telephone rings and I see it's a customer, I consider this a gift.

It's important to me that a customer can directly express his wishes to me. The restaurant is open seven days a week, but I also take my days off and holidays. When I am not sure that the little things are going to get done or when the team needs help and advice, I tell them to contact me. Even if I am on holiday, off, or in a very busy situation, I take the call. Because, for me, that's a gift that makes the relationship stronger.

The thing is you create habits—habits that you cannot give up because you are training your customers. For me, it's important that the customer leaves the restaurant and that he is percent happy—the price, the quality and the service all working together to create the customer experience. If I see or feel that things were not all right, I can intervene. There are signs, and I sensitize my staff to look for these signs—for example, if a customer doesn't finish his main course. Asking simple questions to find out what's going on is important.

This information must come to me and when it does and it's not okay I can go very far to make it right. So, it's important to read the signs. This also creates customer loyalty. Opening your eyes and ears to listen to customers and letting the customer talk is important. We should always question ourselves when the customer is telling us something.

It's always the same things. What they need is to feel welcomed, which is more difficult today than it was before. Attitudes have changed, money has changed, the world is a faster-paced place today.

It's difficult to distinguish people today, because the way they dress is unrevealing. Again, you have to recognize the signs, which I'm not always able to do with customers wearing holes in their pants.

Typically a hotel loyalty program will offer guests depending on the amount of points they have earned value-added benefits such as free room upgrades, early check-in and late check-out, free spa treatments and guaranteed room availability. Jennifer Nagy in her blog, The Importance of Hotel Loyalty Programs, argues that the so-called ladder format is the best format for a hotel loyalty program. As members of the loyalty program earn more points, they are able to redeem their points for higher-value rewards.

Many hotels make the mistake of solely targeting their loyalty program on elite guests who are able to spend huge sums of money when staying at a hotel. Members of your loyalty program will need to know how many points they have, how they can redeem them, and what rewards they are entitled to. Some hotels have introduced a standalone app for reward management, while other hotels communicate with members through general hotel management apps that also provide guests with information about check-in and check-out as well as information about loyalty points.

You can also simply send your members an email notifying them of their points and what their entitled to. Hotel loyalty programs have been around since the early s and were developed by large hotel chains to ensure guest retention and to encourage active purchases. After years of one way, thoughts have shifted due to aggravation guests felt from the earning and redeeming of points process. Guests advance in tiers based on either base points of a year or qualifying nights.

Hoplamazian said, at the moment, there are only two tiers, which are determined by stays and nights. It takes people more nights in the hotel to get to the first elite tier. He said there are compelling benefits at each program level.

There are various customs to partake in at the Hyatt and attain benefits that were in the previous program. Wyndham Rewards is going another way with bringing in new customers. The hotel management understands that not everybody wants to stay in a hotel. For quite some time, the hotel was a vacation rental arm.

Wyndham has changed its rewards programs so that guests can redeem their hotel stay at 15, points — extremely low for the hotel industry. Vacation rentals are permitted at 15, points for each bedroom a night.

Noah Brodsky, head of loyalty at Wyndham Rewards, said loyalty programs have become extremely complex. People have no idea what they have to earn, redeem or the costs. While it began with airlines, it spilled over into the hotels. Join Wyndham Rewards program to avail customer loyalty benefits. According to CEO of Choice Hotels Steve Joyce, the changes Choice Hotels made to its program were done to attain the attention of more Millennials — the age group that spends more money when they travel.

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Using data collected from chain hotels in New Zealand, the findings indicate that hotel image and customer satisfaction with the performance of housekeeping, reception, food and beverage, and price are positively correlated to customer loyalty.

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To gain every single customer hotel is changing the game of how customer loyalty programs work. Reputable Hotel Chains Change How Their Customer Loyalty Programs Work. Well-known hotel chains have begun thinking about their loyalty programs thanks to .

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Customer loyalty constitutes the dominant factor in a business organization's success. This research serves to add to the knowledge in service marketing literature by improving understanding of the relationship between customer loyalty, customer satisfaction, and image in the hotel industry. Building customer loyalty in the hotel industry is one of the most important steps for a hotel’s success. Travelers in today’s times are spoilt for choice – the options are many and the .

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A hotel loyalty program works in very much the same way as frequent flyer miles work in the airline industry. Guests accumulate free awards when they make repeated purchases with a hotel. Major hotel chains invest largely to get more customers to join their loyalty programs. Loyalty and rewards programs can be among the most efficient mechanisms for marketing your hotel, but getting there requires thinking a bit differently about what customer loyalty is — and how it’s rewarded.