Restaurant loyalty programs entice 78% of customers to visit an eatery to earn points. Surveys also found that even when one of these programs was inconvenient, it drove customers to businesses offering them.
But to truly maximize the benefits of loyalty programs, you need to choose the right concept. Here are some of the top programs to emulate in 2026.
1. Points-Based Rewards Programs For Restaurants
Points-based reward systems are some of the most common and popular among restaurants. The concept is simple:
- Customers accumulate points for every dollar spent.
- Those points can be redeemed for fun rewards, like free food, discounts or perks.
For example, your rewards program may allow customers to trade in 100 points for a free coffee.
A simple program like this is straightforward and encourages customers to visit time and time again to keep accumulating points and rewards.
Points-based systems are ideal for coffee shops, fast food chains and casual dining restaurants. But there are cost implications that must be considered first.
Can your restaurant afford to offer discounts or free items? If so, then this type of program will be welcomed by your customers.
2. Item-Based Loyalty Programs For Restaurants
Item-based loyalty programs are simple and effective. Think of them as the modern-day punch card system.
Customers are rewarded for buying a specific item multiple times until they eventually get one for free.
For example, after buying nine sandwiches, you get the 10th one free of charge.
You could also use a points-based system for this type of program. For example, customers earn a certain number of points for each dollar spent, and once they hit a specific number of points, they can redeem them for a free item (like a sandwich or coffee).
While item-based loyalty programs are simple and effective, they can have a limited appeal to customers.
3. Promotional Programs
Promotional-style loyalty programs motivate customers to dine by offering rewards for a limited time. Often, these surprise promotions aim to boost engagement during special occasions (like birthdays) or slow periods.
These loyalty programs create a sense of exclusivity and urgency, which leads to more repeat sales and loyal customers.
Due to the nature of this type of program, it's ideal for buffets, seasonal or event-based restaurants.
While they can be great for attracting new customers and boosting sales, the short-term nature of these programs makes it difficult to convert first-time visitors into long-time customers.
4. Journey-Based Loyalty Programs
A journey-based loyalty program rewards customers based on their own unique journey with the restaurant. They go beyond transactional rewards and engage customers throughout their visits.
With this type of program, customers are rewarded for hitting key milestones with your brand. For example, a new member may receive a welcome bonus. Long-term members may receive anniversary rewards.
Full-service and casual dining restaurants often use this type of program because it:
- Can be personalized based on the individual customer's dining habits and preferences.
- Allows for customer engagement across multiple touchpoints.
- Encourages long-term customer retention. Customers are rewarded for returning and are rewarded based on their ongoing relationship with the restaurant, leading to long-term loyalty.
The customization, flexibility and personalization of journey-based programs make them a standout choice for loyalty programs, but their complexity can also be problematic. Often, these programs require advanced data analytics to track customer behavior and automate rewards.
Implementing a loyalty program platform can simplify the process.
5. Frequency-Based Loyalty Programs
Frequency-based dining rewards programs are ideal for coffee shops, cafes and fast food restaurants because they reward patrons based on how often they visit.
The very nature of these programs motivates customers to dine at your establishment. They're easy to implement and flexible, but they also get customers into the habit of dining at your restaurant regularly and over the long-term.
But there are some things to consider with this program:
- Customers who don't visit frequently may feel left out or disengaged if they can't dine often enough to earn rewards.
- Some diners may attempt to game the system by making small purchases regularly to qualify for rewards. But you can combat this by implementing a minimum purchase requirement for each visit.
Panera Bread's loyalty program is frequency-based and rewards customers based not only on how often they visit but how much they spend.
6. Tiered Programs
Tier-based restaurant reward programs have different membership levels that offer progressively better rewards.
These levels encourage customers to visit your restaurant often or spend a certain amount of dollars to hit the next tier and gain access to better rewards.
With a program like this, you can tailor your offers for each level. The biggest challenge is making it easy and inviting for everyone to participate, so new members don't feel overwhelmed by trying to get to the next level.
Tiered programs are often preferred by upscale dining establishments and eateries that offer diverse services (dine-in, catering, take-out, etc.).
7. Paid Loyalty Programs
With a paid loyalty program for restaurants, customers subscribe to get access to exclusive perks. They may pay a monthly or annual fee in exchange for getting steep discounts, free delivery, early access to new menu items or other perks.
Paid programs create a sense of exclusivity, and because customers pay to join, they will be even more motivated to visit frequently to make the most of their investment.
These types of programs work best at gourmet eateries or restaurants with loyal and frequent visitors. They boost revenue and can even be a source of predictable cash flow.
That said, paid programs can be complex and may only appeal to a limited audience. Consider whether this option is suitable for your restaurant before implementing it.
The Takeaway
Restaurants with loyalty programs tend to attract more customers and encourage repeat business. But if you want your program to succeed, you need to understand your customers and their dining habits. Then, you can choose a program type that will best fit their preferences.
Weigh the pros and cons of each of these loyalty programs to find a concept that fits your restaurant.