Burger King is launching a new Royal Perks reward program nationwide to increase sales and reward customers who remain loyal to the brand.
Two-thirds of its restaurants are expected to offer rewards to customers by October.The plan is already valid for orders placed through the Burger King app and is the first Test in certain markets This past February. Users can register for the loyalty program via text, QR code or short code.
The plan will provide “10 kroner” for every dollar spent and allow customers to enjoy free benefits such as large fries and drinks. Customers can also redeem points for free food on the menu.
Burger King is launching its “Royal Privilege” loyalty program nationwide https://t.co/LKJg3d4QDx pic.twitter.com/aNO5nH5NQN
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“Customers look forward to items and menus that are more useful to them personally,” Allie DotyBurger King’s chief marketing officer told Nation’s Restaurant News. “They want to be rewarded today for their brand loyalty and frequency of use. I think this is even more so today than two years ago, because customers are looking for brands to understand their past behavior in order to make their experience better. “
“We want to make sure that our loyalty program is as simple as possible and actually improves our customer experience, rather than creating a new step for them,” Doty added.
The pandemic has greatly accelerated online orders because it encouraged Burger King’s competitors McDonald’s and Wendy to launch their own reward programs. According to CNBC’s market research agency NPD Group, in the year to March, digital orders surged by 124%.
“I think, especially when we are all experiencing a pandemic, we know that many pro-digital behaviors have indeed increased rapidly, and we think we believe that this behavior will continue to exist,” Doty told the media. “Guests really see the convenience and benefits of joining the loyalty program.”
Last quarter, Burger King reported a 13% increase in U.S. same-store sales, while U.S. same-store sales fell by 9.9% a year ago. McDonald’s and Wendy’s performance has been strong in recent months because all three burger chains hope to expand their business after the lockdown.
Restaraunt Brands stated: “We did not pay enough attention to the few priorities that will have the greatest impact, and we have not acted fast enough on these priorities to accelerate business performance to the level we know we can achieve,” the CEO Jose Sil.
The share price of Burger King’s parent company Restaurant Brands International has risen 5% this year, with a market value of US$29.9 billion.
Photo: Getty Images/GABRIEL BOUYS
