If you run a cafe or a coffee shop and are struggling to draw in customers, you’ve come to the right place. Let’s take a look at some objective facts and figures and try to understand how the coffee shop industry is making the best use of loyalty software for cafes and witnessing an impressive growth.
Over 2.25 Billion Cups of Coffee Are Consumed Everyday
In other words, over two out of seven people on the planet drink coffee every day. In America, almost 83% of the population drinks coffee. But why does the number of coffee cups consumed matter if you want to initiate a loyalty program? The number just shows that cafes and coffee shops have a huge market at their disposal. Sure, this means a lot of competition as well, but the fact is that new cafes and coffee shops don’t need to go looking for customers. Additionally, drinking coffee is a habit which is hard to shake off. Hence, if customers like your coffee, they will automatically become loyal to you. The bottomline is that attracting and retaining customers is not as tough as in other businesses.
34% Consumers Consider Cafe Loyalty Programs to Be Important
That’s right. According to Technomic’s Bakery & Coffee Cafe report, one in third of consumers think that a loyalty or rewards program for cafes is ‘important’ or ‘extremely important’ when deciding their choice of bakery cafe, and 36% hold the same belief for coffee cafes. Simply put, without intelligent loyalty software for cafes in place, you could lose up to one in every three of your customers. By the nature of the industry, your cafe or coffee shop might be doing very well without a dedicated customers loyalty program for cafes; but implementing the same will definitely add value and increased customer retention.
Starbucks Mobile App and Loyalty Cards Hold over $1.2 billion
Starbucks Rewards, arguably the most successful loyalty program for coffee lovers, has managed to propel business growth and revenues for one of the world’s largest coffee chains. Consider this: combined, the Starbucks mobile application and loyalty cards have a total of $1.2 billion loaded on them. This figure is nearly double the profits of the company a few years ago. Here’s some more: Starbucks Rewards is the most regularly used loyalty rewards app; the program helped shore up revenues by up to $2.65 billion; and over half the sales today come from the program.
Coffee Shops Are Growing Faster Than Fast Food Chains
Coffee shops have witnessed a growth of 9.1% in 2014-15, as opposed to 5.7% growth in the restaurant industry and 5.8% in the global fast food industry. What makes this number even more important is that this growth was consistent across the world, as per the Euromonitor International data, and is expected to climb up even further in Asia. Specialist coffee shops witnessed the best growth, as the culture of international coffee drinking gained prominence. One can expect the industry to continue to register a healthy growth in the foreseeable future as well.
To sum up: there is a huge market of coffee-drinkers, who consider loyalty programs to be of significance, and have shown a tendency to use new age digital products to maintain their loyalty accounts. What’s more, the industry is expected to grow at a decent rate as well. While all these facts can be reaffirming for any coffee shop owner, they underline the importance of loyalty software for cafes and coffees shops like never before. Sign up for a loyalty software provider, like Loyera, today, and be future-ready.