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Rewards Catalog

🎁 Design Your Rewards Catalog

Section titled “🎁 Design Your Rewards Catalog”

Create a compelling mix of rewards that motivate customers to earn and redeem points while maintaining healthy program economics.

40%
Redemption Rate
healthy engagement

$0.01
Point Value
perceived worth

25%
Breakage Rate
optimal range

85%
Satisfaction
with rewards

Reward Categories

Section titled “Reward Categories”

Quick Rewards (100-500 points)

Section titled “Quick Rewards (100-500 points)”

Purpose: Drive frequent redemption and engagement

Popular Options:

  • Free coffee or tea (100 pts)
  • Signature dessert (200 pts)
  • Appetizer upgrade (300 pts)
  • House cocktail (400 pts)
  • Side dish combo (500 pts)

Strategy: Low-cost, high-frequency items that create habits

Reward Pricing Strategy

Section titled “Reward Pricing Strategy”

Cost Analysis

Calculate True Cost:

  • Food cost percentage
  • Labor allocation
  • Opportunity cost
  • Margin impact

Target: 20-30% of menu price

Perceived Value

Maximize Appeal:

  • Menu price comparison
  • Exclusivity factor
  • Convenience value
  • Emotional worth

Goal: 2-3x cost in value

Earning Velocity

Balance Requirements:

  • Average transaction: 250 pts
  • First reward: 2-3 visits
  • Premium reward: 8-10 visits

Sweet spot: Not too easy, not too hard

Breakage Planning

Healthy Breakage:

  • Target: 20-30%
  • Monitor monthly
  • Adjust if needed
  • Plan reminders

Warning: >40% indicates issues

Seasonal & Limited Rewards

Section titled “Seasonal & Limited Rewards”

  1. Monthly Specials

    • Rotating rewards keep catalog fresh
    • Creates urgency and FOMO
    • Tests new reward concepts
    • Drives regular engagement

  2. Holiday Exclusives

    • Valentine’s dinner package
    • Mother’s Day brunch
    • Thanksgiving feast
    • New Year’s celebration

  3. Flash Rewards

    • 24-hour availability
    • 50% fewer points needed
    • Limited quantity
    • Push notification alerts

  4. Partner Rewards

    • Local business collaborations
    • Event tickets
    • Hotel packages
    • Retail gift cards

Reward Fulfillment Process

Section titled “Reward Fulfillment Process”

Dine-In Redemption

Section titled “Dine-In Redemption”

Process Flow:

  1. Member requests reward
  2. Server verifies balance
  3. Applies reward to check
  4. Updates point balance
  5. Confirms redemption

Best Practices:

  • Train all staff
  • Clear POS markers
  • Quick verification
  • Seamless experience

Reward Optimization Tactics

Section titled “Reward Optimization Tactics”

A/B Testing

Test different:

  • Point values
  • Reward types
  • Descriptions
  • Images
  • Placement

Personalization

Customize based on:

  • Purchase history
  • Preferences
  • Tier level
  • Occasions
  • Behavior

Bundling

Create combos:

  • Meal + drink
  • Multiple visits
  • Group packages
  • Event bundles
  • Tier exclusives

Gamification

Add excitement:

  • Spin to win
  • Mystery rewards
  • Challenges
  • Streaks
  • Badges
Section titled “Popular Reward Examples”

Top Performing Rewards by Category

Most Redeemed
  1. Free coffee (100 pts)
  2. Appetizer (300 pts)
  3. Dessert upgrade (200 pts)
  4. Happy hour drink (250 pts)
  5. Side dish (150 pts)
Best Value Perception
  1. Birthday dinner (Free)
  2. Chef’s special (1000 pts)
  3. Wine bottle (800 pts)
  4. Brunch for two (1500 pts)
  5. Cooking class (2000 pts)
Highest Satisfaction
  1. VIP experience (3000 pts)
  2. Private event (5000 pts)
  3. Meet the chef (1500 pts)
  4. Wine tasting (2000 pts)
  5. Anniversary package (2500 pts)

Reward Communication

Section titled “Reward Communication”

Visual Presentation

Section titled “Visual Presentation”

Online Catalog:

  • High-quality images
  • Clear point values
  • Detailed descriptions
  • Availability status
  • Member reviews

In-Restaurant:

  • Table tents
  • Menu inserts
  • Digital displays
  • Server knowledge

Performance Metrics

Section titled “Performance Metrics”

3.2
Avg Redemptions
per member/year

45 days
Time to First
redemption

72%
Active Redeemers
last 6 months

$28
Avg Reward Value
at redemption

Common Pitfalls to Avoid

Section titled “Common Pitfalls to Avoid”

Reward Innovation Ideas

Section titled “Reward Innovation Ideas”

Surprise Rewards

  • Random point bonuses
  • Mystery reward boxes
  • Scratch cards
  • Lucky draws
  • Instant wins

Social Rewards

  • Group dining packages
  • Referral bonuses
  • Share & earn
  • Team challenges
  • Community goals

Lifestyle Rewards

  • Wellness packages
  • Local experiences
  • Subscription boxes
  • Merchandise
  • Digital content

Tech-Enabled

  • AR experiences
  • Virtual events
  • NFT collectibles
  • Gaming elements
  • AI recommendations

Implementation Checklist

Section titled “Implementation Checklist”

Launch Your Rewards Catalog

☐ Define reward categories and tiers
☐ Calculate point values and costs
☐ Create reward descriptions and images
☐ Set up fulfillment processes
☐ Train staff on redemption
☐ Configure POS integration
☐ Design catalog interface
☐ Plan launch promotion
☐ Establish monitoring metrics
☐ Create member education materials