Gift Card Marketing During COVID-19 & How It Can Help Restaurants
If restaurant gift card marketing isn’t already part of your marketing strategy, it’s time to make it a priority.
Why?
First and foremost, gift cards provide restaurants with an immediate source of revenue – cash that can be incredibly valuable for restaurants that run on notoriously thin margins. And even when cash flow is not a concern, gift cards help bring old customers back to your business and encourage new ones to visit you for the very first time. In fact, 44% of consumers said that gift cards encourage them to try new restaurants that they would not have otherwise visited.
In other words, gift card marketing is a valuable way to diversify your revenue stream, while increasing customer volume.
To help you kickstart your own restaurant gift card marketing strategy, this article will cover various restaurant gift card ideas and how you can use this channel as a way to drive sales and repeat business. In this article, we’ll go over:
- 5 benefits of gift cards for restaurants
- The different types of restaurant gift cards available
- 8 gift card marketing ideas for restaurants
While not every venue will be able to apply these restaurant gift card ideas, this article can serve as a valuable resource for restaurateurs looking to implement some form of gift card marketing.
Learn More About TouchBistro Gift Cards
5 Benefits of Gift Cards for Restaurants
Gift cards have always been a valuable source of revenue for restaurants and gift card sales have been on the rise for several years. But in the wake of high inflation and soaring food, gift cards have become even more valuable to restaurants.
Below are some of the biggest benefits of gift cards for restaurants, particularly during times of crisis and recovery.
1. Immediate Cash Flow
Cash flow has alway been a major issue for many restaurants, which run on thin profit margins of just 3-6%.
Not to mention, some restaurants are still working to recover the money lost during the height of the pandemic.
Fortunately, restaurant gift cards can help to address some of these cash flow issues. Restaurant gift cards are effectively microloans, providing a quick injection of cash – with virtually no cost of goods sold. When customers purchase gift cards, restaurants can use that cash immediately. This money can then be used to pay for rent, inventory, staff, and other bills.
2. Brand Awareness
The restaurant renaissance is here and people are eager to go out and enjoy meals with friends and family. Gift cards are a great way to ensure that customers will remember your restaurant and head to your venue first, instead of your competitors. This is especially true if you use your gift cards as an opportunity to show off your unique branding – something that you can easily do with TouchBistro Gift Cards.
In other words, the gift cards you sell now ensure there will be diners in your seats in the near future.
3. Boost Sales
And you do get diners in the door, you can expect them to spend a little more. Studies have found that 72% of gift card holders spend more than the original value of the card, which means more money in your pocket at the end of the day.
And even in instances where customers spend less than the original value of a gift card, the remaining balance acts as an incentive for the customer to visit again – which is still a gain for your restaurant.
4. Attract New Customers
For restaurants, attracting new customers is always a top priority. Luckily, gift card marketing can play a role in bringing new customers into your restaurant.
Gift cards allow people who already know and love your restaurant to encourage others to visit by providing a financial incentive to do so. In other words, gift cards allow your regulars to become brand advocates who vouch for your food and service by encouraging others to try your restaurant out. This can easily translate into a whole new audience for your restaurant with 44% of consumers saying that gift cards encourage them to try new restaurants they would have otherwise overlooked.
5. A Way for Customers to Support Small Business
After seeing how many small businesses were devastated by the effects of the pandemic, a growing number of consumers have expressed an interest in supporting small and local businesses. In fact, a 2021 study by Mint found that 82% of consumers said they planned to spend more to support local businesses after the pandemic.
Many independent restaurants have loyal customers and devoted regulars, and gift cards offer a quick and simple way for patrons to support their favorite local venues.
Gift Card Options for Restaurants
There’s no doubt that gift cards offer many benefits for restaurants. But when it comes to actually getting gift cards into the hands of customers, you have a few different options.
Below, we cover the two main types of gift cards your restaurant can offer – physical vs digital gift cards.
Digital Gift Cards
As many restaurants learned during the early days of the pandemic, offering digital gift cards is one of the easiest ways to sell gift cards for your restaurant.
If you use a digital gift card solution, customers can easily purchase and personalize gift cards online at any time. These digital gift cards can then be redeemed in-store by either scanning the associated barcode or by manually entering the numerical code attached to the digital gift card.
Physical Gift Cards
Though digital gift cards have become increasingly popular, physical gift cards still offer many benefits for restaurants. Many customers still prefer the look and feel of physical gift cards, especially when these cards are customized to match a restaurant’s branding, or their part of special occasions like birthdays and holidays. Millennials and younger consumers are also the primary audiences for digital gift cards, which means if you have an older clientele, they may prefer the familiarity of physical gift cards.
If you do choose to offer physical gift cards, there are one of two types of cards to choose from:
- Barcode-Based Gift Cards: This type of physical gift card comes with a unique barcode/QR code that is associated with the customer who purchased the card.
You will need a barcode scanner to be able to scan these types of gift cards. - Magnetic Stripe Gift Cards: Magnetic stripe gift cards are more secure than barcode-based gift cards, but they are less durable because the magnetic stripe can wear out over time. This type of gift card can be redeemed by swiping it through a credit card reader.
You will need a barcode scanner to be able to scan these types of gift cards.Once you’ve determined what type of restaurant gift cards you need, the next step is finding a solution to implement gift cards in your venue. Ideally, you should be using a gift cards solution that is directly integrated with your restaurant POS system. An integrated gift card solution allows you to easily create and promote customer gift cards for your restaurant, and then track sales, redemptions, and overall performance in your POS.
TouchBistro Gift Cards is one example of a POS-integrated gift card solution. With TouchBistro Gift Cards, you can choose to offer guests the ease and convenience of digital gift cards that can be purchased, sent, and redeemed all through your very own Customer Web App.
Or, you can choose to create customized, physical gift cards for your restaurant and show off your unique branding. No matter which option you choose, you’ll be able to unlock powerful reporting and end-of-year reconciliation support.
Learn More About TouchBistro Gift Cards
8 Restaurant Gift Card Marketing Ideas
Now that you’re well-versed in the many benefits of gift cards for restaurants and you’ve evaluated all the different gift card options, it’s time to implement your gift card marketing strategy.
To help you get started, we’ve rounded up eight actionable restaurant gift card ideas that can help your venue make the most of this valuable income stream:
1. Increase In-Store Visibility
Whether your venue is teeny tiny or a sprawling space, it’s important to increase in-store signage for gift cards. If possible, create an eye-catching display to draw attention to the fact that gift cards are readily available from your restaurant. If you use TouchBistro’s physical gift cards, your provider can even help you create an in-venue display specifically for your restaurant.
Of course, not every restaurant has the means to whip something up in Photoshop on a moment’s notice. If your design skills are limited, you can always use your words. Let customers know that gift cards are an easy way to support the independent restaurants they love and that purchasing a gift card will help your business continue serving the community.
2. Motivate Staff to Promote Gift Cards
It’s vital that staff make the most of every interaction with customers whether it’s in-person, over the phone, via email, or through social media. Make sure that staff are reminding customers that gift cards are a great way to support your restaurant and ensure they explain exactly how your gift cards can be purchased.
While motivating staff to promote gift cards is important, stay away from mandatory quotas or creating competition among staff. Quotas can lead to more aggressive sales tactics and you don’t want staff to start pressuring your customers into buying something they don’t want.
3. Go Digital
With an increasing number of customers ordering online and fewer opportunities to interact with customers in person, digital gift cards are increasingly valuable for restaurants. As mentioned above, digital gift cards allow customers to immediately support your business – without the need to set foot in your store – making them an easy and convenient option for customers.
Of course, your customers can’t purchase digital gift cards if they don’t know that it’s an option. If you already have a gift card integration on your website, add a promotional gift card banner to your homepage to make sure that it’s the first thing customers see when they visit your site.
4. Use Email Campaigns
Many foodservice businesses are increasingly relying on restaurant email marketing to stay in touch with customers. If you already have a solid email list, this is the perfect marketing channel to advertise your gift cards.
For instance, with TouchBistro Marketing you can design and send eye-catching email promotions, so you can create specific campaigns promoting your physical or digital gift cards.
Just make sure that any emails you send clearly explain how customers can purchase gift cards from you – whether it’s digitally or in-store.
5. Leverage Social Media
Customers don’t always go directly to a restaurant’s website, which is why it’s important to promote gift cards across all your channels, including social media. On Instagram, Facebook, and any other social media platforms you use, highlight your gift cards to make sure customers know their options. And don’t forget to explain how customers can purchase gifts cards in your post – whether it’s online, through your dedicated web app, or over the phone.
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6. Promote Self-Gifting
Traditionally, restaurant gift cards have been a great gift option for the holidays or other special occasions – hence the name, gift cards.
However, sometimes no special occasion is necessary. Remind your customers that self-gifting is also an option and can be a great way to treat themselves or their family to a delicious meal in the near future.
This is especially important as a growing number of consumers are looking for ways to support local businesses. If your customers are looking for opportunities to support your restaurant, remind them that they can simply buy a gift card (or other merchandise) for themselves and enjoy it at a later date.
7. Sweeten the Deal
Restaurants have long used the tactic of throwing in additional perks if customers purchase a gift card worth a certain amount. For instance, customers might receive an extra $10 gift card with the purchase of a $50 gift card. This can incentivize customers to purchase a larger gift card amount to receive the additional credit. Similarly, you might offer a bonus gift card, or a certain percentage off the face value of the gift card, if customers purchase on a particular day or at a specific time.
Though this tactic is not new, it may be a good way to increase the value of the restaurant gift cards your customers are currently purchasing. For instance, if a customer only intended to spend $40, they might be willing to spend another $10 now to receive an additional $10 off in the future.
8. Bundle Your Gift Cards
For some restaurants, takeout and delivery operations have significantly ramped up (and stayed that way). If takeout and delivery are a big part of your business, you might want to consider bundling gift cards with certain orders. For instance, if a customer places a large order for takeout or meets a certain dollar amount for delivery, you could offer a gift card for a discounted fee.
Though it may seem counterintuitive to discount your gift cards, the idea is that customers may be incentivized to place a larger order to take advantage of your special offer.
No matter what type of restaurant you run, restaurant gift card marketing should be a part of your overall business strategy.
Gift cards not only provide a much-needed injection of cash, but they can also be valuable for restaurants with a loyal customer base and a strong community following, as they provide a tangible way for customers to support their favorite local businesses.
by
Katherine Pendrill
Katherine is the Content Marketing Manager at TouchBistro, where she writes about trending topics in food and restaurants. The opposite of a picky eater, she’ll try (almost) anything at least once. Whether it’s chowing down on camel burgers in Morocco or snacking on octopus dumplings in Japan, she’s always up for new food experiences.
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Newport Restaurant Group | Newport, RI
Vibrant dining experiences at unparalleled locations are now right here at your fingertips.
One card offers incomparable culinary dining experiences at 14 unique dining experiences across the Ocean State and Massachusetts. Purchase online for added convenience and have the card shipped to you, or choose to have your card shipped directly to the recipient with a personalized, handwritten note.
Gift cards may be used at the following locations:
- 22 Bowen’s
- Avvio Ristorante
- Bar ‘Cino
- Boat House
- Castle Hill Inn
- Hemenway’s
- Iron Works
- La Vecina Taqueria
- The Mooring
- Papa Razzi
- Smoke House
- Trio
- Waterman Grille
- Foodlove Market
We believe in giving!
We are fortunate to be able to create memorable experiences for you, through thoughtfully crafted meals. But there are many in our community where food and nutritional insecurity is an everyday struggle. Born from our employee-owner’s desire to support the greater good, the Newport Restaurant Group proudly donates $2 for every gift card order sold to local food banks and area non-profits committed to building a sustainable and local food supply for those in need.
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Terms & Conditions
- Gift cards may be used at the following locations: 22 Bowen’s, Avvio Ristorante, Boat House, Bar ‘Cino, Castle Hill Inn, Hemenway’s, Iron Works, La Vecina, The Mooring, Papa Razzi, Smoke House, Trio, Waterman Grille and Foodlove Market.
- Purchases will be deducted from the gift card amount until the value reaches zero.
- Gift cards cannot be exchanged for cash and cannot be replaced if lost or stolen.
- Gift cards are not valid on special events or private dining functions.
- Fare Rewards CREDITS cannot be used to purchase gift cards.
- Fare Rewards POINTS cannot be earned on the purchase of gift cards.
- A gift card may not exceed the value of $2,000.
- Gift cards cannot be used when placing delivery orders through third party services (i.e. DoorDash, GrubHub, etc.).
- Please allow 2 to 3 business days for processing
Summer Gift Card Promotion Additional Terms:
- Sale begins on Friday, June 9, 2023 at 12:01 am and runs to 11:59 pm on Sunday, June 18th.
- The promotion is available for online purchases only. Not available at business units.
- The promotion is buy $100 in gift cards and get a $20 card free, plus free standard shipping.
- The bonus is $20 for each $100 spent within one order.
- For physical gift cards, the bonus card will be shipped to the shipping address you provide. It cannot be shipped to a different address.
- On eGift orders, the eGift will be emailed to your specified recipient. The bonus eGift will be emailed to the purchaser’s email.
- Gift cards and bonus gift cards cannot be used for special events or private dining function.
- There is no expiration on either the bonus card or the gift card.
- Orders placed prior to June 9, 2023 or after June 18, 2023 are not eligible for promotional bonus.
Gift certificate to the restaurant
Author Nikolai Astakhov Reading 7 min Views 120
Updated
In the conditions of modern life, when each of us seeks to optimize our time and energy expenditure, gift certificates have become not only a familiar, but also a very popular gift. This is especially true of the PS for going to a restaurant, which allow the recipient not only to enjoy delicious food and a pleasant atmosphere, but also to avoid having to take care of choosing a place and paying the bill on their own.
This article proposes to consider why gift certificates for going to a restaurant have become such a popular and convenient present, as well as to find out the main features of this kind of PS.
Contents:
- Dine-in is the best present
- Romantic Dinner Gift Voucher
- Description
- What it is
- What’s included
- What you get
- Who is it for
- How to purchase a certificate
- Reviews of a gift certificate for going to a restaurant
- Answers to popular questions
Going to a restaurant is the best gift
Going to a restaurant is not only an opportunity to enjoy delicious food and a pleasant atmosphere, but also a great gift for relatives and colleagues.
The modern rhythm of life leaves little time for a pleasant stay and new experiences, so PS have become very popular and in demand.
They allow you not only to enjoy excellent service and a cozy atmosphere, but also to avoid having to take care of choosing a place and paying the bill yourself. Therefore, if there is a need to make an ideal and original gift for your loved ones or colleagues, then going to a restaurant is the best choice.
Romantic Dinner Gift Certificate
This is a wonderful way to please your partner.
This gift will create a romantic atmosphere and spend the evening in a cozy and stylish establishment, enjoying exquisite cuisine and pleasant service.
In addition, PS will suit a number of holidays and memorable events:
- for St. Valentine’s Day;
- wedding anniversary;
- anniversary or just to create a pleasant atmosphere for any day.
Therefore, if there is a need to make the perfect present for your soulmate, PS should be considered as the best option.
Description
A gift certificate is a great way to please your family and friends by giving them the opportunity to enjoy a gourmet dinner in a pleasant atmosphere. What follows is a discussion of all aspects of such a gift, from what a POS is for dinner at a restaurant, to what is included in the price, what the recipient receives, and for whom this gift might be the perfect choice.
What it is
Dinner Gift Voucher is a gift given to loved ones or friends to enjoy a gourmet dinner at one of the selected restaurants.
This is the perfect way to please your loved ones, show them your care and attention. Such a present will be an excellent option for a birthday, wedding anniversary, Valentine’s Day, as well as for other holidays and important events in a person’s life.
PS allows you to choose a place for dinner, as well as pay for it in advance. This is convenient, since the person who receives the gift can independently choose the institution that he likes best and a convenient time to visit.
Such a present allows you to avoid having to take care of booking a table and paying the bill yourself, which makes it very popular among people who value their time.
What’s Included
Restaurant Dinner Gift Vouchers may include different options, depending on the specific terms and conditions of the restaurant or FP service.
Usually the price of a gift includes:
- dinner, which can be agreed in advance;
- services provided by the establishment, eg guest service, pleasant atmosphere, live music;
- additional services, such as transfer, photo session, wine tasting, etc.
However, please note that the specific conditions and services included may vary greatly depending on the particular institution or service providing the PS. Therefore, before buying a gift certificate for dinner at a restaurant, you must carefully read the terms and conditions in order to avoid unpleasant surprises and get real pleasure from the gift.
What you get
Get a PS – a chance to immerse yourself in a unique atmosphere, enjoy delicious food and pleasant company. Such a gift makes it possible to spend time in a cozy and comfortable environment, taste dishes that you have not tried before, as well as get unforgettable emotions and impressions.
In addition, PS allows you to avoid having to worry about booking a table and paying the bill, which makes it very popular among people who value their time. It is also a great way to show your loved ones that you really care about them and want to please them with an unforgettable gift.
A lot depends on the particular restaurant and the conditions in which the dinner will take place, but in any case, a PS for dinner at a restaurant is a great way to diversify your leisure time and give yourself or your loved ones a few hours of pleasant pastime in a wonderful company.
Who is suitable for
PS is suitable for almost any person who loves delicious food and wants to relax in a pleasant company in a cozy atmosphere.
Such a gift would be the perfect solution for couples who want to spend a romantic evening by candlelight, or for friends who want to celebrate some special occasion.
In addition, a gift certificate for dinner at a restaurant will be a wonderful gift for colleagues, business partners, or for relatives and close friends who appreciate the culture of food and want to taste dishes from different cuisines of the world.
All in all, PS is a versatile and elegant gift that is suitable for people of all ages and interests who want to take a break from their daily routine and enjoy delicious food and good company.
How to purchase a certificate
There are several ways to purchase PS.
First, you can buy PS on the spot in the restaurant itself. To do this, you need to contact the staff who will help you choose the appropriate certificate option and carry out the necessary payment procedures.
Secondly, you can purchase PS on the restaurant’s website or on specialized websites that sell gift certificates for various services and goods.
To do this, just select the desired institution and follow the instructions on the site, including choosing the type of PS, paying and receiving it in electronic or paper form.
Some restaurants also offer the opportunity to order a PS by phone or send a request by e-mail, after which the manager will contact you to clarify the details and make payment.
Restaurant Gift Certificate Reviews
“I got such a wonderful restaurant gift certificate from my friends for my birthday and it was a wonderful evening! The restaurant is cozy and atmospheric and the food is just incredible. I will definitely come back here again!”
“I bought a PS for my wife for our anniversary, and guess what! We enjoyed a great dinner in a romantic atmosphere and I cannot say how grateful we are for such a wonderful gift.”
“Ordered PS to go to a restaurant for my brother for his birthday and he was delighted! He loves good food and the place we chose is perfect. We enjoyed every meal and even received a souvenir from the restaurant as a gift.
”
“Received a gift certificate for going to a restaurant from my colleagues for the New Year, and I was surprised how cool it is! We all got together and had a wonderful evening enjoying delicious food and good company. I definitely recommend PS as a great option for a group presentation.”
“I decided to buy a restaurant gift certificate for my parents for their anniversary and they were very happy! The restaurant we chose provided a great atmosphere and delicious food. My parents were happy to spend such an evening together.”
Answers to popular questions
What is a restaurant gift certificate?
A restaurant gift certificate is a gift that allows the recipient to enjoy a delicious dinner or lunch at a restaurant of the gift sender’s choice.
What is the validity period of a gift certificate for going to a restaurant?
The expiration date of a gift certificate may vary depending on the particular establishment or company that provides the gift certificate.
Usually the period of validity is from 6 to 12 months.
Can I use PS for any day?
You can usually choose the date and time to use the gift certificate, but sometimes the restaurant may have certain restrictions. Therefore, before buying, it is recommended to clarify all the conditions for using the certificate with a particular restaurant or company.
Can I use PS for more than one meal?
The number of meals that can be ordered with a gift certificate may vary by certificate and restaurant. Some certificates may only cover one meal, while others may be valid for multiple meals.
Which restaurant should I choose for a restaurant gift certificate?
Choosing a restaurant for a restaurant gift certificate can be an important factor. It is recommended that you choose a restaurant that is suitable for the gift recipient in terms of location, type of cuisine, and ambiance to ensure that you enjoy the gift to the fullest.