Navigating Online Marketing for Restaurants

Tuesday, March 22, 2011

Fishbowl Cocktail Facts

• 10 years old, 130+ employees- Alexandria, VA based

• The leading provider of on-demand marketing software and services to the restaurant industry

• Serving over 40,000 restaurant locations

• Managing an opt-in member database of over 50 million guests

• More than 1.5 billion email messages distributed annually

• Technology and services designed specifically for the restaurant industry

• Chosen partner of leading organizations in the restaurant industry…

Agenda

• Online Marketing Landscape• Guest Acquisition vs. Guest Loyalty• To Groupon or not to Groupon• Facebook, Twitter, Foursquare, oh my• Email is still the king• Paying Attention• The Third Screen• Who and How• Most Importantly• Q&A

Marketing’s Evolution…

TraditionalMarketing

– Telemarketing– Direct mail– Print ads

– TV Commercials– Radio Ads

– SPAM

Online Marketing

–SEO / SEM–Permission based Email

–Social Media–RSS Feeds

–Review sites & Directories

–Mobile Interaction

Consumer Trends

US consumers now spend more hours online than watching TV or any other leisure activity

The Plan

Attract new customers to your brand

Engage with your customers

to increase frequency of

visits

Capture those customers who

want to hear from you

How do you find new customers?

Where do you focus your marketing budget?

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Online Landscape…Confusing?

…Little Bit Less Confusing

AcquisitionLoyalty

9

Location based Marketing trends?

Daily Deals

Connecting the dots

Key takeaway is to embrace how you track if the new guest returns for that second or third visit.

Ensure this by encouraging the guest who redeems the flash-buy offer to sign up for your email club, so you can track if they engage your

restaurant through your email offers.

60% of fans and 79% of followers are more likely to recommend a brand they fan and follow.

51% of fans and 67% of followers are more likely to buy from the brands they fan and follow.

Chadwick Martin Bailey and Imoderate Research Technologies ,2010

500 Million Active Worldwide Facebook

users 20 million people “like” a brand each day!

Social Media = Loyal Guests

Social= Viral = Word of Mouth

Email

• How’s this for a tax deduction---take $10.40 off your check, April 15th only! Alcohol & gratuity not incl, min purchase of $20 required. One-time offer. Mention you read this on Facebook!

Facebook• Tax day fatigue?

Come in 4/15 for $10.40 off a check of $20 or more. Restrictions apply. Just show your Tweet to your server!

Tweet

• Customer "checks" in with your restaurant, finds out about promotion and this is broadcast to their social network (Facebook, Twitter) which in turn advertises your venue to his or her friends, gaining exposure to even more people.

Foursquare

Facebook

People on FacebookMore than 500 million active users50% of our active users log on to Facebook in any given dayAverage user has 130 friendsPeople spend over 700 billion minutes per month on Facebook

MobileThere are more than 200 million active users currently accessing Facebook through their mobile devices. People that use Facebook on their mobile devices are twice as active on Facebook than non-mobile users. There are more than 200 mobile operators in 60 countries working to deploy and promote Facebook mobile products

Activity on Facebook There are over 900 million objects that people interact with (pages, groups, events and community pages) Average user is connected to 80 community pages, groups and events Average user creates 90 pieces of content each monthMore than 30 billion pieces of content (web links, news stories, blog posts, notes, photo albums, etc.) shared each month.

Twitter

10 Billion Tweets

140 Characters or less

50 Million Tweets per day

Over 30 Million registered Users

• Launched March 2009• Over 6 Million users• Over 1 million “Check In’s” per day

over 380M total• Mobile Social Networking with

“Gaming Component”• Restaurants offer Specials and

events to engage users

Foursquare

Why Email Marketing?

• More than 204,000,000 Americans use email regularly-Pew Internet & American Life Project & Google Public Data (April 2010)

• 86% have given their email to a retailer

• $43.52 returned for every dollar spent in 2009-Direct Marketing Association (2009)

• Restaurant customers open and respond to a restaurant’s email

• 75% of daily social media users said email is still the best way for companies to communicate with them.

- Marketing Sherpa (2010)

• “41 percent of consumers surveyed by the NRA say they choose new restaurants because of e-mail promotions... ”

-National Restaurant Association (2010)

ROI Increases with Database Growth

More members more opens more traffic greater ROI.Email database size benchmarks by restaurant category*:

Growing your audience can result in 2 to 4 times greater returns than average. *Data as of December 2010, rounded to the nearest 100

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Category Per Store Average Top 10% PercentileCasual Dine 3,100 7,600

Fine Dine 3,700 4,300Fast Casual 1,000 3,900

Family 600 1,700Quick Serve 500 1,200Your Brand XXX Percentile Rank

Elements of a successful program

Mix of 3 elements: Brand, Community, Loyalty

2-3 Loyalty “gifts” annually to drive enrollment and baseline ROI (ex: BOGO entrée gifts on Welcome, Birthday, Anniversary)

12-18 brand and community messages per year

1-2 other “Surprise” offers, usually one-day offers

= Total of 18-24 communications per year

New Media

Marketing

Mobile Devices

Social MediaEmail

Is email really Social?

How are people sharing?

Connecting Facebook Fans to Email databases

User Signs In

Becomes a Fan

Receive Status

Updates

Responds and

Shares

Fan Signs Up for E-club

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Facebook Email Join Form

Strengthen Guest Relationships

Extend your restaurant’s relationship with itsemail club members by offering an easy wayto connect on social media sites such asFacebook , Twitter, Yelp! And OpenTable. With just the click of a button within the email messages, subscribers can become fans and followers of your restaurant’s social media profiles.

71% of business executives use email to promote their presence on Facebook & Twitter

-eMarketer 2010

Multi-Channel Promotions

2010 Campaign drove 313,764 offline and 171,563 online opt-ins for the new “Denny’s Rewards” Program. More than nine times the total 50,816 guest registrations gained via the 2009 campaign.

Local Business Reviews

Social Media Monitoring

The Third Screen

US Mobile Marketplace• Projected 120 Million Smartphone

users by end of 2015• 50% of Mobile Phones owned at that

time will be a smartphone device • Mobile Devices will outsell PC’s in 2012

accounting for the largest segment of consumer electronic devices sold

• By 2013, more people will access the internet from a mobile device than a PC

Resources- eMarketer, Nielson, Gartner and Morgan Stanley

One Stop Shop

SEARCH

TEXT/SMS

SHARE

EMAIL

INTERACT

SOCIAL

PURCHASE

So What is a QR Code?

“Quick Response” Codes

• QR Codes allow user to quickly scan and be taken to more information

• 70 Million smartphone users have installed a “QR Code Reader” app

• Use in online (web, email, social) and offline (POS materials, print ads) marketing

• Turn standard restaurant items into marketing devices (napkins, receipts, to-go bags, menus, etc.)

• Restaurants can use to offer incentives & promotions• Sign up for email and loyalty clubs easily & effectively• Link to additional descriptions of menu items,

nutritional information or chef demos of dish

• Set up your email account & Social Media Pages (Facebook, Twitter)

• Start with an “Inventory” of current activities to promote

• Build an “Ideas” file of new things to try

• Set aside 60-120 minutes every week to work on your guest marketing√ Plan for 1 to 2 promotions per month

√ Compose and send emails (post to Facebook, Twitter, or SMS too)

√ Respond to guest comments (monitor review sites)

√ Track results, communicate to staff

• Can’t find the time? Hire someone. It’s worth it.

How To Manage Your Online Marketing Program

Most Importantly…

Focus on Being Social!

Have a dialogue…Engage the conversation

Build Relationships

Listen and Respond to comments

Be Unique and Creative

Ask and Answer Questions

Questions?

THANK YOU!

Twitter.com/fishbowljoeFacebook.com/fishbowljoejgabriel@fishbowl.com

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