TLDR

People are willing to pay a monthly subscription charge for music, health products, and streaming services. And now, many restaurants are doing the same for their regular customers. Large chains, such as Panera Bread, are testing subscription models that promise consistent revenue and consumer visits. They discovered that their subscription service was critical to expanding its customer base in the face of inflation. The good news is that, with the right tools, small coffee shops and restaurants can easily create and run a subscription program similar to this one. Read on to learn about how you can achieve success like Panera Bread with subscriptions.

Panera Bread's Subscription Programs

Panera Bread has rolled out some exciting subscription programs that provide great value to customers while encouraging loyalty and repeat business. Their Unlimited Sip Club is a smart innovation, offering unlimited self-serve beverages every 2 hours for just $10.99 per month. This includes coffee, tea, soda, lemonade - all the drinks to keep customers refreshed.

An even better deal is the annual Unlimited Sip Club membership, which gives you the same unlimited beverages for only $119.99 per year. That's a 17% savings compared to paying monthly, making it very attractive for frequent Panera customers to commit for the year.

• The Unlimited Sip Club drives customer loyalty by providing a useful, money-saving subscription.
• The annual plan offers further incentives through an even lower price point.
• These programs encourage customers to return frequently to get the most value.

As a small restaurant or cafe owner, you can implement similar, creative subscription programs to attract and retain patrons. Per Diem gives you control to configure and manage subscriptions tailored to your business. Give your customers deals like unlimited coffee each week or discounted meal plans - the possibilities are endless.

Benefits of Offering Subscription Loyalty Programs

Loyalty programs that offer subscriptions can provide significant benefits for small restaurants and coffee shops. Consider offering a paid subscription plan to customers through your mobile app.

• Predictable revenue stream

‍ Subscriptions provide a steady, predictable revenue source that helps smooth out normal sales fluctuations. Members pay their subscription fee regularly whether they visit or not.

• Higher customer engagement

‍A McKinsey survey shows that members of paid loyalty programs are 60% more likely to actively participate compared to free programs. Subscribers visit and spend more.

• Attract new customers

‍Subscriptions help differentiate your brand and give new customers a low-risk way to try your offerings through an introductory offer.

• Valuable customer data

You gain valuable insights into your best customers, their preferences, visit frequency, and spending habits. Use this to tailor offerings.

• Enhanced customer experience

‍Members appreciate the convenience, discounts, rewards, and VIP treatment. This drives satisfaction and retention.

Set your own subscription tiers, benefits, and discounts, and give your customers the VIP treatment they deserve with a subscription program. It's a proven way to drive revenue, engagement, and retention over the long term.

Types of Subscription Programs to Consider for Coffee Shops & Restaurants

Loyalty programs like Panera Bread’s coffee subscription can be a win-win for customers and businesses. Consider offering your own coffee-centric membership to encourage repeat business and customer loyalty.

• Unlimited coffee subscriptions - For a weekly or monthly fee, give customers unlimited cups of drip coffee, maybe throwing in free refills. This brings people back more often.
• Specialty drink credits - Allow members a set number of barista-made espresso drinks each month. Customers love the variety and baristas can showcase their skills.
• Beverage-of-the-month club - Highlight a new drink every month that’s free or discounted for members. Get creative with recipes!
• Mobile order discounts - Members could get $1 off mobile app orders. Incentivize online ordering with a subscription perk.
• Birthday freebie - Wish loyal customers happy birthday with a free drink or food item. A special treat they’ll look forward to.
• Points programs - Members earn points with each purchase that translate into rewards, like free items.

With the Per Diem app, you can easily create and manage a tired subscription program. Engage customers with deals and perks that keep them coming back. Consider a coffee-centric membership that matches your brand.

How to Get Started With Subscription Loyalty Programs

• Define the objectives and goals for your subscription program. What do you want to achieve? Increased visits and spending per customer? Customer retention? Brand loyalty? Analyze your current loyalty program's data and identify areas for improvement.
• Choose a subscription model that aligns with your brand. Consider an unlimited visits model like Panera, or one with a set number of visits per week/month. Or offer tiered subscription levels.
• Offer an easy signup process through your mobile ordering app. Make it simple for customers to manage their subscriptions, pause/resume them, or cancel online.
• Send tailored push notifications like special deals for subscribers. Make them feel valued.
• Track subscriber engagement over time and collect feedback. Assess which rewards and perks provide the most value. Tweak your program based on insights.
• Partner with other local businesses to provide additional subscriber benefits, like discounts at nearby retailers.

We empower restaurants and coffee shops to better understand customers, personalize loyalty offerings, and develop lasting brand affinity. Sign up to avail features like subscriptions, push notifications, and order-tracking analytics.

Offer Customizable Subscription Programs With Per Diem

Subscription programs provide restaurants with an amazing opportunity to become a vital element of consumers' daily lives, increasing frequency. Local businesses can create customized subscription programs for their customers using the Per Diem subscription feature. 

• Allow guests to purchase weekly drink and food subscriptions through your custom mobile app
• Offer exclusive promotions and personalized rewards to subscribed members
• Customize subscription tiers and benefits to align with your brand

Key benefits of launching a subscription program:

• Drive recurring revenue through automated monthly purchases
• Reward loyal guests and improve retention
• Upsell guests to higher tiers
• Gain customer insights from purchase data

Final Thoughts

Panera Bread's successful subscription program serves as a prime model for entrepreneurs in the food and beverage industry looking to improve customer experiences and streamline revenue streams.

Give your customers the gift of convenience and savings. Provide a way for them to easily order their usual favorites at a discount. Give your customers a reason to make your brand a part of their daily routine. With Per Diem, launching your subscription program takes no time. Give us a try, and turn one-time customers into lifelong fans.

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