CHICAGO — Fuel-based rewards continue to top the list of incentives for consumers who partake in convenience-store loyalty programs, says a technology provider.
Speaking during a webinar co-sponsored by CSP, Kimberly Otocki, convenience-store marketing specialist for Paytronix Systems Inc., Newton, Mass., said the company's data showed that 73% of customers say the best promotions they receive from c-stores are tied to fuel discounts.
“They’re a great value proposition,” Otocki said about tying rewards to fuel. “And they’re incredibly emotional purchases.”
Some suggested ways to offer discounts and ultimately influence customer behavior include buying a certain item for cents off on fuel, getting cents off per visit or getting the discount as a “welcome reward” for first-time loyalty customers.
Subscription programs are another strategy that Otaki mentioned. Currently employed at many restaurants, the programs ask customers to pay a certain amount per month to “subscribe” to a given service. As an example, a 30-day subscription to a fast-food restaurant could equate to discounted meals.
Giving a real-world example, Otaki said fast-food giant Burger King offers subscriptions for $5 a month. In return, customers receive a free small cup of coffee when they visit. She said that type of coffee-based subscription model could work well in convenience stores.
During the hourlong webinar held March 27, Otaki covered a variety of topics, including different types of promotions, loyalty goals and how to best use vendor funds.
To listen to the webinar, click here for the recording.
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