Panera and PF Chang’s are the first restaurants to try a subscription model for their frequent customers. Melissa Stewart, Senior Executive Director of the Texas Restaurant Association State Regions, says it’s another demonstration of the innovative approach in the industry. “I think this is one more evolution on ‘let’s see if this works, our customers are really different especially from one part of the country to another.’ I think it’s a fun move.”
Panera’s is offering an “Unlimited Sip Club.” For $11.99 a month, or $119.99” a year, customers can get unlimited drinks and Sip Club Saturday. Annual members get free deliveries on orders and a free Shutterfly calendar.
P.F. Chang’s is offering two levels, Gold and Platinum. Gold is free and open to all customers, providing points with each dining experience and a free birthday dessert or appetizer. Platinum is $6.99 monthly, rewarding members with free deliver, priority seating reservations, and double points.
Netflix changed home viewing habits with a subscription model, and this may be the crack that opens a new world for restaurants. It's a recipe for success.
The benefits of a subscription model include having a predictable revenue stream; stronger and longer relationships with regular customers; knowing what demand is likely to be.
Starbucks, McDonalds and Burger King do it. National chains are making the first step, but this is an option your neighborhood diner may consider.
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