2011 remained a difficult year for the foodservice industry. However, Foodservice Rewards continued to show increased operator enrollment numbers. Transitioning these operators to true “Foodservice Rewards” mavens with ongoing engagement has become more of a challenge (2012 gamification promotions will assist). One thing remains clear from our FSR_KPI_Reporting_Q4_2011, when an operator engages, they continue to increase purchases among the participating products and sponsors of Foodservice Rewards.
After 10 years, Foodservice Rewards continues to deliver…
The Year in Review shows that Foodservice Rewards continues to deliver results in spite of the tough economic environment that hit commercial “street” restaurants particularly hard…
According to NPD’s Fall 2010 ReCount®, the number of independent restaurants declined by 5,460 units (or two percent) last year. In spite of those numbers – or perhaps because of the resulting margin squeeze – operators joined Foodservice Rewards in record numbers.
- Enrollment – 21,361 new operators enrolled in Foodservice Rewards last year. This is a 17% increase from the past two years where enrollments hovered around 18,000. Our new Enrollment Specialists contributed to the growth completing 16,978 calls and enrolling 1,928 new operators.
- Redemptions – 81,458 operators redeemed 18,838,629 cases last year. That’s an 8% increase in redeeming operators and cases.
- Labels – 98,586,177 or 13% more labels were shipped to 259 plants in North America in 2010 than in 2009.
- Promotions – 149 promotions were run in 2010, a decrease from 167 in 2009. This was the first decrease we have seen and was driven by tighter sponsor budgets. Promotion results improved to an average ROI of 256% or 11,729 incremental cases redeemed by 1,264 operators.
The 4th quarter KPI’s provide additional insight and are a positive measure of Foodservice Rewards continued value to our industry partners.
This month’s Sponsor Update covers our newsletter redesign, the winding down of the DSR incentive, new scanners and updated KPI’s…
This sponsor update covers a number of topics, among them the decision taken at the September Sponsor Meeting to phase out the DSR incentive portion of our program. Over the years, we’ve worked hard to enroll and engage DSRs in Foodservice Rewards. In fact, you may recall that for about three years, we had a full-time person working on DSR enrollment and engagement.
However, only a few thousand DSRs enrolled in the program and a small percentage of them actively engaged. Going forward, existing DSRs can continue to earn points through Sponsor promotions and overrides and can redeem their points for merchandise (their points don’t expire). With the upcoming website re-design, DSR’s ability to enroll will be eliminated and points override earnings will end April 30th, 2011.
On 07.26.10, In KPI's, by Tiger
Q3, 2010 KPI’s reveal a continued growth in the quality of newly acquired operators…
Here are the quarterly KPI’s for April/May/June of 2010.
While the pace of Operator Acquisition has slowed, Acquisition Quality is at record highs, and operators continue to redeem a greater number of products from more Sponsors. As it has in past quarters, retention remains on our watch list and win-backs remain steady.
On 05.01.10, In KPI's, by Tiger
1st Quarter 2010 KPI’s continue to show strength…
Here are the quarterly KPI’s for January/February/March of 2010.
Some highlights: Enrollment remains strong, operator activity in the first 30 days is at near-record highs, operators continue to redeem more products from more Sponsors, retention remains on our watch list and win-backs remain steady.
The year in review statistics and 4th quarter KPI’s continue to show growth despite a tough economic environment…
Sponsors, Operators, and Foodservice Rewards staff worked well together last year and the resulting 2009 4th Quarter KPI’s are holding steady despite a tough economic environment.
On 01.27.09, In KPI's, by Tiger
The Q4, 2008 KPI’s reflect the economy’s broader malaise, albeit with some bright spots…
Included with this update are the latest quarterly metrics through December 31, 2008. Some highlights:
On 09.03.08, In KPI's, Telemarketing, by Tiger
Here are the 2nd quarter 2008 KPI’s in which we introduce a new measure winbacks…
Here are the standard Key Performance Indicators we’ve tracked for years, plus a new one: Progress with coaliton-wide winbacks attributable to our telemarketing efforts which we have expanded from three FTE’s to four (with additional two open positions to fill based on these results.)
On 04.21.08, In KPI's, by Tiger
Acquisition, engagement, and conversion continue to grow as evidenced by the Q1 2008 KPI’s…
As you may be aware, we routinely publish our customer lifecycle KPI metrics as a way to publicly benchmark the coalition’s progress. Here the results from the first quarter of 2008. Highlights:
Q4 2007 KPI’s and Goals: an increased focus on engagement and retention…
Progress progress progress, as reflected in our Q4 2007 Key Performance Indicators. While we’ve added more operators than ever before, it’s also time to increase our engagement and retention efforts. We’ll be supplementing our email communications to operators who haven’t entered a code in 60 days with an additional print campaign to be presented at the April sponsor meeting.
Here’s a preview of our goals for the coming year. As a result of this update some have asked for further clarification of our policy on category exclusivity.
You may recall from prior announcements and Sponsor Meeting discussions of the topic, Foodservice Rewards has not offered category exclusivity to new coalition members for over a year, nor is it available in coalitions launched in new countries, i.e. Australia. Furthermore, numerous categories are now non-exclusive and feature multiple branded sponsors, including Seafood, Soup, Dressings, Poultry, and Beef, to name a few. However, we will continue to exclude your brand’s biggest competitor: Distributor private label.
The purpose of Foodservice Rewards is to establish a sustainable competitive barrier to “price” competition by providing an alternative to discounting. This is a brand equity building aproach – a “gift with purchase,” that reminds operators it is worth paying more for premium brands, especially when they come with rewards and recognition of that customer’s loyalty.
I was recently reminded by Daryl Gormley of Sara Lee that operators have already figured out that everyone’s check averages and customer traffic benefit when multiple operators cluster in one location (even when they are competitors). That’s why you’ll often find a Panera, Starbucks, DQ, Chipotle, Chili’s, Noodles, Breugger’s, Subway, Domino’s and more at the same destination.
Our aim in ending exclusivity as existing contracts expire is to do the same: Cause a rising tide that lifts all boats.