8 in 10 are dining out in Christmas survey reveals
Rewards-based promotions could be the secret to stimulating demand.
Rewards-based promotions are effectively amplified during the Christmas season as nearly 85% of consumers plan to dine out, a survey by Meaningful Vision revealed.
The survey found a near-equal split in perceptions of special offers: 14% of respondents agreed there are great offers, whilst 13% disagreed. For those who perceive strong offers, 21% are willing to increase their dining-out budget, and only 7% aim to spend less. Conversely, amongst those who don't see attractive offers, 12% plan to spend less, 12% more, and 14% aim to maintain their spending levels.
Maria Vanifatova, CEO of Meaningful Vision said that the QSR sector faces unique challenges during the holidays as consumers are less likely to visit offices and are more likely to gather at home for Christmas, prepare festive meals, or dine in restaurants.
Successfully addressing these challenges requires innovative and differentiated reward strategies.
“It is important to run promotions during the Christmas season to stimulate demand with existing clients and attract new ones. As there are a lot of promotions running by competitors at the same time it is important to be aware about what they are doing. Creative digital promotions could be a game changer,” Vanifatova said.
In recent holiday seasons, promotional campaigns by QSR chains have leveraged digital platforms and gamification to drive engagement. Campaigns like The McDonald’s Gift Drop, Burger King's "Christmas Cash Competition" run with Coca-Cola, and Subway's "12 Treats of Christmas" from 2022 serve as prime examples of reward-based festive promotions.
Vanifatova said they have also seen an increase in app-based rewards and loyalty rewards.
Free items with purchaser reward also remains a classic and highly effective promotional strategy this year, which accounted for 20% of all promotions amongst the UK's top 100 QSR chains, experiencing an 8% growth in the past nine months.
Popular examples include buy-one-get-one-free deals and free items available for customers who reach a spending threshold. During the Christmas season, freebies like coffee, cookies, and mince pies are common offerings.
Over the past two years, Meaningful Vision has reported a consistent 10% increase in free product promotions during the festive season compared to other months.
“Reward-based promotions during Christmas capture the spirit of giving while strategically fostering long-term loyalty, setting the stage for sustained customer engagement into the new year,” Vanifatova said.
