The study, based on a survey of over 2,000 U.S. adults, indicated that 78% of restaurant subscribers and 73% of those interested in subscriptions exhibit strong loyalty to their preferred quick-service restaurants (QSRs).
GLOTaco Bell is exploring innovative approaches to enhance customer loyalty through short-term menu item “passes,” according to Chief Digital Officer Dane Mathews. Instead of traditional subscription models, Taco Bell has introduced limited-time offerings like the Taco Lover’s Pass, providing one free taco per day for 30 days at $10. The recent introduction of the Nacho Fries Lover’s Pass extends this concept to Nacho Fries. Mathews highlighted how these passes not only drive engagement during the 30-day period but also contribute to stronger, longer-term relationships with the brand, fostering digital and loyalty connections.
In an interview with PYMNTS, Mathews emphasized the positive impact of these passes on consumer behavior, noting that customers not only increase their engagement during the pass period but continue their interactions even after its expiration. Taco Bell’s approach has become an accelerant for building robust relationships through digital channels and loyalty programs.
PYMNTS Intelligence’s study, “Digital Divide: Restaurant Subscribers and Loyalty Programs,” revealed the significance of subscriptions in reaching restaurant customers open to becoming loyal supporters. The study, based on a survey of over 2,000 U.S. adults, indicated that 78% of restaurant subscribers and 73% of those interested in subscriptions exhibit strong loyalty to their preferred quick-service restaurants (QSRs). In contrast, 41% of those uninterested in subscriptions expressed similar loyalty.
Taco Bell has observed the positive impact of its food passes on customer engagement across various menu items. Mathews mentioned that consumers not only redeem their daily freebies but also make more frequent trips to combine pass activities with other menu selections, contributing to overall business growth. By focusing on a side dish like Nacho Fries in its latest subscription offering, Taco Bell aims to further drive additional purchases.
Moreover, this model encourages eCommerce engagement, linking customer behavior to their digital profiles. Mathews stressed the importance of recognizing customers connected to transactions rather than merely focusing on transactions.
Looking ahead, Mathews sees the potential to apply similar pass models not only to menu items but also to services. Drawing inspiration from other brands that have experimented with subscription services, he hinted at the possibility of consumers purchasing services upfront in innovative ways, expanding the scope of subscriptions and passes to offer more for consumers in the 21st century.
Source: PYMNTS
