Plastic cards. How much are they?
Let’s calculate case for average medium level restaurant with 100 sits with average visiting rate. So it’s not fully packed all day. I got numbers from general manager of one famous Malaysian restaurant. This statistic base on 19 years experience. So we can believe it.
One place with 100 sits has 15000 customersper month.
Following Pareto rule (20/80) I can say 3000 customers are regular.
Ok, I'm not so optimistic, let’s say service is not good, place is at turist area, food could be better. So it’s only 10% regulars - 1500 people.
15000(visits) x 12(month)= 180 000 visitors per year. 18 000 visits from regulars.
How many time per year do you visit same restaurant? I don’t really go more often then 5 times. There are so a lot of places to go.
18 000 visits I divide by 5 i have 3600 realy regular customers.
Let’s give them membership card.
price per unit is 2.3 RM (april 2018)
One “OK” quality card with magnetic stripe and uniq number will cost 2.3 RM (Malaysian Ringgit).
3600 regulars X 2.3 rm = 8280 rm per year. this is minimal cost is you are super accurate and give cards only to those who promise you to come at least 5 times.
How about reality? Who do we provide membership cards? To everyone who ask for discount. We hope they will become regulars. So we can surely triple amount of issued cards.
8280 RM becomes 24 840 RM per year just for for plastic. By the way it’s around $6500 USD.
Ohh, amost forgot about loss rate. I guess you always lose your plastic cards, so our customers are same. Let’s add there 10% of total to lose rate.
Total for plastic: 27 324 Malaysian ringgit.
It is 5 times more expensive then to use digital loyalty system based on comprehensive CRM tool. .
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