Latest / Leaders in Customer Loyalty, Powered by Loyalty360 / #480: Leaders in Customer Loyalty: Brand Stories | McAlister’s Deli: Crafting Loyalty Through Purpose, Personalization, and a Perfect Cup of Tea

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#480: Leaders in Customer Loyalty: Brand Stories | McAlister’s Deli: Crafting Loyalty Through Purpose, Personalization, and a Perfect Cup of Tea · Leaders in Customer Loyalty, Powered by Loyalty360

0:03
SPEAKER_01: Good afternoon, good morning, Mark Johnson from Loyalty360.
0:06
SPEAKER_01: Everyone's happy, safe, and well.
0:08
SPEAKER_01: It's Thursday, so welcome back to our Leaders in Customer Loyalty podcast.
0:12
SPEAKER_01: This is the Brand Stories edition, where we explore the evolving dynamics of customer loyalty and brand strategy across industries.
0:21
SPEAKER_01: Today we're going to be diving into the restaurant space.
0:25
SPEAKER_01: A sector that's undergoing rapid transformation.
0:28
SPEAKER_01: As value becomes an increasingly critical focus, brands are rethinking how they deliver meaningful experiences to both customers and employees.
0:38
SPEAKER_01: In this episode, we're going to be joined by Daniel Para.
0:41
SPEAKER_01: She's the chief brand officer at McAllister's Delhi.
0:45
SPEAKER_01: Daniel brings a fresh perspective on what she calls craftsmanship, a term not often associated with restaurant brands.
0:52
SPEAKER_01: But she uses it with conviction, passion, and clarity.
0:57
SPEAKER_01: She's going to share how this philosophy shapes McAllister's unique approach to customer loyalty and brand identity.
1:04
SPEAKER_01: We're also going to explore how being a part of a larger consortium of brands, GoTo Foods, seven iconic brands, purpose-driven brands, presents both challenges and opportunities, especially when it comes to leveraging scale, technology, and shared vision to drive innovation.
1:21
SPEAKER_01: But in this case, they do an amazing job of effective engagement across the brand.
1:26
SPEAKER_01: So doing some things that are very unique.
1:29
SPEAKER_01: Danielle, thank you very much for taking the time to join us today.
1:31
SPEAKER_01: How are you?
1:32
SPEAKER_00: I am doing well, Mark.
1:33
SPEAKER_00: Thank you for having me and looking forward to a great conversation about loyalty and all things emotional branding.
1:41
SPEAKER_01: I'm very much excited about that.
1:42
SPEAKER_01: There's nothing I'd rather do except maybe watch my kids play their college sports than uh talk to smart person, smart people about customer loyalty.
1:50
SPEAKER_01: So it should be a great conversation.
1:52
SPEAKER_01: Awesome.
1:53
SPEAKER_01: So for uh first off, for those who may not be familiar, can you give us a brief introduction to McAllisters?
1:59
SPEAKER_01: You know, how, why was the company started?
2:02
SPEAKER_00: Absolutely.
2:02
SPEAKER_00: So McAllisters is a 36-year-old brand that is growing like an entrepreneurial startup.
2:10
SPEAKER_00: And so we're over a billion dollars in sales, over 560 locations, and continuing to grow in a national footprint.
2:19
SPEAKER_00: So the heart and soul McAllisters for those years and what makes us super relevant now is about nourishing connections.
2:27
SPEAKER_00: And so it's deeply rooted in loyalty and emotional connections with our guests and with the communities that we are a part of.
2:37
SPEAKER_00: And we have a space we've carved out that I'll call Fast Casual Plus.
2:42
SPEAKER_00: So I would say we're we're not really like any other concept out there in the sense of we have over 160 menu items.
2:50
SPEAKER_00: Uh, we are rooted in variety, hand craftsmanship, and again, that special aspect of nurturing connections with our guests and with communities.
3:01
SPEAKER_00: And so that's what makes me super proud to be leading this brand and feel very privileged to work with our franchisees and continue to grow this brand and bring that experience to communities across the country.
3:13
SPEAKER_01: That's awesome.
3:14
SPEAKER_01: Uh, we're a big fan of McAllisters.
3:17
SPEAKER_01: We have most of our uh kind of meetings there since we uh don't have an office anymore.
3:21
SPEAKER_01: We meet at McAllisters quite often and uh they know us quite well, and uh so it's it's always good to go there.
3:26
SPEAKER_01: I'm a big iced tea guy, so uh it's uh it's you know guys have great iced tea, which is always a plus.
3:31
SPEAKER_00: Oh, wonderful.
3:32
SPEAKER_00: At the moment, we have peach mango as our featured flavor, and that is flying off the shelf.
3:37
SPEAKER_00: So that one is definitely a winner.
3:39
SPEAKER_01: Yeah, I'm just more of a kind of a black iced tea guy, maybe a little sugar kind of uh aficionado.
3:43
SPEAKER_01: Uh so, but I'm sure peach is good as well.
3:45
SPEAKER_01: That's great.
3:47
SPEAKER_01: You mentioned kind of nurturing connections, and I think as I mentioned, that's one of the things that uh kind of the local McAllister's that we go to does a really great job of.
3:54
SPEAKER_01: Can you talk a little bit about that?
3:56
SPEAKER_01: And you know, uh, you know, is that one of the kind of contributing factors to the great success that you're seeing within the brand?
4:03
SPEAKER_00: Thank you for teeing up that question.
4:05
SPEAKER_00: And I would say absolutely the heart and soul of any brand that can be successful and still growing at the pace we are after over 35 years, is there has to be a differentiation.
4:16
SPEAKER_00: You have to really resonate and win hearts and minds of your guests.
4:20
SPEAKER_00: And I think that's exactly what McAllister's has done.
4:24
SPEAKER_00: It's been part of the DNA from the beginning to really nourish those individual connections.
4:30
SPEAKER_00: We've called it a little something extra.
4:32
SPEAKER_00: So if you think about in your own personal relationships, right?
4:35
SPEAKER_00: What are those relationships that stand the test of time?
4:38
SPEAKER_00: Um, what defines a relationship instead of just a transaction?
4:41
SPEAKER_00: It's about giving that little something extra.
4:43
SPEAKER_00: And it is part of the DNA of really how we we work with all of the team members.
4:49
SPEAKER_00: So what you feel when you describe that connection, you describe your team coming in, we want you to feel like someone has really read the signals of you today, either remembered you as a customer or for the first time you've been there.
5:01
SPEAKER_00: We we call it our first-time guests, are um just the the regulars who don't yet know it, right?
5:08
SPEAKER_00: And so we're looking to bring something, little something extra every day.
5:12
SPEAKER_00: And that's having the managers get out from behind the counter and come in and talk to our guests.
5:16
SPEAKER_00: Um, it's how we have built that into our technology solutions that intersect with that humanity.
5:22
SPEAKER_00: So nourishing connections is part of our formal loyalty program.
5:26
SPEAKER_00: So even when you're not in that dining room with us, you're feeling that connection point and you're you're feeling part of that relationship over time.
5:34
SPEAKER_00: So I would say for us, we are a purpose-driven brand, and that purpose is nourishing connections and it weaves through everything we do from how our operations team show up to how we define our menu strategies, um, and certainly how we've crafted our loyalty program and technology and marketing solutions as well.
5:56
SPEAKER_01: Excellent.
5:56
SPEAKER_01: And as I mentioned, I'm a big iced tea guy.
5:58
SPEAKER_01: Uh, we go to McCallistors quite often, have the tea pass, uh, so it's always good to have some good black iced tea, maybe a little bit of sweet in there.
6:05
SPEAKER_01: Um, but I think sometimes iced tea people kind of get uh neglected a little bit, right?
6:10
SPEAKER_01: Everyone's coffee, cappuccinos, uh being an iced tea person and having such amazing iced tea, it means a lot to me, right?
6:19
SPEAKER_01: And then the food is also solid as well, right?
6:21
SPEAKER_01: And the kind of the experience you mentioned with the managers and the staff, because they they they pretty much cheer just like norm at cheers.
6:27
SPEAKER_01: But uh, you know, what does iced tea or how does iced tea kind of play into that amazing uh you know, customer loyalty you have and the engagement you have?
6:36
SPEAKER_00: Well, first of all, I love that you are a tea fan.
6:40
SPEAKER_00: And, you know, absolutely, whether it's it's coffee or tea or anything that's handcrafted, how you make the beverage matters.
6:48
SPEAKER_00: Certainly how you deliver it with the service and the loyalty wrapper, but for us, the tea has always been a really iconic part of the brand because what you're tasting in that flavor is a proprietary blend.
7:01
SPEAKER_00: We have very exacting specifications of how we blend it, the ratio with water.
7:06
SPEAKER_00: It's served hot over ice.
7:09
SPEAKER_00: The ice is actually a really specially configured type of ice as well.
7:14
SPEAKER_00: And so it is that craftsmanship I was describing absolutely comes to life in the tea.
7:21
SPEAKER_00: And it's part of what we really take seriously.
7:24
SPEAKER_00: In all of our food, we have a little twist, but in the tea in particular, it's been that iconic proprietary blend that again, from from first day of training, if you're if you're a new team member working for one of our franchisees, you are absolutely learning how to craft.
7:40
SPEAKER_00: It's not make, it's craft, how to craft that perfect cup of iced tea.
7:44
SPEAKER_00: Um, and the other thing you mentioned and would love to talk about because it goes into that loyalty as well, is tea pass.
7:51
SPEAKER_00: So tea pass is about leaning into that consumer insight.
7:56
SPEAKER_00: We have fanatical fans of our tea.
7:59
SPEAKER_00: And so, what better way to reward some of our tea fans than create a pass where for a very reasonable price, you get an iced tea every day for 30 days.
8:11
SPEAKER_00: And so that really was the insight behind the tea pass is why not make it easier for our best guests to enjoy a tea every single day.
8:20
SPEAKER_00: Come in, have that experience of seeing your team member.
8:24
SPEAKER_00: Um, bring a friend with you, right?
8:26
SPEAKER_00: Be able to have everything from tea with your lunch to an afternoon snack, maybe a tea and a cookie.
8:32
SPEAKER_00: Um, and just really turn that from a transactional purchase into that relationship.
8:37
SPEAKER_00: And so uh love that you have the T Pass.
8:40
SPEAKER_00: And that was the exact insight behind it is um lots of brands have subscription programs, but for us, it's about, you know, really saying what matters for us is the tea and how do we treat our T Pass customers a little bit differently when they come in as well?
8:54
SPEAKER_01: Excellent.
8:55
SPEAKER_01: Um, you were pointed to Chief Brand Officer earlier this year.
8:59
SPEAKER_01: Can you tell us a little bit more about that role uh with the company or your role with the company?
9:03
SPEAKER_01: And also how did you get to where you are today?
9:05
SPEAKER_01: Uh, were there positions that led you to this role?
9:07
SPEAKER_01: You mentioned that you've been uh part of uh the the seven iconic brands for a while.
9:12
SPEAKER_01: You know, how did you get to where you are today and what is the chief brand officer?
9:16
SPEAKER_00: So I'll start with that last part.
9:18
SPEAKER_00: So, chief brand officer, um, that's the terminology we use within GoToFoods.
9:23
SPEAKER_00: At other companies, you might find these roles called president of the brand.
9:27
SPEAKER_00: And so my job is to look out for um the strategy, operations, growth, um, and marketing of the McAllister's brand, as well as obviously working hand in hand with our franchisee teams.
9:41
SPEAKER_00: Uh, so so that's the terminology we use.
9:43
SPEAKER_00: So each of our seven brands within GoToFoods has a chief brand officer.
9:47
SPEAKER_00: Get in other companies, you might find that to be a president role.
9:51
SPEAKER_00: Um, and so that's a little bit about who who uh what that chief brand officer role is.
9:55
SPEAKER_00: And I have been in this role for McAllisters since January.
9:58
SPEAKER_00: Um, I've been with GoToFoods in total for five years.
10:02
SPEAKER_00: And so in the the four years or so prior to that, um I had the privilege of leading our central marketing and culinary teams across the seven brands, and then transitioned uh to be the chief brand officer for McAllisters in January.
10:18
SPEAKER_00: Um, it's been a tremendous five years.
10:21
SPEAKER_00: Really, uh, my role in those earlier years was to help build that platform company across these seven iconic brands.
10:27
SPEAKER_00: We've built shared services, for instance, a paid media group, whereby we're able to still have absolutely tailored plans for each one of our brands.
10:36
SPEAKER_00: Um build a loyalty program infrastructure where you have absolutely tailored loyalty programs for each of our brands, but do it with some shared services expertise.
10:47
SPEAKER_00: And so we call it kind of allowing the brands to punch above their weight.
10:50
SPEAKER_00: So it's it's a super honor and thrill for me now to be leading a brand using some of those platform engines.
10:56
SPEAKER_00: And therefore, we're winning against competition in a way that's even bigger and better than what McAllister's is able to do on its own.
11:05
SPEAKER_00: So that's a little bit about the um portfolio company and business that we've built here at GoToFoods.
11:11
SPEAKER_00: Um, you asked about my prior background.
11:14
SPEAKER_00: Prior to joining GoToFoods, um I've spent over 20 years in a combination of uh technology and digital roles.
11:22
SPEAKER_00: Uh, early part of my career was actually working for a technology company and helping to bring um loyalty programs to life.
11:30
SPEAKER_00: For instance, uh Caesars Entertainment uh and Harris Casinos back in the day.
11:34
SPEAKER_00: I was part of the team to help really build and craft that loyalty program, one of the first multi-brand loyalty programs, um, as part of the technology team, and then worked full-time with them as well in the marketing function.
11:48
SPEAKER_00: So I've spent a lot of years in restaurants, in hospitality, and in retail in a combination of technology, digital, and loyalty roles, but also um overall brand as chief marketing officer and chief digital officer.
12:02
SPEAKER_00: Um, and in addition to that, uh operations and PL management roles.
12:06
SPEAKER_00: So companies like Caesars, Petco, uh, Pet Boys, uh, prior to coming, I would say, back home to the food industry, which is how I put myself uh through college.
12:17
SPEAKER_01: Excellent.
12:18
SPEAKER_01: When you look at the uh, you know, you mentioned that you uh have kind of a fast casual plus, I think you mentioned earlier, uh, very interesting.
12:26
SPEAKER_01: Uh the whole uh fast casual restaurant industry, QSR, is changing a good deal.
12:31
SPEAKER_01: You know, when you look at some of the changes that you see within the industry, you know, what are some of the biggest challenges or opportunities you see or face?
12:38
SPEAKER_01: You know, what keeps you up at night?
12:40
SPEAKER_00: So I think one of the biggest things, and it's it's been at the heart of what customers are seeking for a while, but it's becoming harder and harder for um companies in our space to deliver, which is value.
12:51
SPEAKER_00: Customers clearly want value, they want connection, and they want to feel like they're connected to a purpose.
12:58
SPEAKER_00: And so for us, um, that's where we continue to lean into what we think is that secret sauce for McAllisters on the value front, because we have such a variety of menu items, and we have something as unique and iconic as our sweet tea, but also spuds, right?
13:17
SPEAKER_00: And we have incredibly unique sandwiches like the jalapeno turkey crunch, where you have jalapeno bread, you've got turkey, avocado, and some spicy chips on there.
13:28
SPEAKER_00: Um, we have salads and really the ability to play in this variety so that you can not have a veto vote in your group and in your friends.
13:37
SPEAKER_00: And people see value in that.
13:39
SPEAKER_00: People see value in that relationship.
13:41
SPEAKER_00: When we talk about Fast Casual Plus, the reason we we describe it that way is you're not coming in and just ordering at a counter and feeling like you're in a transactional environment.
13:52
SPEAKER_00: We we have our employees and our managers that will come and deliver your food and will refill your drinks, have a conversation with you.
14:00
SPEAKER_00: It's part of our service model.
14:01
SPEAKER_00: Um, and ultimately bust your tables.
14:04
SPEAKER_00: So that's where it's a fast casual plus is you're getting that human connection.
14:09
SPEAKER_00: You're getting the table service within our environment.
14:12
SPEAKER_00: And customers give us credit for that, where we see, you know, in an environment where there are a lot more choices in the restaurant space than there have been in prior years, and where certainly inflation has put pressure on consumers, we see our customer satisfaction scores and our value scores from customers going up year over year significantly.
14:34
SPEAKER_00: And so when you say what's changing and what keeps us up at night, we're constantly looking at how do we make sure we're putting value into everything we bring to our customers?
14:47
SPEAKER_00: Um, and that same lens we we do digitally as well.
14:50
SPEAKER_01: And and value is a pretty significant area of uh interest uh within our community, right?
14:54
SPEAKER_01: We meet every week on on different topics, brands lead different uh sessions around disparate topics on customer experience, customer loyalty, and value right now is one of the big uh kind of discussions, right?
15:06
SPEAKER_01: Uh is there value internally of the program?
15:09
SPEAKER_01: Do the customers find value in the program?
15:11
SPEAKER_01: Uh, but also is that program providing value to the customers?
15:14
SPEAKER_01: Uh there's some challenging economic uh kind of headwinds potentially, depending on the industry.
15:20
SPEAKER_01: Uh, and you know, the customers are asking their uh brands they engage with to maybe do more for them, to help them out through this time.
15:27
SPEAKER_01: That's right.
15:28
SPEAKER_01: You know, how are you looking at value uh, you know, from your industry and what does that, what does value mean?
15:35
SPEAKER_00: Value to us has a couple of different dimensions.
15:38
SPEAKER_00: Um, it is it is not just a number from a discount perspective.
15:44
SPEAKER_00: In fact, as a brand, we largely don't play in discount and price point situations.
15:49
SPEAKER_00: We obviously do highly personalized offers and we we we have a loyalty program that has rich value for every time you're purchasing with us, you're getting rewarded and you're earning your choice of rewards.
16:00
SPEAKER_00: But for us, value is so much deeper.
16:03
SPEAKER_00: Our rallying cry around nourishing connections and our approach to loyalty and value is the intersection of a loyalty program, technology, and that human relationship.
16:15
SPEAKER_00: And so, what do I mean by that?
16:17
SPEAKER_00: I'll give you an example of one way that we've we've formalized that value and that loyalty that includes the human interaction.
16:23
SPEAKER_00: When you come into McAllister's to dine with us, in order for the team member to be able to deliver your food to the table and have that interaction with you, you need a table number.
16:33
SPEAKER_00: And so one of the things that we wanted to do, again, operationally embedding it, was say, we need to give a cue to our team member who's coming to deliver that order.
16:43
SPEAKER_00: Is this person part of our loyalty program or are they not part of our loyalty program?
16:47
SPEAKER_00: And so it's actually a different color on the table number.
16:51
SPEAKER_00: And that will designate to the team member is this person already part of our loyalty program, or do I need to have a different conversation with them?
16:58
SPEAKER_00: And so we have built those pieces in.
17:01
SPEAKER_00: If you're a loyalty member, someone's going to come to the table and say, thank you.
17:05
SPEAKER_00: Thank you for being a loyalty member.
17:07
SPEAKER_00: Perhaps it's let me give you a little something extra.
17:11
SPEAKER_00: It's part of our service philosophy, which may be a free cookie today.
17:15
SPEAKER_00: Let me just come and have a conversation with you.
17:18
SPEAKER_00: If you're there with your kids, maybe I'm engaging in what is their activity, right?
17:22
SPEAKER_00: And really have that conversation separate from if I see that you have the table number color where you're not a loyalty program member.
17:30
SPEAKER_00: Great, let me give you a couple of talking points.
17:32
SPEAKER_00: Would you like to earn a free tea today?
17:34
SPEAKER_00: You can sign up today, get credit for your current program, and earn a free tea.
17:40
SPEAKER_00: And so in both of those scenarios, we've empowered them to give a little something extra, to treat the guests differently.
17:47
SPEAKER_00: And it doesn't feel so transactional.
17:50
SPEAKER_00: It feels like someone is really engaging with you as a human.
17:54
SPEAKER_00: And so that's one example of how we look at value so much more deeply and back to that purpose of nourishing connections.
18:02
SPEAKER_01: That's awesome.
18:03
SPEAKER_01: And I know that's that's also a pretty big challenge.
18:05
SPEAKER_01: Significant challenge we have uh or we hear about within our community as well is you know, understanding the program.
18:11
SPEAKER_01: How are you training around the program?
18:12
SPEAKER_01: How much should you empower that frontline employee?
18:15
SPEAKER_01: How much should you trust them, right?
18:16
SPEAKER_01: And that that can be a pretty significant challenge for many brands, right?
18:20
SPEAKER_01: Finding the right person, many brands have internal advocates, right, that that will do some training, store to store, location to location, but that that help kind of assuage maybe the challenges of understanding the program.
18:31
SPEAKER_01: Because if the if the if the employees don't understand the program, the value of the program, the value of that data, the value of the engagement, it can be somewhat challenging for you know them to talk about it.
18:40
SPEAKER_01: But it sounds like you have a very proactive approach to employee engagement and kind of uh training around the importance and impact of the program.
18:49
SPEAKER_00: You have to, and you have to make it simple, right?
18:51
SPEAKER_00: When you when you think about those table colors, we're we're training our human team members as much as anything else.
18:58
SPEAKER_00: You have to make it simple to them, right?
19:00
SPEAKER_00: There are so many things that a frontline employee has to do, whether you're in a retail environment or in a restaurant environment.
19:06
SPEAKER_00: You have to make it simple for them and you have to give them something to your point to offer the customer.
19:11
SPEAKER_00: And so we solve both of those things by embedding it in those operational rituals and doing something like those different color table numbers.
19:18
SPEAKER_01: Excellent.
19:19
SPEAKER_01: I know you recently revamped and relaunched the uh customer loyalty program, the McAllister's reward program.
19:25
SPEAKER_01: You know, what were McAllister's main objectives with the loyalty relaunch?
19:30
SPEAKER_01: Uh, and were you aiming to boost frequency, engagement, spend?
19:33
SPEAKER_01: I mean, were there some kind of definitions or kind of uh kind of did you have like an overall arching approach that you were looking for?
19:39
SPEAKER_01: Or, you know, what were you looking to do?
19:41
SPEAKER_00: We started with a customer at the center and really stepped back and said, again, true to our brand purpose and based on what customers want, what are they telling us?
19:51
SPEAKER_00: And one of those biggest things was choice and continual choice.
19:54
SPEAKER_00: So for our program, one of the backbones, it's a point-based system for the loyalty program itself.
20:00
SPEAKER_00: But one of the key parts of that is you choose your reward, right?
20:03
SPEAKER_00: When you get to that free beverage or dessert, do you want to redeem then or do you want to wait and accrue that for a higher value reward?
20:10
SPEAKER_00: So leaning into that choice, because we know that we have so many different types of customers within our customer base.
20:19
SPEAKER_00: We have everyone from a college student where we're really building that relationship kind of young, um, huge presence on college campuses and in college towns.
20:29
SPEAKER_00: Well, they're motivated by something different.
20:31
SPEAKER_00: Their value uh is probably that free entree, which can last them, you know, two meals.
20:36
SPEAKER_00: Whereas you have a mom with kids in another situation, her value is different, or someone we call them lunch breakers who come in very frequently during the day from a lunch perspective.
20:46
SPEAKER_00: And so we know through our data and through um having a loyalty program that there are all those different needs.
20:52
SPEAKER_00: And we know our customers tell us that part of the value they see is in that variety and choice.
20:59
SPEAKER_00: And so that was a backbone for the program and really building that in.
21:04
SPEAKER_00: And it flows through all of the ways that we engage our customers from a loyalty standpoint and then using that data to give them personalized offers as well.
21:14
SPEAKER_01: That's awesome.
21:15
SPEAKER_01: And I know uh, you know, engaging the customer, engaging the employee to understand not only what they know about the program, but also, you know, if there's enhancements you can make to the program.
21:25
SPEAKER_01: So you seem to be very proactive in that regard as well.
21:28
SPEAKER_01: And, you know, how did you engage with the customers from a VOC or employees VOE perspective to kind of design the new program, the new processes?
21:37
SPEAKER_00: So we're very fortunate to work in a franchise business and we have a franchise advisory council.
21:43
SPEAKER_00: I mentioned that because that's one way that we get the voice of the employees funneled back to us on a regular basis.
21:49
SPEAKER_00: And so I mentioned earlier, we really listen to our guests.
21:53
SPEAKER_00: Um, we we do that through research.
21:55
SPEAKER_00: We also have a um fantastic in the moment, we can actually ask questions on a daily basis through our, we call it guest focus, our program that collects our satisfaction data.
22:06
SPEAKER_00: And so we have a real-time pulse.
22:07
SPEAKER_00: If I have a question today that I want to ask through GoToFoods platform company capabilities, we can literally put a question out there, ask consumers, and and tomorrow I've got an answer to some of those questions.
22:20
SPEAKER_00: So we're constantly seeking voice of the customer.
22:22
SPEAKER_00: Our franchisees provide a large part of the voice of the employee.
22:27
SPEAKER_00: And then we bring those together.
22:28
SPEAKER_00: And I'll tie it back actually to T Pass.
22:31
SPEAKER_00: So T Pass is an example where you know we heard from some of our employees, hey, we have some passionate folks that are in here all the time.
22:41
SPEAKER_00: What can we do for them?
22:42
SPEAKER_00: Right.
22:42
SPEAKER_00: We've had as a brand every year free tea day.
22:46
SPEAKER_00: Just had it on July 17th, where we give everyone free tea.
22:50
SPEAKER_00: Again, we know there is a passion point.
22:52
SPEAKER_00: And they said, what can we do?
22:53
SPEAKER_00: Well, let's create the T Pass.
22:55
SPEAKER_00: Let's have it be for loyalty members only.
22:58
SPEAKER_00: So I'm incenting you to join and I'm rewarding our best customers.
23:01
SPEAKER_00: And let's then train our employees on it so that they can sign our best customers up for the T Pass and give them that value and build that relationship.
23:10
SPEAKER_00: So I would say we use both voice of the customer and voice of the employee data and are always looking to say, then how do we build that into our technology?
23:21
SPEAKER_00: And how do we make sure we've trained those employees?
23:23
SPEAKER_00: So when you come in, they're giving that best experience and really are able to walk someone through what's a T Pass.
23:30
SPEAKER_01: Excellent.
23:31
SPEAKER_01: Uh customer loyalty.
23:32
SPEAKER_01: Uh, we get the privilege of speaking with uh individuals like yourself who run very iconic brands, who have great customer engagement, customer loyalty programs.
23:40
SPEAKER_01: But we always love hearing, you know, what customer loyalty means from a qualitative perspective, right?
23:44
SPEAKER_01: So when you look at customer loyalty, you know, what does it mean to you and to McAllisters?
23:50
SPEAKER_00: Um it means nourishing connections.
23:54
SPEAKER_00: So for us, loyalty is so much more than just the loyalty program.
23:59
SPEAKER_00: Look, a loyalty program, and you in the community know this, a loyalty program is imperative.
24:04
SPEAKER_00: It's imperative that you do it well.
24:06
SPEAKER_00: It's a cornerstone for how we collect data to be able to give even more personalized experiences to our guest, but loyalty does not stop with that program.
24:16
SPEAKER_00: It weaves through everything we do.
24:18
SPEAKER_00: And so I'll give you an example when we think about loyalty in another marketing environment.
24:24
SPEAKER_00: Um, in our social media channels, we have engagement questions and conversations.
24:30
SPEAKER_00: We ask for menu item feedback, right?
24:33
SPEAKER_00: Um, we are always looking for how do we have that lens of nourishing and creating connections and having a two-way dialogue with our customers?
24:41
SPEAKER_00: Um, loyalty for us is did someone have a great experience and they want to choose to come back?
24:48
SPEAKER_00: And to your point, there's obviously metrics we put behind that.
24:51
SPEAKER_00: Are we winning against our competitors?
24:53
SPEAKER_00: Are we driving frequency?
24:55
SPEAKER_00: Did we get a purchase that maybe we wouldn't have otherwise gotten?
24:58
SPEAKER_00: Of course, those are the economics that power a business.
25:02
SPEAKER_00: But but loyalty is really about that relationship.
25:05
SPEAKER_00: And so we measure it through guest satisfaction and feedback, we measure it through social engagement, absolutely through a loyalty program.
25:13
SPEAKER_00: We have over 25% of our sales that are attached to the loyalty program, which in our industry is substantial.
25:21
SPEAKER_00: Um, and we have a large digital presence as well.
25:24
SPEAKER_00: So absolutely it's a combination of qualitative and quantitative metrics, but it is not just about the loyalty program.
25:31
SPEAKER_00: It's about deepening customer relationships every day and in every one of our touch points.
25:37
SPEAKER_01: Okay.
25:37
SPEAKER_01: When you look at your vision for customer loyalty, obviously the McAllister's uh MCA program, the rewards program is integral into that uh kind of vision, correct?
25:47
SPEAKER_00: It absolutely is.
25:49
SPEAKER_01: Excellent.
25:50
SPEAKER_01: Uh, personalization is is another uh area of a pretty significant interest, making sure you have the right offer, right channel, uh you know, uh right content, um, whatever it may be, to these different audiences segments you have, from the young college student to the expected mother to the grandmother or grandparent, right?
26:07
SPEAKER_01: Everyone's gonna have unique experiences.
26:09
SPEAKER_01: So when you look at personalization, how are you personalizing the offer, the experience to these different audience segments?
26:16
SPEAKER_00: Well, this is where it gets really exciting to talk about because the loyalty program gives you the data to be able to do that as well.
26:23
SPEAKER_00: We have tools in our paid media environment, in our web, an app to be able to listen to our customer behavior.
26:30
SPEAKER_00: And we've actually brought all of that together in a centralized customer data platform, which we then use to do that personalization.
26:39
SPEAKER_00: So that personalization comes in the form of an offer that's specific to individuals or individual segments.
26:47
SPEAKER_00: And so we have an offer engine that continually runs and delivers through email, as an example, a tailored offer depending on that profile and that behavior.
26:57
SPEAKER_00: We also have been able to take that data and tie it into paid media.
27:02
SPEAKER_00: So when we're in Facebook or in Instagram, we're able to say, hey, we want to go after customers that look like our best current loyalty customers and let's use that data and target them.
27:15
SPEAKER_00: And we actually can target our current loyalty customers in some of those media platforms as well.
27:22
SPEAKER_00: And so we're very intentional about using that loyalty customer data to do exactly what you're describing.
27:29
SPEAKER_00: Who are our customers?
27:30
SPEAKER_00: Let's create them in segments.
27:32
SPEAKER_00: What is some statistical modeling and AI-driven offer optimization we can do and deliver personalized offers?
27:41
SPEAKER_00: And then how do we reach them with tailored offers and messages and targeting, even in areas like media that are outside of our own channels?
27:50
SPEAKER_01: Yeah.
27:51
SPEAKER_01: Having a media offering, it's definitely kind of a pretty synchronic area of interest, but for you know, a you know, restaurant, QSR, or kind of a fast casual plus, should I say, you know, it's very unique in that regard.
28:02
SPEAKER_01: So that's great to hear that you're doing that.
28:04
SPEAKER_00: It is.
28:05
SPEAKER_00: It's it's actually a great example of where being part of the platform company, um, you know, any one of our brands would probably not be able to afford that technology and expertise on their own, but we pool, you know, that ability and we're able to have expertise that allows us to then punch above our weight and deliver value for our franchisees and our guests that that you couldn't get in a company of our our size otherwise.
28:26
SPEAKER_00: And so it's it's it's really the future of uh doing data-driven demand generation and that that next you know view of of loyalty.
28:36
SPEAKER_00: Um, the other example of using that data-driven piece goes back to what I said in the store.
28:41
SPEAKER_00: We're actually taking that guest information and putting it in front of the cashier as well.
28:46
SPEAKER_00: So they they know you and they know again, do you get the orange or the green uh table tag?
28:52
SPEAKER_00: So we're mapping that through the whole customer journey.
28:54
SPEAKER_00: And that's intrinsically part of loyalty as well.
28:56
SPEAKER_01: Excellent.
28:57
SPEAKER_01: Uh, a couple more questions here.
28:58
SPEAKER_01: You know, what's the next big thing for customer loyalty, customer experience that uh your brand brands are focused on in investing today?
29:08
SPEAKER_00: It's like choosing uh your favorite child.
29:10
SPEAKER_00: You're gonna you're gonna make me pick one.
29:11
SPEAKER_00: There's there's two and they pull in different directions.
29:13
SPEAKER_00: So I might I might have to go with two.
29:14
SPEAKER_00: So one is continuing to lean into more of that personalization and data-driven um personalized marketing.
29:22
SPEAKER_00: Absolutely.
29:22
SPEAKER_00: And that's both in-store and out of store in digital.
29:25
SPEAKER_00: But the second one that we believe in is um the more physical side of it, combining that that data-driven insight with physical.
29:33
SPEAKER_00: What do I mean by that?
29:34
SPEAKER_00: So, for instance, in in the Mardi Gras time frame, big for our brand, we're originally from Mississippi, uh, we actually gave our top 100 customers a hand delivered to their home or office big gift box that was gold foil wrapped, Mardi Gras themed, a true gift from us that included a whole lot of swag.
29:57
SPEAKER_00: Um, actually, this McAllister.
30:00
SPEAKER_00: Cup was one example.
30:02
SPEAKER_00: Some socks and a big physical thank you gift.
30:06
SPEAKER_00: And we're going to do that a few times a year for our customers that are in that frequently.
30:11
SPEAKER_00: And again, that's that's that nourishing connections purpose of yes, you do that through technology and insights, but sometimes that human gift and that human connection is just as important to weave through.
30:22
SPEAKER_01: Absolutely.
30:22
SPEAKER_01: And I think the many brands are looking for that surprise and delight or ways, uh, or should I say, types of rewards or incentives or engagement opportunities that are more experiential, that have kind of a more mode of appeal.
30:34
SPEAKER_01: And it's great to hear that you're doing that.
30:36
SPEAKER_00: It's it, it's really the promise when you think about loyalty, um, and particularly a loyalty program.
30:41
SPEAKER_00: There's a core part of you have to again have a best in class loyalty program that has choice, that's built on points, that gives you that data, but it's what you do with that data and how you personalize it that also unlocks that next level of value and loyalty, we believe.
30:56
SPEAKER_01: Absolutely.
30:57
SPEAKER_01: Uh second last question.
30:59
SPEAKER_01: What are two or three things you're most proud of your program?
31:04
SPEAKER_00: Um I think our customer feedback is what I would say I'm I am most proud of.
31:09
SPEAKER_00: Again, we we set a bar for ourselves to say we have to be continually improving what guests feel about our loyalty program and our brand.
31:18
SPEAKER_00: And we have the mechanisms to be continually monitoring that.
31:22
SPEAKER_00: So that is something that I'm most proud of because at the end of the day, if customers aren't seeing value, um, then you're you're not really winning in the long term.
31:30
SPEAKER_00: And so proud of our continuing increase in value scores and in satisfaction with the loyalty program.
31:37
SPEAKER_00: Um, the other thing I would say is uh new customer enrollment.
31:42
SPEAKER_00: So as we open up in new markets, um we see that loyalty and the loyalty program and our overall brand promise really resonate with new guests.
31:53
SPEAKER_00: And it has helped us continue to set new records for new store openings.
31:58
SPEAKER_00: Every market we go into year over year, we're setting new records in new store opening sales and the amount of loyalty signups as well.
32:06
SPEAKER_01: That's great.
32:06
SPEAKER_01: That's great to hear.
32:07
SPEAKER_01: And it it again, it's something that we see pretty uh significantly or kind of pretty consistently now is this this leaning into customer loyalty and making sure that you're leveraging the data and that your customer loyalty guests are getting the best offers versus someone you may not know as well.
32:23
SPEAKER_01: And it sounds like you're doing the same.
32:25
SPEAKER_00: That's right.
32:25
SPEAKER_00: And you want to create that fear of missing out, right?
32:27
SPEAKER_00: Again, for those that aren't loyalty members, that's why we have that other table tent so we can come out and have that conversation with you.
32:32
SPEAKER_01: That's awesome.
32:33
SPEAKER_01: And then last question, what can the loyalty 360 do to help you or your team in your customer loyalty journey?
32:38
SPEAKER_00: You know, I think continuing to have conversations like this um across industries, we're always looking to say, what are other folks doing?
32:46
SPEAKER_00: Um, what are you seeing that's that's a best practice?
32:49
SPEAKER_00: Um, how can you be the voice for consumers out there, especially in the changing marketplace, right?
32:55
SPEAKER_00: Look, everything is changing so rapidly for consumers in any industry.
32:59
SPEAKER_00: And I think um you guys continuing to nourish this community, have these discussions, and bring your point of view forward is hugely helpful.
33:06
SPEAKER_01: Excellent.
33:06
SPEAKER_01: Well, thank you very much for that.
33:08
SPEAKER_01: Uh it was a great uh great opportunity to get to know you a little bit better.
33:12
SPEAKER_01: Uh, I know we've spoken in the past, but also learn about some of the amazing things you're doing in the council.
33:17
SPEAKER_01: I'm a big, big, big fan.
33:18
SPEAKER_01: Uh, and this is one of the best interviews I've had in a while.
33:21
SPEAKER_01: So, and I've had a string of them recently.
33:23
SPEAKER_01: It's like three or four in a row that have been solid.
33:25
SPEAKER_01: Uh and uh, but no, this is uh a great interview.
33:28
SPEAKER_01: Uh they're not always as impactful or you know, you take away so much.
33:32
SPEAKER_01: So thank you for sharing.
33:34
SPEAKER_00: No, absolutely.
33:34
SPEAKER_00: I've been I've enjoyed it, and uh we'll definitely send you some tea passes too.
33:39
SPEAKER_01: That'd be great.
33:39
SPEAKER_01: But real quick, we have the quick fire questions, which uh we like to get a one-word or short phrase response.
33:45
SPEAKER_01: Uh, and they're easy.
33:47
SPEAKER_01: What is your favorite word?
33:48
SPEAKER_01: Oh, copy.
33:50
SPEAKER_01: Okay.
33:50
SPEAKER_01: What's your least favorite word?
33:52
SPEAKER_00: Uh, anyways.
33:54
SPEAKER_01: Okay.
33:54
SPEAKER_01: What excites you?
33:57
SPEAKER_00: Uh creating new things.
34:00
SPEAKER_01: What do you find tiresome?
34:02
SPEAKER_00: Uh negative people.
34:04
SPEAKER_01: Uh is there a book that you've read or you uh uh read once or twice that you like to recommend to colleagues?
34:09
SPEAKER_00: Do you know what?
34:10
SPEAKER_00: When I read books, this is this is the embarrassing one.
34:12
SPEAKER_00: I am more of like the Tom Clancy, just you know, unplug and do the Jack Reacher Tom Crancy type thing.
34:18
SPEAKER_01: So Is there a profession other than the one you currently are involved in that you may like to attempt?
34:24
SPEAKER_00: Completely outside of this realm, uh social work and working with foster kids.
34:29
SPEAKER_01: That is awesome.
34:30
SPEAKER_01: Is there something that you enjoy, but you often don't get the time to do?
34:34
SPEAKER_00: Uh yes, hiking, uh long distance hiking.
34:38
SPEAKER_00: I used to say running, but that those days are behind me, so hiking.
34:41
SPEAKER_01: Okay.
34:41
SPEAKER_01: Who inspired you to become the person you are today?
34:45
SPEAKER_00: Uh a combination of multiple folks, uh, I would say.
34:49
SPEAKER_01: And what do you think about at the end of the day?
34:53
SPEAKER_00: Family.
34:54
SPEAKER_01: And last question uh how do you want to be remembered by your friends and family?
34:58
SPEAKER_00: Uh as someone that gave of their time and uh and helped others and and also had an impact.
35:05
SPEAKER_01: Excellent.
35:05
SPEAKER_01: Again, Danielle, thank you very much for taking the time to speak with us today.
35:08
SPEAKER_01: Uh it was a pleasure getting to know you more and getting an update on the Calistors program.
35:13
SPEAKER_01: Uh, thanks again.
35:14
SPEAKER_00: Awesome.
35:14
SPEAKER_00: Have a great day.
35:15
SPEAKER_00: Enjoyed it.
35:16
SPEAKER_00: Thank you.
35:16
SPEAKER_01: You as well.
35:17
SPEAKER_01: And thank you, everyone, for taking the time to listen today.
35:19
SPEAKER_01: Make sure you join us back every Thursday for our Leaders and Customer Loyalty Series.
35:23
SPEAKER_01: And until then, have a wonderful day.