World Coffee Portal research indicates that three quarters of UK coffee shop visitors surveyed regularly use a coffee shop loyalty scheme
The digital new app offers customers one digital stamp per visit or two stamps for every purchase over £20 | Photo credit: Gail's
Gail’s has launched its first digital loyalty programme in response to increased adoption of seamless reward experiences within the UK branded coffee shop market.
The digital new app, which can be downloaded via app stores or in-store QR codes, offers customers one digital stamp per visit or two stamps for every purchase over £20 ($25). The 108-store bakery café chain is also offering a barista-prepared beverage upon signing up to the scheme alongside further personalised offers and rewards.
“We're excited to launch the Gail's digital loyalty programme this spring, in response to how people now are looking to interact with the bakery, our baked goods and drinks. We have been searching for ways to reward our customers digitally by giving them unexpected delights and treats that are specifically tailored to their preferences,” said Marta Pogroszewska, Managing Director of Gail's Bakery.
World Coffee Portal research found 76% of coffee shop visitors surveyed across the UK regularly use a coffee shop loyalty scheme, a 6% year-on-year increase.
The Project Café UK 2023 report shows 73% of consumers surveyed had downloaded a coffee shop app over the last 12 months, compared to 64% in 2021, and 73% had redeemed a free beverage via a loyalty scheme.
The UK’s largest coffee chains all offer rewards-based loyalty schemes to increase customer retention and repeat sales.
Costa Coffee and Caffé Nero offer customers a free beverage after eight and nine purchases respectively, while Starbucks awards three points per every £1 spent, with 150 points equaling a free beverage.
Value-focused bakery chain Greggs also operates an app-based rewards programme, offering free products after nine purchases across each of its bakery and hot beverage segments, while Pret A Manger has a food-focused Pret Rewards scheme which works alongside its in-store beverage subscription programme.
London-based Gail’s has experienced rapid growth across the UK in the last 12 months, reaching its 100-store milestone in October 2022 and expanding outside of the south-east of the UK for the first time with an outlet in Cheshire in February 2023.
Gail’s also expects to open its first drive-thru outlet this year as part of its 25-store growth plan for 2023.
Gail’s cited the success of its growing retail estate as driving sales in the five months ended February 2022. The Bain Capital-backed business said revenues reached £62m ($76m) over the period, accounting for 73% of total sales for the previous 12 months.