Effect Of Loyalty Program Fee On Program Perception Essay


Discuss about the Effect Of Loyalty Program Fee On Program Perception.


SWOT Analysis


The image of the company is well established on a global scale, as it has restaurants in more than 100 locations. The company also provides facilities to the customers who want to reserve the area so that they can come and dine at a later period. The restaurant also offers beverages in its menu so that it can attract the customers who would like to have a drink with the food that they have ordered (Espinosa, Monahan & Ortinau, 2016).

The company also provides the option of presenting ‘Gift Cards’ to the customers so that they can gift the coupons to the near and dear ones. The use of these cards are a tool of promotion for the company, as the customers who have visited the restaurant can communicate with others regarding the quality of food that is provided by the company. It will also act as a means of advertising platform for the company through word-of-mouth communication. The company also provides its customers with a private dining session for which they have separate rooms. This allows the restaurants to cater to all kinds of customers who are looking for a private space while having their meals (Dalbor & Lee, 2017).

The Unique Selling Proposition (USP) for the company is that the food that they serve to the customers is not readily available in other restaurants. The company uses the best quality of beef that is present in the United States and is meant for the purpose of exporting to other countries. They also use the beef that is produced in the Australia, as it meets the standard of the meat that is present in the US. This helps the company in providing the best quality of meat to its customers so that they can have a better experience with food. The company also maintains a low scale of economy with the food that they are offering to its customers, as the target market for the company are those people who have a higher level of disposable income (Ashley, Gillespie & Noble, 2016).


One of the major disadvantages for the company is that they only cater to the customers who are coming for the purpose of dinner. The restaurant does not provide the option of lunch for the customers, which attracts less number of people. Due to the lack of the advanced promotional techniques, which will help the company to be advertised in the market, the recalling of the brand among its customers is very less (Dupont, 2014).


The company needs to provide a variety of menu for its lunch and dinner services so that it can attract a major number of customers towards the restaurant. This will also help the company in increasing its rate of profits as well. The company also needs to change its target market as well so that it can attract the middle class customers and provide them with a fine dining experience as well. Most of the restaurants have diversified their business by partnering with online delivery services so that customers can also order food and enjoy it within their level of comfort. This will also help the company in increasing its sales as well. To reach the customers in a better manner, the company needs to increase its promotional activities thoroughly so that the customers can be attracted in an efficient manner (Fertel, 2015).


In the modern world the economy is fast paced, which does not provide time for the people to enjoy a meal for a consistent period of time. The surge in the fast food joints has helped the customers in satisfying their demand for hunger at a faster pace. The families who have children will be avoiding the restaurants due to the presence of beverage in its menu. This will eliminate some of the potential customers who want to have an experience with fine dining. The customers of the modern times like to have their meals based on the nutritional content that is available within the food. This is due to the fact that they want to stay healthy so that they can work in an efficient manner (Tonsor & Schroeder, 2017).

Key implication of SWOT analysis

The inclusion of lunch within the restaurant will help in attracting the office customers within the company, as the break that they get from the respective organizations where they are working will help in increasing the sales of the company as well. The lunch menu needs to be set by the company in such a manner that the meal can be completed by the customers within a span of half an hour and ensuring that the quality of the food is also maintained by them (Dixon, Miscuraca & Koutroumanus, 2018). This will result in attracting large number of customers for the company so that they can have an experience in the fine dining section as well. The company has 92 restaurants in the US, which shows that the prosperity of the company is positive in nature. Some of the restaurants are present in front of the best organizations that can come for a quick lunch within the restaurant. The rate of growth on a global scale in 5.31 percent for the company, which can be increased by including the lunch section within their menu as well, as the customers can enjoy a lunch meal as well (Suarez, 2015).

The use of the modern methods of advertising will help the company in gaining a competitive advantage over the rival companies that are present in the market such as Palm, Morton’s and Fleming’s (Dupont, 2014). The use of promotional activities like putting up hoardings and banners will help in attracting a large number of customers towards the company. This will also result in increasing the recalling capacity among the customers regarding the brand as well (Dalbor & Lee, 2017).

Reference List

Ashley, C., Gillespie, E. A., & Noble, S. M. (2016). The effect of loyalty program fees on program perceptions and engagement. Journal of Business Research, 69(2), 964-973.

Dalbor, M. C., & Lee, S. (2017). An examination of restaurant firm financing and the cost of borrowing. Journal of Foodservice Business Research, 20(2), 163-176.

Dixon, D. P., Miscuraca, J. A., & Koutroumanis, D. A. (2018). Looking Strategically to the Future of Restaurants: Casual Dining or Fast Casual?. Entrepreneurship Education and Pedagogy, 1(1), 102-117.

Dupont, A. M. (2014). An examination of chain restaurants exterior colors and logo colors.

Espinosa, J. A., Monahan, L., & Ortinau, D. J. (2016). Understanding the Strengths and Weaknesses of a Firm’s Overall Restaurant Brand Image: An Importance Performance Analysis. In Celebrating America’s Pastimes: Baseball, Hot Dogs, Apple Pie and Marketing? (pp. 625-626). Springer, Cham.

Fertel, R. (2015). The Gorilla Man and the Empress of Steak: A New Orleans Family Memoir. Univ. Press of Mississippi.

Suarez, N. (2015). Are Customers Ready for Tablet-Based Menus? An Analysis of the Innovation Characteristics that Influence the Intentions to Adopt Tablet-Based Menus. University of South Florida.

Tonsor, G. T., & Schroeder, T. C. (2017). Creating and Assessing Candidate Food Service and Retail Beef Demand Indices.

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