Case Study – increasing the sales for The Smoke Hous in Cardiff

 

Overview

GLAD People is a technology company focusing on using chatbots on Facebook Messenger to increase the occupancy rate in bars/pubs and restaurants during off-peak hours. We’ve been working on this solution for The Smoke Hous for the past nine months and agreed to go live in July. We are looking to increase their occupancy rate on Mondays – Thursdays by at least 20% in three months after going live.

The Problem

The pub has a very low double digit occupancy rate during Mondays. This increases on Tuesday to Thursday, but not massive. Although the pub is quite active on social media, very few customers can be tracked down to that activity.

Moreover, the pub has a loyalty card on printed tickets which performed really poor:

  • 10,000 people getting the loyalty card
  • 19 people collecting 5 stamps to get the first reward
  • 1 person collecting 10 stamps to get the second reward
  • No-one reaching 15 stamps for the third reward

The Solution

GLAD People proposed a solution to build on their existing social media efforts (the pub is actively promoting different events) but extend this with a personalized experience in Facebook Messenger.

We’ve build an automated messenger program (called chatbot), which engaged people during their visit in the bar, and daily once they’ve left the bar. By doing this, it opened a direct communication channel between the bar and the client, with the possibility to re-engage following days and weeks with different promotions very tailored for this particular individual.

In summary, the chatbot allows customers to:

  • Scan a very nice looking QR code using their Facebook Messenger app (most of the people already have this on their phone):
  • Play a very simple 5 questions quiz to win a discount on the spot
  • Earn rewards points every time when they buy a meal
  • Engage in a weekly draw for a free table for 4 people up to £80
  • Share the reward program with their friends for a mutual benefit (both referral and referred will get 5 points).
  • Interact with our proprietary AI system for all sorts of questions regarding The Smoke Hous.

Benefits for the pub

There are multiple benefits for the pub:

  • It opens a one-on-one communication channel with every customer, and the pub knows the customer FB profile
  • It digitalizes the reward program, making it very easy to track down its benefits (in terms of people engaged in the program, cost of the program, increase in revenue, etc).
  • It allows the bar to re-engage with the customer following days, completely free. In this way, the bar will promote different rewards at the designated date/time (allowing them to fill up more sits during quite times).
  • Extensive reporting capabilities to track down results and engagement.

The results

In a nutshell, we believe the results will be:

-                 At least 2000 people joining the reward program every month (similar with the number of people getting a ticket).

-                 At least 5% of people from the program being driven to The Smoke Hous by a promotion during the quite time every month.