A Study On Newsletters And Why They Are Crucial For Your Restaurant's Success
Updated: Mar 9
Newsletter Marketing is a fundamental part of any restaurant's success in today's ever evolving digital world. It is a tool that if used effectively, can grow and increase your revenue without much, if any, costs.
Our Digital Media and Social Media Marketing Agencies for Restaurants have put together a study on the importance of Newsletter Marketing as well as some quick tips on how to make better use of Newsletter Marketing for Restaurants.
Lets set a baseline first shall we. The average open rate for the restaurant industry is 20.6% and the average click rate is 1.06%, these numbers are not bad and a bit higher than most other industries which should tell you that people love hearing about food.
By comparison, the 8590 Group agencies have an average open rate of 33.8% and an average click rate of 6.2%. That is an increase of 64% and 485% respectively.
You may ask how we do this and we would answer that Newsletters are one part of our strategy and that the sum all of the parts is NEVER greater than the whole. This however would most likely be frustrating for you. Even if you do not implement all the digital media strategies needed for your restaurant to achieve maximum results, doing newsletters properly will get you some results.
In the extensive experience that our Digital Media and Social Media Marketing Agencies For Restaurants has in this, they concluded that Newsletters comes fifth in importance to your strategy behind what are the four crucial building blocks of any brand online so it is quite important.
Here are some stats and studies based on our current clients:
Average open rate of clients prior to the change in strategy - 14.7%
Average click rate of clients prior to the change in strategy - 0.83%
Current average open rate - 33.8%
Current average click rate - 6.2%
Current average conversion rate of 2.6%
Current average newsletter database size is 9164
Average increase in newsletter size per month is 827
90% of available covers for special events is booked via newsletter within 7 days
400% impact increase on awareness of new product or new profit center over any other media
Over 85% of consumers say that they expect a newsletter from the restaurants they visit
62% of consumers expect more than just a sales advert
Only 18% of restaurants engage in Newsletter Marketing
71% of newsletter databases in the restaurant industry contain less than 500 subscribers
86% of newsletter databases in the restaurant industry do not segment their subscribers
98% of newsletter databases in the restaurant industry do not use smart messaging
92% of newsletter databases in the restaurant industry are not maintained nor purged.
Here is what one of our clients has to say about Newsletter Marketing.
"Our newsletter marketing since we started working with 8590 Group has been on point and we see the results. We hear our customers talking about it in the restaurants so to us, it is clearly working. We also just had a promotion for $1 pierogi with Ritual and we launched it via the newsletter and that was a HUGE success. The best part is that they handle every aspect of it without me having to hold their hand or push them to do it."
- Bryan from Loaded Pierogi
These results are achieved, as mentioned above, through a 360 degree approach but as you can see from the statistics, it is easy to stand out when 80% of the competition is sleeping at the wheel. In the Quick Tips below, you will get our best tips on Newsletter marketing so that you can at least be in the 20% - if you want to be in the top 1%, book a discovery call with us today.
With these quick tips, you will be performing better than 80% of the other restaurants in the market.
Update your list every time you send a newsletter. Meaning, extract (if not automated - more on this later) from all your email collection sources, the emails collected since the last newsletter and import them in your database.
Purge or archive your database consistently. Every 2-3 months, segment out members of your database that have not engaged or opened your newsletters in the last 90 days.
Automate as much as possible. Most platforms will allow for your newsletter provider to integrate with them in order to collect the data directly, thus avoiding to spend time on extraction.
Educate your audience. Don't always try to sell them on your restaurant, provide them with useful and educational information that has value. This will increase your open rate and engagement rate.
Don't be too wordy. Images and video are king. If you need to have text, overlay it on some images and if you have an article/review that is interesting to read, link it from a CTA button.
Have CTA Buttons. Make sure you have plenty of CTA buttons/slides in your newsletter and that they are clear in their call to action.
Use smart messaging by automating Birthday promotions, Anniversary promotions, welcome email and lost customers.
Segment your database by location, visit frequency, spending patterns, type of guests, takeout/dine-in, etc... (use segmentation points that are relevant to your business model)
Be consistent in communicating with your audience. Consistency is key to conversions.