How to Boost Campus Dining with Student Loyalty Programs

For many of us, swiping our debit or credit card for purchases at drugstores or supermarkets goes hand-in-hand with swiping a loyalty card, which helps retailers record purchases so we can earn points toward exclusive store discounts and rewards. According to a survey by Information Resources, Inc. (IRI), 74% of consumers use loyalty cards at drugstores, 69% at grocery stores, and 43% at restaurants. College students are no exception to this trend.

“I think it’s an expectation of students, the standard. Loyalty programs are incentive programs that help drive student behavior, and increase loyalty and engagement,” said Fabian Raso, VP of Campus Commerce at Transact Campus, and former CEO and founder of Hangry, a mobile ordering platform acquired by Transact last year.

“For example, a student orders a salad at a campus register or kiosk using our Mobile Ordering platform, and they earn points they can redeem for rewards,” said Raso.

According to a recent study by Zippia.com:

The average consumer is enrolled in 14.8 loyalty programs
Consumers enrolled in loyalty programs increase their spending by 20%
85% of Millennials say loyalty programs enhance their experience with a brand

83% of consumers are more likely to continue doing business with a brand that has a loyalty program

Adelphi University in Garden City, New York, launched a loyalty program in 2021. The program is available to all mean plan holders on campus, including residential students, commuter students, faculty, and staff. Members earn one point for every dollar spent in the Transact Mobile Ordering app. They can also earn bonus points on certain food holidays (like “National Pasta Day”) and receive checkout codes for various prizes and giveaways. Once a month, they offer a “Rewards Store” where members who claimed prizes come and pick them up. Currently, nearly 1,200 members are enrolled. Examples of prizes that can be redeemed include reusable straws, bamboo lunchboxes, mugs, and cash toward their account balance.

“For students that use the program, it’s a great way to make their meal plan fun, especially if we are offering some great prizes,” said Taylor Ferraro, Senior Marketing Manager at Adelphi.

Ohio University, a Transact business partner and Mobile Ordering platform subscriber, launched a loyalty rewards program in 2021. Currently, nearly 6,000 students use the program through the OHIO EATS mobile ordering app, hosted through Transact Mobile Ordering.

“Our students are very receptive to the program,” said Kent Scott, Associate Director of Auxiliaries Operations at the university.

Students purchasing food using digital punch cards at five different venues on campus can earn rewards they can redeem for prizes such as Air Pods, gift baskets, swag gear, concert tickets, and much more. They also offer promotional codes for special discounts during homecoming and finals week, as well as instant prizes.

“This program works for us because it increases engagement. Students enjoy winning prizes and getting discounts for items and products they would normally buy anyway. Plus, there aren’t many food options in the surrounding town of Athens, so having food options on campus is important to our students,” said Scott.

“Loyalty programs are a great tool for student engagement, community building, and communication. It allows us to target specific groups of users and digitize outdated forms of rewards like punch cards. For administrators, they’re very powerful due to their rich and robust features, and how easily they can be automated," said Katarina Kalaminec, DSP Product Manager, Campus Commerce. Loyalty programs also:

Support flexible automated campaigns and promotions, as well as upselling

Incentivize behavior (for example, attach points to locations to shift traffic or to encourage healthier food options like salads versus fries if healthy eating is a campus initiative)
Foster cross departmental relationships (through cross promotions with other departments such as athletics for a sporting event)

Most campuses offering loyalty programs use dining services’ social media platforms such as Facebook, Twitter, and Instagram to generate buzz around featured dining rewards programs.

“Loyalty programs create a better overall user experience,” Raso said.

If you would like to learn more about how you can grow revenue with a campus loyalty program, and how the Transact Mobile Ordering Marketing Module can help, visit here.