Fazoli’s Loyalty Play Is Built on Data and Breadsticks

Fazoli's, a 215-unit Italian restaurant chain headquartered in Lexington, Kentucky, has been going through something of a renaissance in recent years. It completely rehauled its menu, updated its restaurant designs, got in on online ordering and delivery, and, last year, it launched a digital customer loyalty program. One year into the program, the casual dining chain has a hit on its hands. Loyalty members contribute upwards of 15 percent of total sales at some restaurants, and, in return for doling out free baked spaghetti and pepperoni pizza breadsticks, Fazoli's has received informative levels of customer data that it never had access to before. Initial Loyalty Rollout Like many U.S. restaurant chains seeking Starbucks-level success in loyalty, Fazoli's has found that the program had real impact on driving sales, foot traffic, and repeat diners in the restaurants. The loyalty program is based on a points system: for every dollar spent, members earn a point, and every 50 points tu