Category Archives: Marketing

Step Up Your Game in 2018

The end of the year is coming to a close, which means you’re most likely gearing up for your New Year’s Eve party. But in the midst of all this, it’s also the time to a assess your business and set your venue up for even more success in the coming year.

We’re at this critical juncture as an industry of keeping up with the demands of customers, the expectations of general consumers, and continuing with everyday business to keep things afloat. It’s a lot to manage, especially with the busy holiday season.

But in 2018, we as an industry can’t afford to keep pushing out implementing new practices. There have been articles for the past few years claiming nightlife is dying. I disagree. I believe society is evolving, and we’re not evolving with it. We aren’t dying; we’re falling behind.

Think about the experiences your customers have in every other industry. Retail, online entertainment, even coffee shops have all shifted to cater to individual needs based on timing and past habits. Retail stores send emails suggesting items you might like because of what you’ve bought in the past. Amazon reminds you of when you’re likely due to re-buy a household item. Netflix suggests a show you should watch based on what’s trending and what you’ve previously enjoyed. Starbucks knows once you get into the store what they should offer to up-sell you based on your tastes and budget. All of these industries start with tracking your behavior so they can later reach out on a very personal level to get you to spend even more. It’s personal. It’s data-driven. And that’s where we’re falling behind in the nightlife industry.

In 2018, it’s no longer about opening your doors and assuming people will walk in. It’s about guaranteeing people will walk in, and the right people at that. But just like very other industry, it starts with tracking your customers’ behavior. And I mean every customer, not just your VIPs.

Fortunately, tracking your guests is fairly simple with the right system. It shouldn’t add a ton of new processes to your staff, nor take up much more additional time to collect the data. The best solution is a system that has ID scanning, POS integration, and a CRM system at the core of its functionality. Solutions like Vēmos is built with these three at its core, combined with general admission, guest list, tickets, and reservation management features. The reason having the core is important is because you’re now able to track every guest who walks through your door, including their spending habits once inside.

Take this example: It’s Friday night, and it’s Lucy’s first time at your venue.

  • You scan Lucy’s ID with the system to verify legality, but because you’re using a system backed by a CRM system, you have now created her personal guest profile in your database.
  • Lucy then goes to check in with the general admission cashier to pay cover. You now know Lucy is a general admission guest who has paid $20 to get inside, bringing her lifetime value up to $20.
  • Lucy goes to the bar and orders a vodka tonic. The next time she orders a martini. Every time she places an order, it’s added to her guest profile because your system is integrated with your POS and is backed by a CRM system. Her lifetime value in her guest profile rises every time she orders.
  • Lucy comes back with 5 friends as a guest list customer the following Friday. You scan her ID to verify legality, and are notified that this is her second time at the venue and she’s worth $x. You notice she’s brought more people with her. You thank her for coming back and bringing more guests to your venue. This provides personalization and gives her that specialized treatment.

  • Now that you have Lucy’s profile and see that it’s building over time, you’re able to amplify her experience. Does she keep coming back every week as a GA or guest list guest? Upgrade her to a reservation and start her off with a bottle of champagne to thank her for her loyalty. Is there a new concert coming up that you think she’d like? Send her an email or text message to buy a ticket before the concert is unveiled to the rest of the public. Do you think there’s a craft cocktail she’d like better that would earn you more revenue? Promote it to her.

    Because you started with collecting and tracking behavior, you’re now able to later reach out with personal messages to get your guests to come more often and spend even more once they’re there. This is what is going to get you to level up to other experiences in other industries.

    It’s no longer sufficient to make assumptions on how your venue is performing and who your guests are. It’s also no longer sufficient to just focus on the data from one area of your business. It’s about taking a comprehensive approach that provides insight into all of your guests. After all, the more you know, the more you can do. And with a new year approaching, it’s time to garner even better results and higher revenue than the previous year.

    Building Guest Loyalty: It’s Not About the Discounts

    Two for one drinks. Free bottle with a reservation. Slashed prices for a happy hour. These are common promotions we see in the nightclub and bar industry, and they all have one thing in common: free or discounted items. While giving away discounts may work to attract customers in the short-term, it’s an extremely detrimental strategy in the long-run.

    The truth is when people go out, they’re looking for an entire experience. It’s not about the discounts or the potential total of their anticipated bill. It’s about the value they’re getting from going to your venue. And if the value is there, people are willing to pay for it. This is even true for millennials and upcoming Gen Z-ers.

    The opposite of this is also true with discounts and free items. Customers equate the word free with cheap, and rarely expect to pay full price once they receive a free or discounted item. In fact, a guests’ likelihood to spend drops more than 50% with every free drink or bottle. So while you caused a spike with attracting customers, you’re also causing a drop in future earnings with that same guest. To get a good example of this, watch this episode of Bar Rescue.

    Instead of giving away free inventory, think of ways you can execute promotions through experiences. Create packages that entice your target market to increase the perceived value. If you’re accustomed to giving away a free bottle with a reservation, try selling a table that includes a bottle of vodka and a bottle of champagne for a price that’s profitable to you. The guest won’t perceive this as a cheap gesture and will instead see it as a valuable package. This perception is the value of your promotion, and is what differentiates your efforts from simply slashing prices. Once your promotion drives your customer to your venue, the next step is great execution across your venue to create a memorable experience so they continue to come back.

    No matter what type of promotions you run, always make sure they align with your target market and your core values as a brand. People connect with venues that have a focused style, and that style is your brand image. It’s what aligns customer expectation with customer experience; and it’s what drives the right demographic into your venue in the first place. Understanding both your brand and your target customers is what drives consistency, and that consistency will always help to determine the best promotions to generate results. If a promotion is too obscure or makes little sense in comparison of what your brand is known for, it simply won’t work.

    So the next time you’re about to give away a free drink in part of your promotions, consider ways you can instead spin your promotion into a wholistic experience. Because loyalty isn’t built on discounts.

    Navigating the Personalization Shift

    Your customers have gotten accustomed to the savviness of online businesses sending recommendations based on past habits and reminders based on timing. It’s personal. It’s experience-driven. And now they’re driving that change within nightlife. They expect personalized service, and are making decisions on where to go because of it.

    Now it’s your turn to navigate this shift and provide the personalized experience they have come to expect. But how do you do it? The best thing you can do is find a system that encompasses all areas of your operations into one dashboard. This is what allows you to see transparent data across sections as well as get deep insight on all your guests. When you use separate tools for each area (ex: one system for reservations, another for tickets, another for gueslist, etc), you’re only getting a chunk of the picture. Data lives separately and you only see information on some of your guests, not all of them. And that makes all the difference when keeping up with this personalization shift.

    Here are a few core tools you’ll need to set yourself up for success, followed by recommendations on how to get your staff to execute.

    1. Guest Database

    A survey conducted by Accenture discovered that 85% of their participants are willing to provide their information to trusted retailers in exchange for targeted, personalized information. Use this to your advantage. Your customers are not only willing to give their information to you, but they’re conditioned to do so. This is especially true when pre-purchasing items online. There are systems specifically for the nightlife industry that are built with your guest database at the core. Now, you can use guest list, ticketing, or reservation forms on your site so your guests not only begin to buy in advance (note: more guaranteed revenue), but also so that you can collect their information and have it sync back to their profile in your database.

    You can also capture this information during your night at your door using a digital ID Scanning system. That way, you’re able to safeguard your venue by having a tool to help check IDs as well as collect data on every customer that walks through your doors. And when you connect this to your point of sale system, you’re able to unearth even more valuable information. This means you have a database of all your guests, including their name, contact info, how many times they’ve been to your venue, whether they’re a VIP/guest list/event/general admission customer, how much money they’ve spent, and what their most popular drink purchases are.

    2. Segmented Marketing

    With your database, you now have a complete buyer persona for all your target customer segments, including demographic, geographic, and psychographic information. This means you have the opportunity to get personal with your marketing. You can send a specific message catered to a specific group of people, such as sending a birthday text message to anyone celebrating a birthday this week and inviting them to celebrate with you. Or you can target customers who have attended a certain event in the past, and send them an exclusive invitation to an upcoming similar event before tickets are released to the public. Making your customers feel like you know what’s happening in their life, or like you understand their interests, is what makes your messages personal and powerful. They’ll feel like insiders and will naturally establish a deeper connecting with your venue. This also helps to make sure the time and money you’re spending on your marketing is spent wisely and giving you a return on investment.

    3. Staff Execution

    Your personalization shouldn’t stop at marketing. You can and should keep this experience going the second your customer gets to your door. That’s where staff execution comes into play. Remember, technology is a tool to help your staff raise the level of their service; it doesn’t replace your staff’s efforts. Make sure you train your staff on your system so everyone is using it correctly and know what cues to use to raise their level of personalization. Greet your guests by name when they arrive. If you see that a customer is a regular general admission customer who comes to your venue every week, upsell them to a VIP table and provide a complimentary bottle of champagne as a thank you. Or, offer them their first round of their favorite drink on the house at the bar. This costs you very little, but means a lot to them. It’s a simple gesture that’s perceived by the guest as a premium, highly personalized level of service. It shows that person how much they are valued and entices them to stay longer, spend more, bring more friends, and come back more often.

    Treating guests like the individuals they are and catering your experience to their needs isn’t hard. All it takes is a system that captures all your information in one place, your staff to use that system so it automatically pulls necessary information on the guests walking through your door, and your ability to execute on providing that exclusive experience. It’s the little things that make the biggest difference to your guests and brings the biggest dollar to you.With all of this at play, you’re able to spend smarter, target sharper, and create an unbelievable experience for every person walking through your door.

    Step Up Your Game in 2018

    The end of the year is coming to a close, which means you’re most likely gearing up for your New Year’s Eve party. But in the midst of all this, it’s also the time to a assess your business and set your venue up for even more success in the coming year.

    We’re at this critical juncture as an industry of keeping up with the demands of customers, the expectations of general consumers, and continuing with everyday business to keep things afloat. It’s a lot to manage, especially with the busy holiday season.

    But in 2018, we as an industry can’t afford to keep pushing out implementing new practices. There have been articles for the past few years claiming nightlife is dying. I disagree. I believe society is evolving, and we’re not evolving with it. We aren’t dying; we’re falling behind.

    Think about the experiences your customers have in every other industry. Retail, online entertainment, even coffee shops have all shifted to cater to individual needs based on timing and past habits. Retail stores send emails suggesting items you might like because of what you’ve bought in the past. Amazon reminds you of when you’re likely due to re-buy a household item. Netflix suggests a show you should watch based on what’s trending and what you’ve previously enjoyed. Starbucks knows once you get into the store what they should offer to up-sell you based on your tastes and budget. All of these industries start with tracking your behavior so they can later reach out on a very personal level to get you to spend even more. It’s personal. It’s data-driven. And that’s where we’re falling behind in the nightlife industry.

    In 2018, it’s no longer about opening your doors and assuming people will walk in. It’s about guaranteeing people will walk in, and the right people at that. But just like very other industry, it starts with tracking your customers’ behavior. And I mean every customer, not just your VIPs.

    Fortunately, tracking your guests is fairly simple with the right system. It shouldn’t add a ton of new processes to your staff, nor take up much more additional time to collect the data. The best solution is a system that has ID scanning, POS integration, and a CRM system at the core of its functionality. Solutions like Vēmos is built with these three at its core, combined with general admission, guest list, tickets, and reservation management features. The reason having the core is important is because you’re now able to track every guest who walks through your door, including their spending habits once inside.

    Take this example: It’s Friday night, and it’s Lucy’s first time at your venue.

    • You scan Lucy’s ID with the system to verify legality, but because you’re using a system backed by a CRM system, you have now created her personal guest profile in your database.
    • Lucy then goes to check in with the general admission cashier to pay cover. You now know Lucy is a general admission guest who has paid $20 to get inside, bringing her lifetime value up to $20.
      Lucy goes to the bar and orders a vodka tonic. The next time she orders a martini. Every time she places an order, it’s added to her guest profile because your system is integrated with your POS and is backed by a CRM system. Her lifetime value in her guest profile rises every time she orders.
      Lucy comes back with 5 friends as a guest list customer the following Friday. You scan her ID to verify legality, and are notified that this is her second time at the venue and she’s worth $x. You notice she’s brought more people with her. You thank her for coming back and bringing more guests to your venue. This provides personalization and gives her that specialized treatment.

      Now that you have Lucy’s profile and see that it’s building over time, you’re able to amplify her experience. Does she keep coming back every week as a GA or guest list guest? Upgrade her to a reservation and start her off with a bottle of champagne to thank her for her loyalty. Is there a new concert coming up that you think she’d like? Send her an email or text message to buy a ticket before the concert is unveiled to the rest of the public. Do you think there’s a craft cocktail she’d like better that would earn you more revenue? Promote it to her.

      Because you started with collecting and tracking behavior, you’re now able to later reach out with personal messages to get your guests to come more often and spend even more once they’re there. This is what is going to get you to level up to other experiences in other industries.

      It’s no longer sufficient to make assumptions on how your venue is performing and who your guests are. It’s also no longer sufficient to just focus on the data from one area of your business. It’s about taking a comprehensive approach that provides insight into all of your guests. After all, the more you know, the more you can do. And with a new year approaching, it’s time to garner even better results and higher revenue than the previous year.

    Track Your Marketing Investment

    I get it: it’s hard to set aside your hard-earned money for marketing efforts. It seems like you’re blowing those dollars away and not knowing what you’re getting in return. But that’s the issue in and of itself; your marketing is seen as an expense instead of an investment.

    Marketing used to be about blasting mass messages on channels that were expensive and nearly impossible to track. And in that case, marketing was an expense. But today, you can track nearly every marketing effort to understand what’s bringing in the most guests and the biggest spenders (both to your website and your venue). You’re able to easily see what you get in return of what you put in. This not only saves you from wasting your dollars, but helps to bring in more money than before. Even the smallest of budgets can see advantages from smart marketing.

    To get your marketing numbers down to a science, you’ll need a few simple tools to help you track and analyze your efforts. What is your investment going toward? Which channels are and aren’t working for you? How do you replicate the efforts that work to get even a bigger return? You’ll be able to answer that and make sure you’re spending your money in the right places and getting the results you want.

    1. Digital Referral Links

    Using digital referral links is going to allow you to track all your online marketing efforts. Every channel and every staff member should have its own link to use in promotions. You can even create links for different types of posts on the same channel, including one link for your Facebook cover photo, another for an organic Facebook post, and another for a Facebook ad. As your links get used, you’ll be able to see which efforts (and which staff members) are garnering the results you want to see. We at Vēmos have referral links built into our system, so you’re able to track not only clicks on your link, but also if that click resulted in a purchase. After all, getting 1,000 impressions or clicks doesn’t mean much if it didn’t result in anyone taking the action you wanted. Now you can track both and truly understand which channels, staff, and efforts are driving the most traffic. You can then compare your cost to your return to understand your ROI.

    2. Front of House Tools

    Along with tracking digital efforts to drive guests through your door, it’s also important to track day-of results as well. There’s a combination of front of house tools that will allow to track every guest who walks through your door — who they are, what brought them in, what type of guest they are. It’s all important information to understand your night and to understand if your marketing played a hand at it. Use a system at your door that tracks guest list, reservation, and general admission arrival all in one. You can even set this up so you’re able to track which promotion or referrer brought a general walk-up guest. Then, over time, you’re able to compare your results to identify consistencies and become more predictable with your marketing investment.

    3. Customer Database

    It may not seem like a customer database is a tool needed to be successful in marketing, but it’s one of your biggest assets. Make sure all of your digital referral links and front of house tools are equipped to create an individual guest profile once that guest converts. After all, this is how you provide personalized marketing. Each guest should have a profile that shows their lifetime spend, average spend, lifetime number of check-ins, and whether they’ve checked in as a walk-up guest or a VIP guest. What tickets have they bought in the past? What are their favorite liquor types? All of this comes back to individualized data that you can use for targeted, trackable marketing. When you have this detailed of a customer database, you can use it to filter your guests into like-minded groups to send targeted messages specifically to them, tracking the open, click, and conversion rates along with that targeted message. Now you’re able to provide a complete circle of personalized service both online and in-person.

    Once you have your marketing down to a science, start experimenting with your budget to get even more out of your marketing efforts. A good rule of thumb is the 80/20 rule, where 80% of your budget goes into channels you know work for you, and 20% is to experiment with new channels and new audiences. This is how you continually evolve your marketing efforts and turn it into a smart investment without being afraid of wasting your marketing dollars.