11 Best Restaurant Loyalty Programs That Drive Sales

I’ll admit a nerdy secret: I love analyzing the loyalty programs that top restaurant brands build. National chains invest heavily in rewards, making them a useful reference for how programs are designed and used across the industry.

That focus makes sense. Loyalty members tend to visit restaurants they’re enrolled with at about twice the rate of non-members, even though they spread visits across many brands. 

In this post, I’ll highlight top restaurant loyalty program examples and what they do well, so you can model after them for your own program.

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What is a restaurant loyalty program?

A restaurant loyalty program is a system that rewards customers for repeat visits or purchases. In exchange for taking specific actions, like ordering food, guests earn points, discounts or perks they can redeem later. 

Loyalty programs are a way for restaurant owners to track customer behavior and encourage repeat business without relying solely on broad discounts or third-party marketplaces.

Common restaurant loyalty program types

When I look at loyalty programs, I see a few common formats. Each is designed to get guests coming back, but in slightly different ways. Some push customers to spend more per visit, while others reward consistency or long-term loyalty.

They’re all great ways to market your restaurant and start building a loyal base of repeat customers. Let’s have a look at these loyalty program ideas:

• Points-based: Customers earn points based on how much they spend, which they can redeem for discounts or free items. This format is easy to understand and gives restaurants flexibility over when and how rewards are unlocked.
• Visit-based: Customers earn rewards based on the number of visits rather than total spend, such as “buy nine, get the 10th free.” This approach works well for encouraging repeat visits and building habits with regulars.
• Item-based: Customers earn rewards by purchasing specific items, like a free coffee after several purchases. Restaurants often use this model to promote high-margin or signature menu items.
• Tiered: Customers unlock better rewards as they reach higher levels based on visits or spending. Tiered programs encourage long-term engagement by giving frequent guests something to work toward.
• Paid or subscription: Customers pay a recurring fee in exchange for ongoing perks, such as discounts or free items. These programs are best suited for restaurants with a strong base of loyal, repeat customers.‍
• Gamified: Customers earn rewards by completing challenges, streaks, or limited-time goals. This format adds variety and urgency but usually requires more active management.

1. Ottavio’s Pizza makes sign-up easy

Program type: Points-based

Ottavio’s Italian Restaurant uses a points-based system where customers earn points on every order, redeem them for free food and access exclusive discounts. 

Powered by Owner’s online ordering and marketing platform, the program automates much of the heavy lifting, allows customization of point values by menu item and incorporates best practices from brands like Domino’s, Starbucks, Chipotle and Sweetgreen.

As a result, Ottavio’s saw profits from online orders grew to $27,000 in 90 days, demonstrating how a well-structured loyalty program can drive revenue.

‍Pro tip: Stick to giving out points rather than dollar credits to give your restaurant more control over what items receive the discount. If you want to give out a free item in exchange for a certain number of points, you can ensure that it is a low-cost purchase for your restaurant. 

What you can learn from Ottavio’s:

• Play to win: Consider implementing a “play to win” game to help incentivize customers to sign up for your loyalty program. 
• Make sign up easy: Ottavio makes this so easy for customers and only asks for phone, email and name to sign up—no usernames or passwords to keep track of. 

2. Chipotle uses games to engage customers  

‍Program type: Points-based

Look beyond just the burgers and fries. Chipotle's "Chipotle Rewards" loyalty program is a shining example of how a well-designed program can supercharge a restaurant's success. The program is available in the mobile app, making it more accessible to customers. I’m super impressed with how Chipotle gamified its loyalty program to make the experience more engaging for customers. 

For example, they hosted the “spot the imposter” challenge a few years back, where customers were offered a free order of chips and guac if they could spot the imposter ingredient on their menu. This was a great way for their customers to get more eyes on their menu. 

What you can learn from Chipotle:

• Use a digital focus: Their app was central to the program, allowing for tracking points and redemption. This seamless integration drove digital sales significantly, so I highly recommend following the same guidelines for your program. ‍
• Make it interactive: Chipotle’s “spot the imposter” game keeps customers engaged, proving that a game-like element works. Even a simple digital spin-the-wheel for deals can do the trick.

3. Starbucks Rewards offers multiple ways to earn

Program type: Points-based 

Starbucks knows how to make customers feel special. They celebrate birthdays with extra star points, offer “double star days” to earn points faster and even send personalized offers based on what you usually order, making it feel like they truly know and appreciate you. 

The Starbucks app ties it all together: Signing up is simple, it tracks all your earned stars and you can redeem rewards directly in the app. It’s a seamless experience that keeps customers engaged and demonstrates how effective marketing can enhance a loyalty program.

What you can learn from Starbucks: 

• Reward every purchase: Design your program to reward every transaction, no matter the size. This encourages even small purchases and keeps your restaurant at the forefront of your customers' minds.
• Personalize the rewards: Go beyond a one-size-fits-all approach. Surprise and delight your customers with targeted offers based on their past orders. Do they love your veggie burger? Offer them double points on their next veggie purchase! 
• Make mobile ordering a priority: Create a user-friendly app that integrates with your loyalty program, making it easy to enroll, track rewards and order. This convenience boosts digital sales and keeps your restaurant top of mind.

4. Subway’s Sub Club gives customers points right away

Program type: Tier-based

Subway’s Sub Club is the sandwich chain’s relaunched loyalty program that hands you real value fast. Once you’ve bought any combo of three footlongs (or six 6‑inch subs), you unlock a free footlong on your next visit, with the reward showing up in your account within about a day. 

Members earn points on every qualifying purchase that convert into Subway Cash to spend later, plus access to exclusive deals and promos and perks like a free birthday cookie. You can sign up through the Subway app, website, or in‑restaurant, and existing MVP Rewards users were automatically transitioned into Sub Club.

‍Alt: Subway's Sub Club loyalty program.

What you can learn from Subway: 

• Clear rewards drive repeat visits: Simple milestones like “buy 3, get 1 free” keep customers coming back.
• Digital integration boosts engagement: App-based tracking and rewards make redemption easy and allow targeted promotions.

5. Panera’s MyPanera communicates via text 

Program type: Subscription-based 

Panera’s MyPanera program is a free subscription that I could sign up for that would offer me benefits like free pastries and free delivery for 30 days upon sign-up (which is great for encouraging online orders). MyPanera members also get access to new menu items, exclusive offers, savings on menu items and members-only challenges that encourage participation through gamification.

I also appreciate that customers can download the app and sign up for SMS texts so they don’t miss out on deals or challenges. Plus, customers can pair this loyalty program with their Unlimited Sip Club membership, which offers even more perks, such as free drinks. 

Pro tip: Make your subscription rewards scarce, like making rewards expire after a certain time. This can really incentivize your customers to use up their points or make additional purchases to achieve a certain amount of points before expiration. 

‍What you can learn from Panera: 

• Communicate via text: SMS texting is a cost-effective and easy way to get your customers' attention and keep them coming back to participate in your loyalty program. 
• Pair with other deals: You can pair your loyalty program with another service or membership that you offer to make rewards more exciting for your customers. 

6. Chick-fil-A One incentivizes with tiers  

Program type: Tier-based

Here's the thing: people love feeling rewarded, especially when it comes to yummy food. And Chick-fil-A makes sure that as their customers earn more points, they move up the tiers and unlock perks, like free food rewards, birthday treats and the ability to give rewards to friends. Someone comes in for their usual chicken sandwich, but with Chick-fil-A One, they're getting closer to that low-cost free dessert or side of fries. 

Every dollar you spend at Chick-fil-A gets you 10 points closer to a reward. Plus, the best part? You only need 200 points to snag your first reward—that's practically a steal.

‍Pro tip: Let your customers share their progress with friends. For example, if a customer unlocks a new tier level, they can share it on social media or refer a friend with a code to help organically spread the word about your business.  

‍What you can learn from Chick-fil-A: 

• Bronze tier: Offer basic rewards, such as free appetizers or discounts on specific menu items. This tier is easy to reach, encouraging new members to participate.
• Silver tier: Increase the reward value with free drinks, small sides, or a percentage off entire meals. This motivates members to visit more often to climb the ladder.
• Gold tier: Unleash the premium rewards! Think free entrees, exclusive menu items, or priority reservations. This tier should feel truly special, rewarding your most loyal customers.

7. My Chili’s Rewards personalizes deals

Program type: Item-based 

Have you checked out the My Chili's Rewards program? When customers join, they immediately earn rewards for dining at Chili's. For instance, they get free chips and salsa or a non-alcoholic beverage just to sign up and visit a participating location at least once every 45 days.

They also offer personalized rewards, which can include free appetizers, desserts, kids' meals and even free delivery. And on top of that, customers get a free dessert on their birthday. Chili's mobile app makes it easy and fun for customers to reorder their favorites, enhancing convenience and satisfaction.

Pro tip: Make sure the items you give away for free are cheap to buy and make—like fries or sides of bread.

What you can learn from Chili’s: 

• Provide unique rewards: Is your restaurant known for killer cocktails? Offer a free drink instead of chips and salsa. This tailors the program to your offerings.‍
• Choose the freemium model: Offer a small, universally loved item for free upon signup to incentivize initial enrollment.

8. Costa Coffee’s Costa Club centers sustainability 

Program type: Item-based 

Costa Coffee’s Costa Club It's a fantastic loyalty program for customer engagement that lets customers sign up and get a free drink for every 10 they order. What's really unique is that they offer extra points, called beans, when customers use a recyclable cup in-store. It's a clever way to tie the rewards program to their brand, make it exciting to purchase products and promote sustainability.

Their app is another game-changer. It offers exclusive rewards like discounts on certain products and special treat deals. Plus, it provides personalized offers based on order history, which keeps customers coming back for more. 

‍What you can learn from Costa Coffee: 

• Create a currency: Craft your own unique currency system based on your offerings. It could be "slice slices" for a pizza place or "wok stars" for an Asian restaurant. Make it fun and memorable. 
• Capture the sustainable audience: Costa Coffee's reusable cup bonus is a win-win. Offer similar incentives for eco-friendly actions at your restaurant, encouraging sustainability and customer loyalty.

9. Dunkin’ Donuts shows customers' rewards progress

Program type: Points-based

Dunkin’ Donuts makes it easy to see progress toward rewards, know when the next reward is coming and understand point values. They also add small challenges, like visiting 12 times in person to unlock “boosted status” for faster points. 

This encourages in-person visits and gives app users occasional exclusive deals. Since regulars on your app are often your highest spenders, rewarding them directly is a smart way to drive engagement and loyalty.

‍What you can learn from Dunkin’ Donuts:

• Reward specific behaviors: The "boosted status" earned by visiting in-store 12 times in a month is a clever way to target the in-store visit audience.‍
• Show progress: Encourage and get customers excited by getting a look at how close they are to their rewards, like Dunkin’ does with their progress bar.

10. Domino’s Rewards encourages online orders

Program type: Points-based

Domino’s rewards customers with points for every order over $5, allowing them to earn free items every two orders. Their program focuses on member-only deals, bonus points and discounts during appreciation weeks. Customers can even earn points for tipping delivery drivers, rewarding behavior that benefits both staff and the restaurant.

The program also encourages app downloads—Domino’s reports that 75.2% of online orders happen through its app—making app-only rewards a key driver of engagement.

‍What you can learn from Domino’s:

• Make progress visible: Showing how close customers are to rewards encourages continued participation.
• Use high-margin rewards: Offer inexpensive items, such as breadsticks, that pair well with signature dishes to keep programs profitable.
• Encourage online orders: Incentivize behaviors like tipping or delivery purchases to boost online sales while keeping customers engaged.

11. Hut Rewards from Pizza Hut tracks points and redeems rewards for online and app orders

Program type: Points-based digital loyalty program

Pizza Hut’s Hut Rewards is a digital, points-based loyalty program that rewards customers for ordering through the brand’s website or mobile app. 

Members earn points for every dollar they spend online—often at a rate like 2 points per $1—and can redeem those points for free menu items such as pizzas, sides, or other rewards once they hit specific redemption thresholds. 

The program is free to join and focuses on driving repeat online ordering by making rewards accessible and tied directly to customer spend.

‍What you can learn from Pizza Hut:

• Tie rewards to digital behavior and spend: Pizza Hut aligns its program with its larger digital sales strategy, making it easier to personalize offers and drive repeat visits.‍
• Keep it simple and tied to real value: The points structure translates directly into menu items customers care about. Clear, tangible rewards make it easier for customers to see the benefit of joining and using the program regularly.

What the best loyalty programs have in common

Restaurant loyalty programs work because they ‘gamify’ reordering—giving guests a clear goal and visible progress. The most effective programs boost reorder rates and check size by offering engaging ways to earn points. 

Let’s understand a little more in detail what each of these programs has in common:

1. Offer engaging ways to earn more points

The best rewards programs give guests multiple ways to earn points that match how they like to order. For example, Dunkin’ adds challenges in its app, like earning “boosted status” after 12 in-person visits, which accelerates point accumulation. 

These features encourage repeat visits and higher engagement, and points-based systems let customers work toward milestones while giving restaurants control over which rewards align with margins.

2. Reward guests with low-cost sides

High-margin, low-cost rewards complement main dishes and keep programs profitable. Think McDonald’s fries or drinks, or for a pizzeria, cheese sticks or garlic bread. 

These items are inexpensive for the restaurant but highly valued by guests, and offering them encourages customers to order an entrée, making the loyalty program both enticing and cost-effective.

I explain this in my latest video below as well:

3. Market to customers about their rewards 

Guests should always know how close they are to earning a reward, via progress bars in apps or reward pages on your site. Pair transparency with targeted marketing: promote the program to frequent customers, send reminders about upcoming rewards, celebrate milestones and tease what’s next. 

Domino’s, for example, uses emails with progress bars and an “unlock menu” to keep customers engaged and returning.

Benefits of a loyalty program

As a busy restaurant owner, you may see loyalty programs as a lower priority than, say, than other aspects of running your business. But their benefits make them incredibly impactful and worth taking off the back burner. 

And, repeat customers tend to spend more over time — often 67% more than new customers. I’ll highlight below just how valuable these programs are to a restaurant’s bottom line. 

• Increase repeat order rate: A good loyalty program is a great strategy to retain customers. When you offer enticing rewards and special promotions, it gives them a great reason to choose your restaurant over others. This means you’ll see them more frequently, bringing in steady revenue and building a loyal customer base that keeps supporting your business. 
• Increase average check size: As mentioned above, loyal customers are likely to spend more on each visit. When they know they're earning points or rewards, they're more willing to add that extra appetizer or dessert to their order. This not only makes their dining experience better but also boosts your average check size, leading to higher overall sales.
• Insights about your customers: Loyalty programs collect valuable info about customers, revealing their preferences, behaviors and spending patterns. As a restaurant owner, you can use this to tailor your sales strategy to your customers and get them to purchase more. 

Tips to encourage loyalty program enrollment

Getting your customers to sign up may seem challenging, but there are ways to make it more achievable. Here are some tips I recommended to encourage loyalty program enrollment—everything I learned firsthand from our data.

1. Use a points-based program

Points-based loyalty is more likely to increase order frequency and average order size. And, they're less risky to your margins.

If you hand customers a blanket $10 reward, they’ll probably use it right away and likely on a high-ticket item. With points, customers are more inclined to order more to reach the next milestone. And, you can select the rewards that work best with your current margins. Which brings us to the next tip ...

2. Reward guests with high-margin items

Focus on high-margin items that complement main dishes, such as breadsticks or drinks. These items cost little to provide but encourage customers to order signature dishes, boosting overall profit while keeping the program appealing. By aligning rewards with popular menu items, you give guests value without cutting into your margins.

3. Build rewards into your mobile app

Loyalty programs work best when integrated into a restaurant’s mobile app because 67% of consumers prefer to order directly from restaurant websites. 

Apps give frequent guests a convenient place to track and redeem rewards, while the program itself encourages new downloads, boosting reorder rates, average check size and overall customer value.

4. Start people off with free points

Giving new members a small number of free points helps them reach their first reward faster, leveraging the Endowed Progress Effect—the tendency for people to work harder when they feel they’ve already made progress. 

In a classic study, participants with partially completed punch cards purchased more car washes than those starting from zero. Starting guests just past the beginning encourages engagement and motivates them to keep earning points toward rewards.

5. Review other success stories

Loyalty programs encourage repeat visits, larger orders and stronger customer relationships. From engaging ways to earn points and high-margin rewards to app integration and head-start points, these strategies make loyalty programs appealing to customers and profitable for restaurants.

With Owner, we not only help build stunning restaurant websites, but you can also run a tailored loyalty program with our help. You can track points, manage rewards and communicate directly with customers through a custom mobile app.

Restaurant loyalty program FAQ

Running a loyalty program raises a lot of practical questions for restaurant owners. Below, I’ll answer a few questions you might have before you launch your own program.

What’s the best type of loyalty program for a small independent restaurant?

For small restaurants, simple points-based or visit-based programs often work best. They’re easy to understand, cost-effective and encourage repeat visits without requiring complex management. Offering rewards on high-margin items or signature dishes ensures profitability while keeping customers engaged.

How do I calculate loyalty reward economics and the break-even point?

Start by estimating the average incremental revenue generated by a reward (extra visits or order size) versus the cost of the reward. Factor in margins on the rewarded items and the number of rewards likely redeemed. 

The break-even point is reached when the revenue from repeat visits offsets the cost of the rewards—tracking this over time helps optimize your program.

How do I integrate a loyalty program with my POS system?

Most modern POS systems, or platforms like Owner, offer direct loyalty program integration. This allows points tracking, reward redemption and customer data to flow seamlessly without manual updates. Integration ensures accurate accounting, makes rewards easy for staff to manage and provides actionable insights on customer behavior.