Commentary

Study: 70% Of Customers Use Loyalty Programs To Cut Costs

 

As QSRs and fast casuals double down on loyalty programs heading into 2026, a recent report reveals that the majority of consumers have come to rely on the perks and lower prices these programs provide.

According to Par Engagement’s recent “Loyalty Programs in Today’s Cost-Conscious Dining Landscape” report, loyalty use is rising, with “one-third of consumers using restaurant loyalty programs more often due to economic pressure …and nearly 70% say[ing] loyalty programs help manage costs.”

“Guest engagement is only becoming more competitive,” said Joe Yetter, general manager of Par Engagement, in a press release. “Guests expect more than points; they want experiences that feel personal and effortless. We will see loyalty move beyond programs into personality. The brands that turn every interaction into a moment of connection, while balancing personalization with privacy, will win.”

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Even with loyalty program adoption, price sensitivity remains high; 45% of those surveyed said they “skip dining out due to menu inflation,” even with loyalty discounts.

As restaurants increase the usage of AI to personalize loyalty experiences, the study found consumer sentiment toward the technology is mixed. In terms of predictive ordering, 24% reported being “excited,” 27% were “neutral” and 27% remained “concerned about order accuracy.” Overall 52% would still trust a restaurants AI program if it “offered real-time, personalized perks, such as a surprise free item after a large order, without crossing privacy boundaries.”

Better loyalty perks can inspire a shift in dining locations, as 25% of those surveyed said they would switch to a “less-preferred restaurant for better loyalty perks,” with 50% comparing loyalty offers before deciding where to eat.

Discounts (40%) and free items/upgrades (22%) were the main drivers for respondents when selecting a loyalty program, with better rewards value coming in second at 54%, superior food quality at 45% and ease-of-use at 30% driving program switching.

Consumers may be experiencing some loyalty fatigue, with 58% saying they “prefer managing no more than five loyalty accounts.”

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