With restaurant prices rising, more Canadians
are turning to promotions, coupons, and loyalty
programs
TORONTO, May 9, 2024
/CNW/ - Givex Corp. ("Givex") (TSX: GIVX) (OTCQX: GIVXF),
a cloud-based global customer engagement and business insights
platform, today released its annual Givex 2024 Consumer Survey. The
findings highlight the shifting dining habits of more than 1,500
Canadians and offer insights into dining motivations, loyalty
program perceptions, and comfort with the burgeoning presence of AI
in the restaurant industry.
According to the survey, conducted in April 2024, the majority (82%) of Canadian diners
are finding it more challenging to dine out this year owing to
increased menu prices. The report underscores a noticeable shift in
consumer behaviour, with nearly half (49%) of Canadians reporting
they're dining out at restaurants less this year than last year—a
significant increase from 35% in 2023. These trends persist across
all demographic groups, emphasizing the widespread impact of
economic pressures on Canadians' dining choices.
Meanwhile, restaurants are incorporating artificial intelligence
(AI) technology into the guest experience–for instance, some are
using AI-powered online order recommendations based on a customer's
previous orders and preferences. AI is reshaping the foodservice
industry, and the nation is divided about how it feels. A nearly
even split within the public sentiment illustrates both optimism
and reservation, with almost half (48%) of Canadians expressing
comfort towards AI's growing role in their dining experiences.
"Amidst digital transformation and inflationary pressures, our
survey reveals the driving factors behind dining decisions and
emphasizes the vital role of value-centric loyalty programs and
promotions for merchants," stated Mo
Chaar, Chief Commercial Officer of Givex. "There's been a
noticeable shift in consumer dining habits across Canada. As diners grow more discerning, it's
more important than ever before for restaurant operators to attract
and retain customers. At Givex, we're harnessing cutting-edge AI
technologies to help businesses curate personalized messaging,
drive customer engagement, make data-driven decisions, and reward
guests for dining at their establishment."
Additional findings from the Givex 2024 Consumer Survey
include:
Dining Motivations and Trends
- Canadians have reduced the frequency of dining out, with 49%
dining out less often compared to 2023.
- This percentage increases to 52% among Canadians aged 18-34,
marking a 79% surge compared to the prior year (29% in 2023).
- Rising prices are impacting everyone. Of those earning
$100,000+ household income, 80% said menu prices have made it
challenging for them to dine out (compared to 85% of those earning
$50,000 or less).
- Despite the reduced frequency of Canadians choosing to dine out
this year, four-in-five Canadians say incentives such as BOGO
promotions (80%) and coupons/discounts (77%) make them more likely
to dine out at a restaurant.
- 48% of Canadians are also ordering less delivery compared to
2023.
- This change is accompanied by 59% of Canadians opting to cook
more at home—a figure that rises to 64% among young Canadians.
Loyalty programs
- The role of loyalty programs is pronounced; 57% of Canadians
find them appealing for dining purposes, with preference
intensifying among younger Canadians.
- With rising menu prices, loyalty programs might be a win-win
solution for restaurant operators and consumers: 44% of Canadians
agree they're more likely to order takeout/delivery if a restaurant
offers a loyalty rewards program.
- As food prices continue to rise, grocery loyalty programs are
becoming increasingly important to consumers.
- 62% of Canadians rank grocery rewards as the single-most
valuable type of loyalty program (up from 57% in 2023), widely
outpacing any other category.
- The average Canadian is a member of four loyalty programs and
the vast majority (97%) say they use rewards or points from a
loyalty program when making a purchase, with 42% making a purchase
at least once per month.
Restaurant Technology
- While feelings about the incorporation of AI in the dining
experience are divided, younger Canadians (aged 18-34) show a
higher level of comfort, with 59% expressing comfort with using AI
in restaurants (in contrast to only 40% of individuals aged 55 and
above).
The comprehensive insights from this annual survey empower
restaurateurs to adapt to changing consumer behaviour, emphasizing
the importance of promotions, rewarding loyalty programs, and
strategic incorporation of technology. Givex is committed to
helping businesses navigate the evolving landscape through
innovative solutions.
For more information about Givex, please visit
www.givex.com.
About Givex
The world is changing. Givex is ready. Since 1999, Givex has
provided technology solutions that unleash the full potential of
engagement, creating and cultivating powerful connections that
unite brands and customers. With a global footprint of 132,000+
active locations across more than 100 countries, Givex unleashes
strategic insights, empowering brands through reliable technology
and exceptional support. Givex's integrated end-to-end management
solution provides Gift Cards, GivexPOS, Loyalty Programs, and more,
creating growth opportunities for businesses of all sizes and
industries. Learn more about how to streamline workflows, tackle
complex challenges and transform data into actionable insights at
www.givex.com.
SOURCE Givex Corporation
