Potbelly Corporation revamped its Potbelly Perks loyalty program in early 2024, transitioning to a new coin-based reward structure. This strategic enhancement was designed to offer customers greater flexibility in earning and redeeming rewards across a wider selection of menu items. Management reported an immediate lift in engagement and a positive response from customers following the relaunch.
The updated loyalty system allows members to redeem coins for over 14 different menu items, a significant expansion from previous offerings. This flexibility is a key factor in driving increased frequency of visits among loyalty program participants. Potbelly's chief marketing officer, David Daniels, confirmed that the response to these changes has been incredibly positive.
The success of the revamped loyalty program is evident in Potbelly's digital sales performance. In the first quarter of 2025, digital channels, which include loyalty program users, accounted for over 42% of total shop sales. This represents a 200 basis point increase year-over-year, highlighting the program's effectiveness in driving customer traffic and sales through Potbelly-owned channels.
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