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Dutch Bros. Coffee loyalty program boasts 25,000 participantsBy
Dutch Bros. Coffee franchisees’ mobile initiatives have helped build a mobile database of 25,000 coffee buffs, resulting in increased revenue.
Rocketbux first started working with a Dutch Bros. franchisee in Junction City, OR. The franchisee used mobile to broadcast deals and the results were so good that Dutch Bros. corporate took note.
“Corporate took note because the Junction City retailer’s conversion rates were so high,” said Fred Boos, president of Rocketbux, Bend, OR. “Junction City is a small town with about 5,000 people and the retailer had about one quarter of them signed up to receive alerts.”
Founded in Southern Oregon in 1992 by brothers Dane and Travis Boersma, Dutch Bros. Coffee is believed to be the country’s largest privately-held, drive-through only coffee company.
There are more than 180 locations in Oregon, California, Washington, Idaho, Nevada, Colorado and Arizona.
The Junction City, OR, franchisee offered community members alerts and discounts. Mobile was used to get a line at the kiosk when business was slow.
Six months later Dutch Bros. corporate began to work with Rocketbux and recruited other franchises on the West coast to use the service.
An Arizona-based Dutch Bros. retailer was able to sign up thousands of customers to the mobile database.
Today, with 25,000 customers signed, the conversion rate on offers is at about 20 percent, per Mr. Boos.
Dutch Bros. franchisees promote a keyword and short code call to action at the point of sale, but have seen that verbal signups are working best.
In other words, cashiers verbally ask patrons for their mobile numbers and sign them up to receive deals.
Franchisees also have Web forms on their Facebook pages, where consumers enter their mobile numbers to become part of the mobile database.
Rocketbux is a self-service platform that helps brands build relationships with their customers and drive repeat visits to retail locations.
The platform allows for bar-coded and text-based coupons.
“The biggest achievement is filling in the gaps when business is slow,” Mr. Boos said. “One franchisee sent a message blast for an iced drink because it was so hot out and in 30 seconds a customer walked in to redeem the coupon.
“Mobile is that immediate,” he said. “The customer was driving by, got the alert and made a U-turn to go back and get the deal on the iced coffee.
“I can’t think of another marketing vehicle that is that immediate.”
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