People power

In challenging times, focusing on your team is just as important as managing costs as they’re the face of your business

Every month, my inbox fills with hundreds of e-mails about new products, market insights and industry reports. One that instantly caught my eye was Zonal’s comprehensive report on loyalty, one of the hottest and most challenging topics in hospitality today.

The Loyalty Landscape, which draws on over a year’s worth of research, takes a close look into what loyalty really means. It’s packed with data (for example, 47% of consumers say the main reason they are loyal to a brand is that they feel it offers value for money) and, perhaps more importantly, thought-provoking insights. One of the most striking comes from John Sills, who questions whether loyalty truly exists at all. His view? Customers stay with a business as long as it remains useful to them. If a competitor offers a better product, price or experience, customers will naturally drift away.

This perspective shifts the conversation. Loyalty schemes and reward apps have their place in that they can encourage repeat visits and help collect valuable data, but they aren’t the heart of loyalty. What really drives customers back through your doors, time and again, is the people behind the counter.

The Zonal report highlights that 16% of consumers are less loyal to hospitality brands since the start of the cost-of-living crisis, and that over half (52%) say their expectations have risen due to financial pressures. In other words, customers are now more discerning, and the quality of their experience matters more than ever. The one thing operators can control amid economic uncertainty is the quality of their service, and that comes down to staff training.

John Sills makes a key point: customers aren’t loyal to businesses, they’re loyal to people. Think about your own experiences. It’s not always the logo or loyalty card that keeps you coming back, it’s the friendly face that remembers your order, asks about your family, or goes the extra mile. In hospitality, personal connection is everything.

So how can operators harness this “people power”? Keep refreshing training, have regular staff meetings and reinforce the importance of making every customer feels important. Equip your staff with the skills, confidence and knowledge they need to provide an exceptional experience every time and don’t be scared to ask customers to leave you a review if they feel they’ve had good service. 

A really effective tool to see if you’re hitting the mark is to carry out a mystery dine to see your business through the customer’s eyes. It can reveal invaluable insights into where your team excels and where improvement is needed. Also, check in with them regularly as they’re on the front line dealing with customers. Most customers are good-natured, but rising costs can create tension, so make sure your team can handle difficult situations and knows you’ll step in if they feel uncomfortable.

In today’s climate, where costs are escalating and customer expectations are higher than ever, focusing on your team can really pay off. After all, true loyalty is not built through points or promotions but through people and experience. Attitudinal loyalty – when customers say they like you – only matters if it translates into behavioural loyalty – when they keep coming back. Staff who are well-trained and engaged will make that happen.