Ruby Tuesday joins 'shop and save' rebate network

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By: Wise Marketer Staff |

Posted on July 20, 2005

Ruby Tuesday joins 'shop and save' rebate network

The US casual dining restaurant operator Ruby Tuesday Inc. has joined the 'Shop and Save' rebate network (operated by loyalty programme provider Vesdia Corporation) as a preferred merchant partner, offering rebates to diners at all 800+ company owned and franchised restaurants.

As part of an agreement signed between the two companies, debit and credit card holders participating in Vesdia-owned or managed programmes (such as the StockBack corporate rewards plan and BabyMint college savings plan) will earn a 3% rebate when they dine at any Ruby Tuesday restaurant.

Through Vesdia's microinvestment rewards programmes consumers receive rebates on everyday purchases made through the company's network of 500+ online, bricks-and-mortar, and catalogue merchants. These rebates are automatically tracked and deposited in the participants' investment account, points account, or can even be directed to a charitable organisation of the member's choice.

Increasing consumer spend According to William Koleszar, chief marketing officer for Vesdia, research has shown that offering consumers cash-back and rebate incentives using a targeted approach has the ability to drive customer acquisition, increase average spend, and increase patronage frequency. In fact, a recent test group of Vesdia programme participants reported spending between 12% and 44% more at participating merchants over the course of ten months.

"Retailers who participate in a coalition programme can see several significant behavioural changes among consumers," said Peter Clark, co-editor of The Wise Marketer and co-author of The Loyalty Guide, a definitive research volume on loyalty marketing worldwide. "In many ways, the coalition loyalty model represents the next generation of the popular frequent flyer programmes that are so prevalent today."

New trade expected Collin Cope, Ruby Tuesday's senior vice president, commented: "We value customer loyalty very highly and believe these "shop and save" rebates will help us find additional loyal guests. And we believe that by joining Vesdia's network we will be able to offer our current guests an incentive to visit our restaurants even more often."

According to data published by Financial Research Corporation, merchant and credit card rebate programmes such as these have the potential to capture more than US$21.7 billion annually in eligible retail transactions, representing an inflow of some US$1.1 billion per year in incremental assets for financial institutions and charitable organisations.

For additional information: ·  Visit Ruby Tuesday at http://www.rubytuesday.com ·  Visit Vesdia Corporation at http://www.vesdia.com