'Power-lunch' venues join travelers network

As competition grows, Rayburn adopts national strategy

Email | Print By Milt Capps

Randy Rayburn

Restaurateur Randy Rayburn has signed-up Sunset Grill and Midtown Cafe for a trial run with a loyalty-rewards network that has nearly 50 participating clubs and restaurants within 15 miles of Hillsboro Village.

Rayburn told NashvillePost.com this morning that joining the Chicago-based Rewards Network is expected to attract network members who are frequent flyers, and who are an increasingly important portion of local diners.

Rayburn said the additional marketing and outreach help is needed because "the number of seats in the Nashville market has doubled in the past ten years, but the number of people hasn't."

He explained "we mine data," and therefore he's particularly eager to obtain customer reviews and comments on their experiences at his restaurants. Reward Network only allows reviews by customers who have used their credit cards at enrolled restaurants.

Rayburn said he's holding his younger third property, Cabana Nashville, off the program til early next year, because he wants to first see how the program benefits 17-year-old Sunset and 20-year-old Midtown.

Current local particpants include Alley Cat Lounge & Tex Mex Grill, Merchant's, Bistro 215, Jackson's Bar & Bistro, La Paz, Macke's Restaurant, Crescent Cafe & Oyster Bar and others.

At least one local restaurant, Cuisine of India on 21st Avenue S., is dropping out of the Rewards Network. Manager Tony Singh told NashvillePost.com this morning that his restaurant participates in so many promotional programs that he couldn't justify staying with the program at this time.

Network members' points and other rewards, and restaurants' payments to the Rewards Network are calculated and reported automatically when customers make a purchase. Registered network members are not required to show any other identification or coupons.

Bruce Mainzer, chief marketing officer for the Chicago-based network, said in an interview with NashvillePost.com this morning that having to present coupons was found to be a deterrent to consumer use.

Mainzer explained that Rayburn's properties will now receive customized sales data, as well as marketing and promotional services directed at 3.5 million Rewards Network members in the U.S. and Canada. He said the Network and its frequent-flyer and other sister offerings have about 168,000 registered users in Tennessee.

Publicly traded Rewards Network serves 9,374 restaurants and nightspots, and provides technology and systems support for additional private-label services for Intercontinental Hotels, United Airlines, Continental and numerous others.

Last update this article 3:23 p.m., Oct. 30, 2007