Restaurant gift card competition ramps up

Incentives become the norm

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Almost without exception this season, restaurant chains — from high-end independents to quick service — are promoting gift card sales through the end of the year with limited-time incentives or kick-back offers of free food, bonus cards or merchandise for the gift card buyer.

Chef/owner Joe Miller’s independent Joe’s Restaurant in the hip Venice, Calif., neighborhood of Abbot Kinney, for example, is offering a $25 bonus card for every $125 gift card purchased through Dec. 31. At the Fleming’s Prime Steakhouse and Wine Bar chain, those who buy $100 in gift cards receive a $20 bonus card.

At The Capital Grille, those who spend $500 or more on gift cards receive 10 percent on a bonus card and a free set of steak knives. At Jamba Juice, guests get a free 16-ounce smoothie if they buy at least $25 in gift cards, and Freddy’s Frozen Custard & Steakburgers in Wichita, Kansas is offering a free bottle of seasoning with the purchase of a $25 gift card.

Del Taco is sweetening the deal this year with not only the offer of free combo meals with gift card purchases, but also stocking stuffers. With the purchase of a $50 gift card, for example, the buyer receives two free combo meals plus a pack of Del Taco playing cards. A $100 gift card gets the buyer four free combo meals, one pack of Del Taco playing cards and a Del Taco Party Pong Game, which involves a ping pong ball and Del Taco cups.

Other chains are making an appeal to those with charitable inclinations during the holidays. Lazy Dog Café, based in Huntington Beach, Calif., for example, is making a donation to The Foodbank of Southern California to provide 30 meals to those in need for every $25 in gift cards sold through the end of the year. Gift card buyers also will receive a $5 gift toward their next visit.

Contact Lisa Jennings at lisa.jennings@penton.com.
Follow her on Twitter: @livetodineout