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This study aims to investigate customer preferences towards loyalty reward programs in the restaurant industry. Willingness to join such programs and expected benefits are also examined.

Focus group interviews followed by a survey methodology were used to test the research questions. The study sample included participants in a popular arts festival in Pennsylvania, USA and restaurant patrons in Las Vegas, USA.

A vast majority of study respondents favored immediate, necessary, and monetary gratification. These results were consistent across restaurant types (fast‐food versus casual dining). Although savings was the most sought‐after benefit, intangible benefits such as quality and convenience also received high ratings. Casual dining customers, in particular, seemed to be highly motivated by exploration and entertainment‐type benefits.

Future research should investigate the optimal level or combination of rewards. In addition, other types of restaurants (e.g. fine dining) might require different types of reward schemes.

The findings of this study suggest that restaurant operators in the casual dining and fast‐food segments should consider employing immediate, necessary, and monetary rewards as opposed to points‐system, luxury, and non‐monetary rewards. In terms of motivation to join loyalty reward programs, the study results indicate that casual dining patrons are looking for exciting and entertaining rewards in addition to mere cost savings.

This paper helps restaurant managers to better understand customer preferences for loyalty reward programs and to realize the value of targeted rewards.

The purpose of this paper is to study differing demographic factors affecting fast-food customers loyalty towards national or international fast food chains. It also compares the variation between global and local fast food chains as the products offered are culturally different.

A variety of variables used to gain a holistic view, which includes factors such as quality, price, food and demographic profile of consumers affecting loyalty of fast food chains. The study adopts the theory and method of the trust-commitment-loyalty explanation chain and examines the consumer survey adapted from Fast food by Sahagun et al. (2014). The present analyses 542 filled questionnaires in which systematic sampling is used. Systematic sampling procedure is adopted.

Indians prefer global fast food chains compared to Indian fast food chains. Loyalty towards global brands is higher than that for Indian brands because they are found to be of better quality which leads to higher frequency of visit and recommendation of the brands to their friends and colleagues. There are ethnic variations towards global and Indian fast food chains. Global brand of food chains generated more good word of mouth publicity compared to Indian food chains. Demographic factors play a role in the patronage of fast food chains.

One of the limitations of this research is the study adapts the theory and method of the trust-commitment-loyalty explanation chain and examines the consumer survey adapted from a study of Sahagun et al. (2014) on fast food for emerging markets. Only India is studied, but the addition of other countries like Brazil, China, Russia and South Africa can add value.

Fast food managers had to illustrate the satisfaction on affective response, such as quality of food, convenient location, variety, service and value for money. Demographic variables like gender, age, education, income and ethnicity, global and local Brand will affect the perceptions.

This is the first attempt to study the loyalty of consumers in emerging markets, which is witnessing the entry of many fast food global chains. It studies the demographic variables effect on the loyalty and the behaviour of consumers and compares to local and global brand fast food chains. The research will be use to global managers who are planning to expand in emerging markets like India.