AFC Enterprises cultivates a loyal clientele by slicing and dicing its data warehouse to strategically configure promotions and tailor menus to suit local preferences. AFC’s data warehouse helps it better understand its core customers and maximize its overall profitability. AFC tracks customer-specific information from name and address to order history and frequency of visits. This enables AFC to determine exactly which customers are likely to respond to a given promotion on a given day of the week.
AFC also uses its data warehouse to anticipate and manipulate customer behavior. For example, AFC can use its data warehouse to determine that coffee is added to the tab 65 percent of the time when a particular dessert is ordered and 85 percent of the time when that dessert is offered as a promotional item. Knowing that, AFC can run more promotions for certain desserts figuring that customers will respond by ordering more desserts and especially more coffee (coffee is a high-margin item in the restaurant business).