Starbucks’ continued success with its mobile app has spurred other big consumer brands to get into mobile. It’s no wonder. According to this article on Payments Source.com, the company receives 11% of its US and Canadian sales through the mobile app, and is reportedly planning to add ordering and tipping functions.
Starbucks loves mobile: CEO Howard Schultz credits mobile, digital, and loyalty with elevating the brand. Mobile loves Starbucks: the coffee giant is singlehandedly converting massive numbers of consumers to mobile payments.
So its no surprise that late last year, two more big consumer brands announced they’re getting into mobile too: McDonald’s and Subway.
McDonalds’s France has partnered with PayPal for a nationwide rollout of its mobile and online ordering services, extending to all of the company’s in-store ordering machines by the end of the year. In the US, McDonald’s is running trials in Salt Lake City and Austin, for a mobile ordering app that allows you to order and pay with your phone, and then pick up your food by going in to your local restaurant, using the drive-through, or just parking at the curb.
In a similar move, Subway announced late last year that its partnering with Paydiant to create a mobile wallet that will live inside its existing mobile app, and include payment, offers, and loyalty (sound familiar?).
It appears that the quick service restaurant (QSR) industry will be a pioneer in the space, as Sonic Drive-In, Checkers/Rally’s, Burger King, Taco Johns and Dairy Queen have also made mobile payment announcements, pilots, or deployments.
I think we’ll continue to see every brand—in the QSR space and elsewhere—try to do its own thing around mobility and payment. If you’re a brand paying any attention to Starbucks, you’d be crazy not to.