McDonald’s Corp declared Tuesday it will launch its first-ever U.S. loyalty program the country over at taking an interest in restaurants on July 8 after months of testing. It’s pointed toward growing McDonald’s client base and alluring existing benefactors to be more loyal in the highly competitive world of fast food through MyMcDonald’s Rewards program.
The program, called MyMcDonald’s Rewards, is just accessible on its app and gives clients 100 points for each dollar spent. Individuals who sign up will automatically get 1,500 points after their first order using the program, which is sufficient points for a chicken sandwich, cheeseburger,, or vanilla cone.
The fast-food giant joins rival chains like Restaurant Brands International’s Popeyes and Yum Brands’ Taco Bell in making rewards programs to hold onto the digital customers the organizations acquired during the pandemic. Chipotle Mexican Grill declared on Tuesday a development of its current program to offer more redemption options to members.
The burger chain began testing its MyMcDonald’s Rewards program, which lets subscribers on its app earn points they can recover on burgers and fries, late last year in a few markets.
Loyalty programs can fuel more frequent visits, higher average checks, and offer restaurants’ important experiences about customers.
When clients gather 3,000 points, they can be recovered for 6-piece chicken nuggets or a large iced coffee. Large fries or a Filet-O-Fish can be reclaimed at 4,500 points and a Big Mac or a Happy Meal is free at 6,000 points.
MyMcDonald’s Rewards was first reported last November as part of its new digital initiatives that incorporate automated order taking and express pickup lanes for individuals who placed digital orders. McDonald’s (MCD) at present offers a limited rewards program for coffee on its app. That deal is being moved into the more extensive loyalty program.
McDonald’s begun testing the program in November, gradually growing it to more regions across its home market. While it has successful loyalty programs in different countries like France, this denotes the first across country launch in the U.S.
The chain’s U.S. president, Joe Erlinger, told experts in April that the organization saw digital sales of nearly $1.5 billion during its first quarter, including orders for its digital kiosks, mobile app and delivery platforms. However, the loyalty program could raise that number much higher.
The program permits clients to procure 100 points for each dollar that they spend. They can work toward 16 rewards options, split up into four different levels. The easiest items, similar to hash browns or a cheeseburger, cost only 1,500 points to recover. A Happy Meal or Big Mac will interfere with members 6,000 points.
To urge clients to join the loyalty program, they’ll earn 1,500 points after their first order as a rewards member.
McDonald’s is trusting the program will likewise help add a personal touch to the client experience. In February, the organization’s VP of digital, media and customer relationship management, Alycia Mason, said laborers will welcome loyalty members by name as they travel through the drive-through path. Clients will likewise get a personalized email after they get the orders that incorporate upcoming deals tailored to them.
McDonald’s has additionally attempted to incorporate its new loyalty program into its more extensive suite of technology. The program is part of the organization’s new “MyMcDonald’s” platform, which integrates its different tech investments, similar to its app and digital menu boards, and makes it simpler for clients to order and pay for their food.
Shares of McDonald’s have risen over 8% this year, giving it a market value of about $180 billion.
CEO Chris Kempczinski said recently McDonald’s hopes to have carried out the program in its six biggest markets – including the United States, Canada, and possibly Germany – before the finish of 2022.
At last, the objective for McDonald’s and different brands with loyalty programs is to expand sales and lure in clients, preferably consistently, by giving them motivations to pick them over their competitors. The programs likewise give restaurant owners access to clients’ information and ordering habits that help target diners with customized deals.
McDonald’s biggest adversaries, including Burger King, Chipotle, Starbucks, and Wendy’s all offer loyalty programs. Executives at those chains all have credited their particular programs for boosting sales and downloads of their apps.