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Domino’s pares down mobile checkout to propel orders

April 4, 2014

dominosmallDomino’s Google Wallet integration into its Android application highlights how pizza chains are focusing on tweaking small features to grow mobile order volume.

Once consumers go through the process of placing an order in Domino’s app, they can now pay for the meal via Google Wallet. Users can also create a Google Wallet account straight from the mobile app.

“We are always looking for ways to make digital ordering easier for our customers, and making Google Wallet Instant Buy available as a payment option helps that,” said Chris Brandon, head of public relations at Domino’s, Ann Arbor Charter Township, MI.

Mobile pie
As mobile continues to play a bigger role for quick-service restaurants and pizza chains, nailing the checkout process is one way that brands are looking to differentiate themselves.

Domino’s is also adding localized product and promotional information to its franchisees in the brand’s Web site and mobile platforms.

Domino’s reports that mobile and Web ordering generated 40 percent of revenue in 2013, indicating that digital is on track to eclipse phone-based orders fairly soon.

Domino’s originally rolled out its Android app in 2012, helping the chain to cover more than 80 percent of the smartphone market at the time (see story).

Domino’s initiatives around its app also highlight the growing importance of branded apps for pizza chains in driving more than sales. Since the competition in this space is increasing, more pizza chains are placing a bigger emphasis on loyalty and retention.

Aggressive time-sensitive offers are one way that pizza chains are tackling mobile ordering (see story).

Screen Shot 2014-04-03 at 2_opt
Google Wallet within Domino’s app

Quick pay
Domino’s is only one several brands banking on third-party payment systems to power in-app transactions.

PayPal, MasterCard and Amazon are also all betting on enabling consumers to pay using their account within a retailer’s Web site or mobile platform.

Eat24 is another example of a food brand leveraging Google Wallet for in-app payments.

According to Google, Eat24 saw checkout conversions increase by 70 percent as a result of integrating Google Wallet into its mobile app. The company also found that Google Wallet orders were 11 percent higher than credit card orders.

Google Wallet orders now make up 33 percent of all Android transactions, and these consumers are 72 percent more likely to return for repeat purchases within 30 days than other users.

“Our overall goal with Google Wallet is to help reduce the friction of payment, whether it’s online, in apps or in stores, and we want to help users pay with Google Wallet in more places,” said Ariel Bardin, vice president of payments at Google, Mountain View, CA.

Final Take
Lauren Johnson is associate reporter on Mobile Commerce Daily, New York

“For instance, you can use Google Wallet to easily purchase apps in Google Play, buy a birthday gift for your daughter on Toys “R” Us’ mobile site, pay for a birthday card using NFC at the drug store, and order pizza for dinner in the Domino’s Pizza app,” he said.

Final Take
Lauren Johnson is associate reporter on Mobile Commerce Daily, New York

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