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Dunkin’ Donuts’ app reaches 10M downloads as loyalty, payments ascend

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November 25, 2014

The Dunkin' Donuts iPhone app

The Dunkin’ Donuts iPhone app

In a reflection of the growing importance of mobile loyalty to quick-serve restaurants, Dunkin’ Donuts DD Perks loyalty program has signed up 2 million members while the chain’s mobile payment and gifting application has surpassed more than 10 million downloads.

Last year, the coffee house chain initiated a revamp of its loyalty strategy with a bigger mobile focus, similar to the Starbucks loyalty program, and rolled out the program nationwide in early 2014. The company continues to enhance its mobile strategy, including upgrading a typical reward from a free medium beverage to a free, any-size beverage as well as adding new features to the app such the ability to share rewards and to sign up for auto-recharge.

“Looking at the number of guests who have downloaded the Mobile App as well as the number of members the DD Perks Rewards program has, you can see that both programs really resonate with customers simply because both provide guests with new levels of speed and convenience so that people can run on Dunkin’ more quickly than ever before – especially during the busy holiday season,” said Scott Hudler, vice president  of global consumer engagement at Dunkin’ Brands.

“To encourage the spirit of giving this season, DD Perks Members now have the opportunity to share their rewards through the Dunkin’ Mobile App with friends, family and colleagues to keep them running on Dunkin’,” he said. “Dunkin’ Donuts Cards can be used via the Mobile App and purchased at any participating Dunkin’ Donuts locations in amounts from $2 to $125, as well as online at www.DunkinDonuts.com and at many pharmacy, and big box retailers.”

Speed and convenience
The DD Perks Rewards loyalty program, which was introduced nationwide in January 2014, is fully integrated into the app. Members earn five points for every dollar they spend on qualifying purchases at Dunkin’ Donuts when they pay using an enrolled Dunkin’ Donuts Card, either plastic or via the Dunkin’ Mobile App.

The DD Perks program was designed to provide customers with new levels of speed and convenience and the results suggest that customers are responding to the mobile strategy.

New enhancements to the program and app include the distribution of a coupon for a free any-size beverage upon enrollment into the DD Perks program, on a member’s birthday and once 200 reward points have been accumulated. Previously, members received a free medium beverage.

Additionally, members can now share their reward with anyone via email from the app while users can sign up for auto-recharge directly through the Dunkin’ Mobile App.

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Dunkin’ Donuts is celebrating its mobile achievements with several promotions. For example, it is recognizing the two millionth DD Perks member, Jae Choi, with a cash prize of $1,000, free coffee for a year and a trip to the chain’s hometown near Boston.

Additionally, anyone who registers to become a DD Perks member between Nov. 24 and Nov. 30 using the promotional code “2MIL” will be eligible to win $1,000.  One new member will be randomly selected each day.

Social promotion
The promotional activity is being extended to social media as well, where Dunkin’ Donuts has been very active over the couple of years.

Between Nov. 24 and Nov. 26, followers of the brand on Twitter can tweet @DunkinDonuts what they are most thankful for this season. By using the hashtag #DDPerksSweeps in their tweet, followers will have a chance to win a $1,000 daily cash prize.

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The Dunkin’ Donuts Mobile App enables guests to pay for food, beverages and merchandise at participating locations in the United States by scanning their DD Cards stored in the app either in-store or at the drive-thru. The app was first introduced in 2012.

Dunkin’ Donuts continues to expand its mobile strategy in other ways.

For example, it  will begin testing mobile ordering late this year in a private test and plans the program to more markets at some point in 2015.

The chain also continues to look for ways to fine-tune its targeting on mobile.

“We think that targeted offers, as seen on the Dunkin’ App as well as with the new DD Perks Program, are definitely a must-have for the future of these programs,” Mr. Hudler said. “Consumers have responded very well to the localized offers that are available through the DD Mobile app and when we launched the DD Perks program, we started to target our guests with valuable offers right away to drive incremental spend and visits.

“This targeting will become more refined as we continue to learn more about how each guest is behaving as members within DD Perks,” he said. “The DD Perks Program will be an important driver of long-term growth for this brand.”

Final Take
Chantal Tode is senior editor on Mobile Commerce Daily, New York

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