In a reflection of how mobile is helping merchants engage with their customers, Denver-based Udi’s Cafés and Restaurants has released a mobile application to reward its customers and keep them informed.

Udi’s has partnered with Mocapay to roll out the app, which has already amassed 6,400 sign-ups in the first month of its release. The app is available in Google Play and will come to Apple’s App Store later this month.

“[Udi’s] wanted to start having a two-way conversation with consumers,” said Angie Hoagland, director of brand development at Udi’s Food, Denver, CO.

“There wasn’t a lot of ability to communicate with consumers prior,” she said. “We implemented Mocapay so we could start communicating with our customers and also reward them for their loyalty to our café and restaurants.”

Udi’s loyalty
Udi’s new app will transform the company’s prior loyalty program to mobile.

Consumers earn one point for every dollar spent, and for every 100 points earned, the consumer receives a $10 gift card to Udi’s. Consumers will be able to manage their rewards accounts via the app.

Additionally, consumers earn five points for signing up for the loyalty program. Once consumers sign up, they just need to provide their phone number at the point-of-sale to earn or redeem points.

When a consumer earns a $10 gift card, he or she will receive a single-use, perishable code that can be used at a cash register or at a table, by writing the code on the guest check.

Later this year, consumers will also be able to access Mocapay’s refer a friend feature that lets consumers earn rewards for referring their friends to Udi’s.

Udi’s also plans to leverage the in-app messaging features Mocapay offers to provide consumers with special deals such as a rainy day discount.

Additionally, the app has a store locator that lets consumers find the nearest Udi’s café or restaurant.

Consumers can join Udi’s loyalty program by going to http://udis.mocapay.com. They can also join by texting GEC to 466622, scanning a QR code at the restaurant or providing their mobile number at the point-of-sale in the restaurant.

According to Ms. Hoagland, Udi’s plans to roll out mobile payments within the next six months or so.

Mobile rewards
Udi’s is definitely not the first company to think of offering mobile rewards to its customers. The technology is spreading across industries and verticals.

For example, frozen yogurt chain Pinkberry launched a mobile rewards program last year to help members track their rewards (see story).

Kellogg Co. also recently launched a new mobile and Web experience that integrates into the company’s loyalty program to make it simpler for consumers to receive rewards (see story).

Grocery store chain Longo’s also saw much success with its mobile loyalty program and found that mobile users had a 61 percent higher spend and visited the retailer’s stores 72 percent more frequently than the average Longo’s loyalty member (see story).

Udi’s has made a smart decision in following this trend with its own mobile offering.

“We had physical cards, a punch card, but when you have a punch card, you don’t have any data,” Ms. Hoagland said. “You don’t know how many people are carrying those cards.

“Mobile enabling our loyalty program, I think that’s the way of the future,” she said. “It brings us current with technology, No. 1. No. 2 it allows us to get information on how any customers are loyal to us, where their favorite stores are.

“It also allows me to communicate with them, so I can send them push messages. It allows me to send relevant, timely messages to them at the push of a button really.”

Final Take
Rebecca Borison is editorial assistant on Mobile Commerce Daily, New York