Trefis Team, Contributor
Reports suggest that McDonald’s is developing a loyalty program in the U.S. that will be launched later this year or in early 2017, building further on its new smartphone app. The company’s mobile phone app was launched late last year and already has 10 million downloads. McDonald’s has lagged behind competitors (including Starbucks and Dunkin Donuts) in digital initiatives and rewards programs, but its turnaround initiatives appear to be aimed at addressing these issues. Starbucks already has more than 11 million members enrolled in its loyalty program and Dunkin Donuts has around 4 million members, indicating that McDonald’s has a lot of catching up to do. The company is working to improve the customer experience and provide more personalized service. A rewards program will increase customer loyalty and repeat sales, along with providing the company with a direct communication channel with customers. This additionally will generate additional data, allowing the company to better channel its offering to its consumers.
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