Dunkin’ Donuts has launched a mobile application that it says will speed up lines and offer customers more ways to send virtual gift cards. Offering this kind of app makes sense for Dunkin’ because it has a large number of repeat customers making small dollar transactions multiple times each week.
Dunkin’ app users can store and purchase Dunkin’ Donuts Cards on their iPhones, iPads or Androids and add money to the virtual cards, like customers do with plastic ones. But rather than offer a physical Dunkin’ card to the cashier, users open the app and pull up a barcode for the cashier to scan.
Starbucks has been the leader in the mobile payments space as it had more than $110 million loaded onto its mobile app in 2011. While Dunkin’ and Starbucks are competitors, it would not be surprising to see customers with both apps loaded onto their smartphones. The closed-loop market continues to lead the way in mobile payments, and Dunkin’s program will advance the cause of mobile payments.
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