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Wendy's Testing Payments Through a Mobile Application

By Mercator Advisory Group
May 6, 2013
in Analysts Coverage
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Wendy’s reportedly is enabling customers to use their mobile device to pay for meals as part of a test that also may increase downloads of the company’s mobile application. The fast-food chain is conducting the test in Austin, Texas; Portland, Ore., and Albuquerque.

To use the My Wendy’s app, customer first create a profile when registering that links to a credit or gift card. They trigger a payment by swiping their finger across the screen. The app then reveals a one-time, time-sensitive code on the screen that the consumer reads to the Wendy’s employee to complete the payment, which deducts funds from the card account. The code is good for five minutes.

Wendy’s also is supporting the trial with rewards and offers as incentives to participate. Consumers, for example, receive a small Frosty for loading their account.

The company initially launched the app last year to focus on providing nutritional information. It also has used a variety of mobile channels, such as QR codes, advertising and social media.

From Mobile Commerce Daily:

“We don’t see everyone wanting to pay for their order with their smartphone, but for those that want that convenience, we want to be able to provide it.”– Brandon Rhoten, Wendy’s director of digital marketing.

Wendy’s, like many fast-food merchants, continually strives to get customers through lines quicker to increase sales volume and customer convenience. The company’s mobile app doesn’t appear to do that given the number of steps needed to complete a sale. Given that this is just a test, it should continue working on alternative mobile-payment methods to help achieve its ultimate goals.

Click here to read more from Mobile Commerce Daily.

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