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Taco Bell’s Approach To Fostering Customer Loyalty And Fighting Fraud

FEATURE STORY (p . 7)

JULY 2020

News and Trends Presto offers free contactless technology solutions to help struggling 11 industry safely fuel revenues

Deep Dive Cybercrime increases as consumers shift to digital ordering amid COVID-19 17 pandemic

Scorecard The latest mobile order- 23 ahead provider rankings MOBILEORDER-AHEAD Tracker

TABLE OF CONTENTS

What's Inside A look at recent mobile order-ahead developments, including the shift to 3 contactless ordering and payments and how COVID-19-related fraud schemes are affecting the mobile order-ahead space

Feature Story An interview with Zipporah Allen, vice president of digital experiences at 7 Bell, on how customer loyalty programs can help QSRs drive revenue amid the pandemic News and Trends The latest worldwide mobile order-ahead headlines, including food ordering platform BellyMelly’s launch of a free contactless mobile app to help nationwide 11 eateries safely reopen and POS software provider ParTech’s partnership with drive-thru management provider Techknow to assist QSRs with upgrading drive- thru timers Deep Dive An in-depth examination of social media scams and fake reviews and how 17 they harm by influencing consumers and hijacking crucial revenue streams

Scoring Methodology 21 Who’s on top and how they got there

Top 10 Providers and Scorecard The results are in. See the top scorers and a provider directory that features 77 22 players in the space

About ACKNOWLEDGMENT Information on PYMNTS.com and Kount 53 The Mobile Order-Ahead Tracker® is done in collaboration with Kount, and PYMNTS is grateful for the company’s support and insight. PYMNTS.com retains full editorial control over the following findings, methodology and data analysis.

© 2020 PYMNTS.com All Rights Reserved 2 WHAT'S INSIDE

Meeting customers’ concerns for safety amid the the number of customers relying on app-enabled ongoing COVID-19 pandemic has led quick-service mobile payments for drive-thru, mobile food order- restaurants (QSRs) to reset their operations. This ing and curbside pickup has led to a parallel rise has meant adopting contactless ordering, payment, in cybercrimes, however. Bad actors see the in- delivery and pickup services – needs that solutions creased use of mobile apps for food ordering as providers have gladly stepped in to fill. These up- an opportunity for fraud. Some have set up fake grades come at a crucial time for the battered food restaurant storefronts on social media to bilk con- service industry as it looks to reopen and recover sumers in plug scams that result in huge from the financial hardships inflicted by temporary losses for business owners, for example. closures and stay-at-home mandates. Pandemic-related schemes have been rampant in The mobile order-ahead space already had the ad- the United States, with 22 percent of consumers vantage of enabling limited interaction between falling victim to such fraud. Restaurants and mobile customers and staff as well as limiting touch of platforms will need to adopt prevention systems to shared surfaces like restaurant menus. A surge in

© 2020 PYMNTS.com All Rights Reserved 3 WHAT'S INSIDE

combat these schemes and reap the benefits of in- services via a messaging app would make it more creased mobile ordering. likely that they would complete purchases.

Contactless ordering is growing in demand as Mobile order-ahead developments around the world consumers and businesses look to avoid conta- gion. Zuppler, a global food services and software As consumers have migrated to primarily shopping firm, has released on-site touchless ordering on its and paying online and have opened new digital ac- Menu Anywhere system that will provide a safe, in- counts during the COVID-19 pandemic, incidents of teractive alternative for the $900 billion food service cybercrime have also risen. Recent research found industry in the U.S. Guests can track their orders as that digital food orders jumped 134 percent, and the food is prepared and review prior order history, in- number of consumers using new accounts rose to cluding favorite items. between 20 percent and 25 percent of transactions compared to pre-pandemic levels of between 5 For more on these stories and other mobile percent and 7 percent. Online fraud in the restau- order-ahead developments, read the Tracker’s rant space rose by 32 percent, however, indicating News and Trends section (p. 11). that preventive measures will need to be taken. on fostering customer loyalty for The online and mobile world has become central to mobile order-ahead apps consumers’ daily lives, yet only 25 percent of QSRs Continued social distancing and stay-at-home or- are operating with formal digital strategies, accord- ders have hobbled restaurants’ revenue streams as ing to a recent study. The study examined what many QSRs lack the walk-in traffic that previously consumers most wanted from QSRs, with speed formed core parts of their businesses. Restaurants and convenience topping the list. These can be are relying on mobile apps more than ever to make achieved through streamlining the checkout pro- sales and stay in operation, but these apps re- cess, improving mobile apps or linking payment quire loyal customer bases to make up for dine-in cards to loyalty programs so customers can use sales losses. In this month’s Feature Story (p. 7), their rewards across digital channels. The study PYMNTS spoke with Zipporah Allen, vice president also revealed that more than 60 percent of con- of digital experiences at Taco Bell, about how the sumers said the capability of paying for goods and

© 2020 PYMNTS.com All Rights Reserved 4 WHAT'S INSIDE

Executive chain fosters customer loyalty with a program that draws on customers’ past orders to provide them INSIGHT with targeted recommendations. A recent study revealed that online fraud in the restaurant sector had risen 32 percent by ear- Deep Dive: How the rise in digital food ly June. What tools and technologies can help crack down on cybercriminals and protect cus- ordering volumes has attracted cybercrime tomers’ personal information? schemes “Account takeover [or ATO] fraud is an issue of Mobile order-ahead apps are providing a safe and major concern for online businesses and digital convenient way for consumers to order meals at commerce, particularly as the demand for online purchases has increased since March. Restau- their favorite QSRs during the COVID-19 pandem- rant loyalty accounts are often the target of ATOs ic. These mobile apps can also serve as tools for because of the stored value they contain. engaging members in loyalty programs to build Beyond exposing a victim’s personal information, lasting relationships. Increased consumer en- a criminal can use unauthorized account ac- gagement, however, is a honeypot for fraudsters cess to steal monetary value on the account or to looking to take advantage of unassuming mobile purchase gift cards, which, once used, can be dif- ficult to track. users. This month’s Deep Dive (p. 16) examines the consumer-driven shift to digital payments and how Restaurants are responsible for securing a con- sumer’s digital journey through their websites; it is attracting fraud schemes through social media however, enhanced protection shouldn’t include and food-ordering apps as well as the fraud preven- additional friction.

tion systems that can help combat these scams. To balance security with a positive customer ex- perience, Kount gives flexibility to adapt friction levels for certain users. Kount accomplishes this by establishing 'identity trust,' or the level of trust for each identity behind every payment, account creation and login event.

Kount Control Account Takeover Protection is the only ATO solution built on the Identity Trust Glob- BRAD WISKIRCHEN al Network, linking risk and trust signals to protect CEO of Kount and enhance the entire customer journey.”

RICH STUPPY chief customer experience officer at Kount

© 2020 PYMNTS.com All Rights Reserved 5 WHAT'S INSIDE

Five Fast Facts

$630B 32% Increase in online restaurant

Amount of online sales fraud during the COVID-19 expected this year, of which lockdown fraudsters are predicted to steal more than $12 billion

134% 25% 80% Portion of QSRs operating Increase in online food orders -go payments with formal digital strategies Share of on-the from restaurants during made with ’ mobile COVID-19 app prior to COVID-19

© 2020 PYMNTS.com All Rights Reserved 6 Taco Bell’s Approach To Fostering Customer Loyalty And Fighting Fraud

© 2020 PYMNTS.com All Rights Reserved 7 FEATURE STORY

The COVID-19 pandemic is one of the biggest chal- Allen recently offered PYMNTS an inside look at lenges the QSR industry has ever faced, with social how the pandemic has emphasized leveraging cus- distancing and stay-at-home orders forcing restau- tomer loyalty to drive sales as well as how lingering rants around the U.S. to close their dining rooms fraud threats will continue to target the space once and rely on delivery and takeout services to stay the crisis passes. afloat. The National Restaurant Association ex- Changes due to COVID-19 pects the industry to lose up to $240 billion by the end of the year, with millions of restaurant work- Customer loyalty is an extremely important driver ers laid off or furloughed and numerous eateries of QSR sales, but it has never been more import- forced to close permanently. ant than it is now. QSRs cannot currently rely on customers to stop at their restaurants in the spur Restaurants confronting these challenges are turn- of the moment as stay-at-home orders and so- ing to mobile order-ahead services more than ever cial distancing guidelines mean dining rooms are to continue their operations. Some have been generally no longer spots for spontaneous meals. forced to rely on third-party apps such as Grubhub QSRs must therefore count on consumers making and Postmates, which can come with high fees conscious decisions to purchase food from their and require restaurants to relinquish some control restaurants, which requires customer loyalty. over the delivery process. Others, such as Mexican QSR giant Taco Bell, have their own mobile ordering Restaurants are fostering this loyalty with systems and have been working hard to push app programs that reward customers for repeated pur- adoption as an alternative to in-store dining. chases, with the idea that those faced with several meal options will pick the one that empowers them “With COVID-19, we've gotten very serious about with their purchases. Taco Bell uses a system that making big strides in digital,” said Zipporah Allen, grants customers rewards points for every dollar Taco Bell’s vice president of digital experiences. spent, and these points can be redeemed for free “We were already on that path in a really big way, menu items, for example. but the pandemic has really accelerated our initia- tives in this space.”

© 2020 PYMNTS.com All Rights Reserved 8 FEATURE STORY

“Loyalty is a huge part of our [digital initiative],” Allen This expands customers’ menu preferences, giving said. “We know that when customers are shopping them more reasons to return to the restaurant for for a digital experience, they want a one-on-one, different meals. personalized experience, and loyalty [programs] lay “My favorite menu item is a cheese , the foundation for that.” for example,” Allen noted. “So based on my shop- Taco Bell promotes personalization by analyzing ping habits, the app could reward me with a grilled customers’ favorite orders and offering them nov- cheese to invite me into new products.” el rewards items they are likely to find appealing.

© 2020 PYMNTS.com All Rights Reserved 9 FEATURE STORY

Mobile ordering options and loyalty offerings are The ever-present specter of fraud that restaurants likely to remain popular after the pandemic recedes, face is not going away, either. Bad actors are us- too. QSRs like Taco Bell predict that these changes ing various tactics to take advantage of customers in customers’ preferences are here to stay and they who are new to mobile ordering, including hacking are adjusting their business models to meet their into mobile order-ahead apps and pilfering person- needs. al data such as passwords, rewards points and credit card information. Compliance with regulato- Preparing for a post-pandemic world ry standards like the California Consumer Privacy It is unclear exactly how customers’ preferred Act (CCPA) is the best way to prevent this fraud, Al- restaurant experiences will shift after the pandem- len explained. ic, but Allen predicts that they will continue to seek “We have a whole team dedicated to safety and se- personalized offerings that reward QSR loyalty and curity, especially in times like today where with the Taco Bell is leaning into this change. shift to online you have [increased] digital risk,” she “We are preparing for a big shift in consumer behav- said. “We've got a really robust technology plat- ior, but I don't know exactly what that's going to look form, and we're compliant with the regulations that like,” she said. “And even when consumers begin to are out there, like CCPA.” dine in again, I think that the way that they want to QSRs that survive the pandemic are not necessar- order and the way that they want to pay and inter- ily out of the woods, however. They must continue act with our team members is going to be different. to monitor all aspects of their mobile order-ahead That’s why we're so focused on making sure that we programs, including customer behaviors and fraud have a program in the app that gives a personalized risks, to ensure that their ordering platforms will re- experience that rewards and recognizes our fans, main successful in a post-pandemic market. because that shift in how customers want to inter- act with brands is not going away, I don't think.”

© 2020 PYMNTS.com All Rights Reserved 10 NEWS AND TRENDS

DIGITAL ORDERING, LOYALTY reshape its U.S. in-store and digital options over INITIATIVES the next 18 months by accelerating the expansion of drive-thru, walk-up window and curbside pick- Starbucks accelerates drive-thru and pickup expansion to more stores amid COVID-19 up services to more locations. The company plans pandemic to revamp store layouts to better accommodate and help streamline these services to meet chang- The onset of COVID-19 swiftly disrupted foot traf- ing safety needs as well as to accommodate easier fic to coffee shops across the country, including pickup for delivery couriers. coffee giant Starbucks, which was forced to ac-

celerate implementation of its convenience-led Study shows parallel rise in online food orders, customer experiences across stores. Some 80 per- cybercrime cent of Starbucks’ revenues were already made via New digital account openings have climbed in on-the-go, prepaid ordering with the branded mo- parallel with incidents of cybercrime as con- bile app even before the pandemic. Now Starbucks sumers have migrated to shopping primarily has announced plans to leverage that capability to online during the COVID-19 pandemic. Recent

© 2020 PYMNTS.com All Rights Reserved 11 NEWS AND TRENDS

research found that online food orders jumped 134 rolls out loyalty program, digital percent and the number of consumers using new ordering for delivery, takeout accounts rose to between 20 percent and 25 percent Some QSR chains are initiating loyalty programs of transactions as restaurants and QSRs closed and as well as digital offerings for their guests’ con- consumers turned to delivery and curbside pickup venience and safety. Japanese QSR Yoshinoya options. This compares to pre-pandemic levels of America recently launched digital ordering for de- between 5 percent and 7 percent. The study also livery and carryout, for example, along with its first showed a 32 percent hike in online restaurant fraud, loyalty program, Yoshinoya Rewards. The QSR has including tactics such as user account hacks or us- partnered with third-party delivery platforms Door- ing a stolen credit card to buy a restaurant gift card. Dash, Postmates and Uber Eats for deliveries, while It can take months for transactions to be reported it developed its loyalty program in concert with to credit card companies as fraudulent, however. AI-powered platform Punchh and mobile and online Payment appeals also rose a staggering 674 per- food ordering system Olo. The program includes ex- cent, indicating that suppliers struggled to deliver clusive promotions, and guests can earn five points orders fast enough and had to cancel payments and for every $1 they spend. To participate, customers issue refunds, which could also indicate chargeback must either download the Yoshinoya app or sign up fraud. online.

© 2020 PYMNTS.com All Rights Reserved 12 NEWS AND TRENDS

Research finds just 25 percent of QSRs have amid the COVID-19 pandemic. Zuppler, a global digital strategies in place food services software firm, hasreleased an on-site Using speedy digital sites and services has become touchless ordering system, Menu Anywhere, to help integral to consumers’ lives, whether it’s to shop on- address this need as the $900 billion food service line for clothes or to order food through a mobile industry looks to recover in the U.S. The Menu Any- app. Only 25 percent of QSRs are operating with dig- where touchless ordering service is designed to be ital strategies, however, according to a key finding in installed wherever menus are offered, from restau- a recent study conducted by Dutch payments plat- rants to live events, for guests to have an interactive form Adyen and research firm 451 Research. This and customized experience. Customers will be able is compared to the 51 percent of luxury retail chains to track their orders, review prior order history and and 51 percent of grocery store chains that have ad- enroll in loyalty programs, while establishments will opted and executed formal digital strategies. It was be able to update menus in real time, streamline op- loud and clear what consumers want most from erations and keep staff members safe with fewer QSRs’ digital channels: Respondents want ease of interactions. use and speed in their digital experiences. This can Konnect Solutions rolls out contactless order be achieved through streamlining the checkout pro- and pay mobile solution cess, improving mobile apps or linking payment Konnect Solutions is another firm that has recently cards to rewards programs. The study also revealed unveiled a contactless solution for safe food order- that more than 60 percent of consumers said us- ing from restaurants. The mobile solution harnesses ing a messaging app to pay for goods and services the firm’s patent pending wireless technology so would make it more likely for them to shop. customers can use their mobile phones to order and pay while at drive-thrus or when dining indoors. CONTACTLESS ORDERING, Guests are not required to install a mobile app and PAYMENTS simply connect to the internet or use a web brows- Zuppler launches contactless menu ordering er to use the tool. Konnect provides users with the system intended for safer dining experiences restaurant’s local Wi-Fi Wireless Access Point, giv- Contactless payments and solutions are rising in de- ing them instant access to the menu and the ability mand as consumers seek to avoid risk of contagion

© 2020 PYMNTS.com All Rights Reserved 13 NEWS AND TRENDS

to place orders that are sent directly to the restau- ordering and payment capabilities for any sized rant’s point-of-sale (POS) system. restaurant. Customers can use their mobile phones to access menus by scanning near-field communi- BellyMelly offers touchless app for contactless cation (NFC) tags or QR codes to place orders and dine-in ordering, deliveries and donations pay. Two key features of the kit include waitlist and Online food ordering system BellyMelly has similar- pre-order capabilities that allow guests to view esti- ly released a free, contactless mobile app to help mated wait times. nationwide eateries reopen safely amid the pan- demic. Available for iOS and Android, the app allows the consumer to scan a quick response (QR) code on display at restaurant tables to pull up the menu on their smartphones, thus eliminating the need for handling a physical menu. Customers order directly from their smartphones at the table, and the orders flow to the kitchen for preparation. The BellyMelly app also offers takeout and delivery ordering and is designed to help regional restaurant owners com- pete against third-party delivery platforms with its relatively low processing rate of 3 percent per order. The app also works with restaurants to donate a cut of each sale to local nonprofit organizations.

Presto offers free Contactless Dining Kits to help struggling restaurant industry as it reopens

Restaurant enterprise technology platform Presto is making moves to help address reopening needs during a dire time for the service industry. The com- pany recently released its free Contactless Dining Kit, which includes a contactless menu display,

© 2020 PYMNTS.com All Rights Reserved 14 NEWS AND TRENDS

MOBILE ORDER-AHEAD for delivery or takeout. The features will also allow ENHANCEMENTS restaurant owners to more easily track delivery driv- ers, improve overall efficiency and throughput and ParTech teams with Techknow for drive-thru timers ultimately cut down on extraneous labor costs.

Demand for the QSR drive-thru is expected to Restaurants using the HungerRush management steadily rise in future years. Against this backdrop, system will also be able to receive and send notifi- technology companies are developing systems to cations for curbside pickup and accept orders from assist QSRs with upgrading drive-thru operations. a host of third-party delivery services such as Door- U.S.-based POS software provider ParTech is one Dash, Grubhub and Postmates. such player that is collaborating with Techknow, a Tock releases omni reservation system and multi-sensor drive-thru management solution firm, futuristic event platform to offer QSRs and fast casual restaurants with -based Tock joined the list of companies drive-thru timers and wireless communications sys- seeking to help QSRs cope with the realities of the tems. Techknow's timer technology is designed COVID-19 pandemic. The company announced the to track time using multiple sensors in addition to rollout of Tock 20, a POS system that unifies restau- keeping track of vehicles traveling in multiple-lane rant management, takeout orders, deliveries and arrangements. This package is designed to give event management. The system has been designed QSRs a competitive edge by providing flexibility in to meet the unique needs of restaurants, wineries their drive-thru operations and a source of real-time and other businesses that are currently reopening. commercial data. Tock 20 was developed based on a study of what HungerRush speeds delivery of restaurant restaurant patrons wanted most out of their dining management platform with digital offerings experiences and will support contactless order- HungerRush, a Dallas-based restaurant man- ing and payments, advanced waitlists and two-way agement system provider, is accelerating the messaging capabilities to ensure social distancing development of its digital ordering features in light and integrations with delivery providers at no addi- of the ongoing pandemic. tional cost.

The new features will enable restaurants to more easily manage mobile and online orders, whether

© 2020 PYMNTS.com All Rights Reserved 15 DEEP DIVE

Cybercrime Rises As Consumers Migrate To Digital Food Ordering Amid COVID-19 Pandemic

Consumers are still staying home and avoiding area closures. Customers have been relying more in-person activities during the COVID-19 pandem- on web- and app-enabled mobile payments for drive ic, prompting continued growth in online shopping. thru, mobile order-ahead and curbside pickup, but Conservative estimates in mid-March — even be- these options have opened new doors for potential fore the health crisis prompted many governments fraud. to enforce stay-at-home orders — predicted that this A recent study revealed that online fraud in the year’s online sales would total $630 billion. These restaurant sector had risen 32 percent by ear- high figures are drawing attention from bad actors, ly June, with cybercriminals purchasing gift cards however, with a recent report noting that cybercrim- with stolen credentials or breaking into users’ de- inals are expected to steal $12 billion of this total. livery accounts, for example. Fraudsters who have This trend is especially worrisome for QSRs as pilfered consumers’ details and cracked their mobile they roll out contactless pickup options to cater to order-ahead QSR delivery accounts then often sell safety-conscious customers. States’ stay-at-home access to them via online platforms, which can con- orders have led to declining sales due to dine-in tain accounts from a multitude of brands.

© 2020 PYMNTS.com All Rights Reserved 16 DEEP DIVE

Many bad actors are taking advantage of seeking bargain prices via payment apps. Restau- pandemic-related uneasiness to launch various rant owners say these scams, called “pizza plugs” schemes. The Federal Bureau of Investigation’s Inter- because they frequently target pizza chains, can net Crime Complaint Center recently warned about cause devastating losses. cybercriminals referring to fake COVID- 19-related The schemes proliferate primarily on social me- regulations and fees for delivering products, for ex- dia, where users send direct messages containing ample, allowing them to trick unwitting victims into their delivery information to the fraudulent accounts paying for “newly enacted” shipping laws. Fraudu- as well as payment via a mobile app such as Pay- lent promo code use is another method that can Pal. The theft occurs when the fraudsters offering into QSRs’ bottom lines. QSRs often leverage promo the deals use stolen credit card details to place cus- codes to draw more guests, but some customers tomers’ orders. These scams allow bad actors to open numerous accounts to capitalize on one-time abscond with cash from customers receiving deep offers multiple times. This can cause serious losses discounts on the food, while restaurants lose thou- for QSRs that have not taken measures to anticipate sands in costs and chargeback fees. and address such behaviors. Catching cybercriminals perpetrating pizza plugs The following Deep Dive examines some of the can be difficult, as doing so requires legitimate fraud tactics that are becoming more prevalent in cardholders to spot fraudulent transactions and the mobile order-ahead space amid the COVID-19 notify restaurants as they occur. Some restau- pandemic, as well as what authorities and QSRs are rant employees have remarked in hindsight that doing to fight these schemes. pizza plug scammers often reveal themselves by attempting to make purchases with multiple credit Confronting ‘pizza plugs’ cards before their transactions are successful. Eat- The pandemic has brought about changes in con- eries can ultimately do little to tamp down on such sumers’ food-purchasing behaviors, prompting schemes, aside from charging customers who pay many to seek low prices and contactless deliveries. through pizza plugs with receiving stolen goods. Some QSRs are continuing to confront schemes in which in fraudsters use stolen credit cards to place A recent survey shows that digital fraud in the U.S. has online orders for food, then ship them to consumers grown since the COVID-19 outbreak, with 22 percent

© 2020 PYMNTS.com All Rights Reserved 17 DEEP DIVE

of Americans falling victim to pandemic-related customer and engagement and loyalty platform schemes. This is prompting restaurants catering to Punchh to guard its transactions. The systems pro- more digitally oriented customers to examine their vide different protection layers, enabling each to operations and determine how to best address the cover for the other’s blind spots. The platforms also uptick. analyze each fraud attempt to help better identify and thwart such schemes in the future. Chicago-based fast casual chain LYFE Kitchen is one such business that has been affected by the QSRs and other eateries are continuing to see pandemic. The QSR has dramatically altered its op- heightened interest in mobile order-ahead and other erations to enable mobile ordering and deliveries, digital options during the pandemic, and fraudsters shutting down all but one of its three locations and can be expected to modify their tactics to capitalize consolidating its services there. on these trends. The restaurants that can tailor their fraud prevention tactics to block bad actors’ latest This digital shift has required a robust approach to scams stand to both satisfy and safeguard their fraud prevention, however, and LYFE has turned to customers. mobile and online food ordering system Olo and

© 2020 PYMNTS.com All Rights Reserved 18 MOBILE ORDER-AHEAD ECOSYSTEM

The PYMNTS Mobile Order-Ahead Tracker® gives an overview of the trends and activities across the mobile order-ahead space, as well as the companies that offer relevant solutions and services. Each month, the Track- er’s News and Trends section provides a comprehensive update of the latest goings-on of the major industry players, technologies and solutions fueling the consumer-driven ecosystem. This visual representation of the mobile order-ahead ecosystemMobile explains Orderhow we organize Ahead our News Ecosystem and Trends. ConsumerConsumer

Consumer Ordering Interfaces

MOBILE VOICE MESSENGER SMART CONNECTED APP ASSISTANT TV CAR

Consumer Acquirers

QSR BRANDED QSR AGGREGATORS

Integrators

QSR Acquirers

ORDER DIRECT ORDER AGGREGATORS

POSPOS

© 2017 PYMNTS.com all rights reserved 3 © 2020 PYMNTS.com All Rights Reserved 19 SCORING METHODOLOGY

MOBILE ORDER-AHEAD SCORING METHODOLOGY

Companies included in the Tracker Scorecard are the top restaurants providing mobile order-ahead as an inte- grated offering within their operations. Providers have been scored and ranked based on three primary mobile order-ahead criteria:

Ordering loyalty App channels integrations usage

How orders can be placed How customers can How many people interact via the app, including access their loyalty with the app, including usage whether they can be made or rewards program penetration rates, the number through a branded app, accounts via a business’ of active monthly users and third-party aggregator, mobile app the average session duration messenger app or in seconds voice-activated app

© 2020 PYMNTS.com All Rights Reserved 20 TOP TEN MOBILE 0RDER-AHEAD PROVIDERS

This month’s provider directory assesses 77 leading players in the space and scores them based on their mobile ordering apps' features and adop- tion levels. Scoring factors in loyalty and rewards program integrations, the number of active users each month and the average time users spend on the app. Ordering channel options, including whether customers can order by voice and whether orders are placed through a branded app or a third-party ag- gregator, are also important.

score score 1 95.5 5 89

score score 1 94 5 88.5

score score 2 92 6 88.5

score score 3 92 7 87.5

score score 4 90 8 87.5

© 2020 PYMNTS.com All Rights Reserved 21 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 0 29 54

APPLEBEE'S Launch of mobile order service date: April 2016

The Applebee’s app allows customers to order and pay ahead. They can also create accounts to save favorite orders and earn loyalty points.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 5 37

ARGO TEA Launch of mobile order service date: November 2014

Argo Tea’s app enables customers to preorder and prepay for purchases. It allows customers to scan mobile devices to pay at the counter when picking up their orders, and offers rewards and loyalty features including perks for every 10 vis- its and credit for downloading the app.

© 2020 PYMNTS.com All Rights Reserved 22 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage 0 54 Channels 25 Score 61.5 25 29 7 29.5

APPLEBEE'S April 2016 BJ’S RESTAURANT & BREWHOUSE Launch of mobile order service date: June 2014

The Applebee’s app allows customers to order and pay ahead. They can also create accounts to save favorite orders The BJ’s mobile app allows customers to order ahead for takeout or dine-in, and offers split-the-bill features for group and earn loyalty points. orders.

Loyalty Total Integrations Score Ordering App Usage 25 37 Channels Score 7 5 7 25 32.5 64.5

ARGO TEA November 2014 BLAZE PIZZA Launch of mobile order service date: March 2016

Argo Tea’s app enables customers to preorder and prepay for purchases. It allows customers to scan mobile devices to The Blaze Pizza app enables guests to order and pay from smartphones and earn rewards including free meals. The pay at the counter when picking up their orders, and offers rewards and loyalty features including perks for every 10 vis- app also provides online order histories, reordering capabilities and a nutrition calculator. its and credit for downloading the app.

© 2020 PYMNTS.com All Rights Reserved 23 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 42 92

BURGER KING Launch of mobile order service date: May 2016

The app is piloting an order-ahead tool via ’s Messenger chatbot. The service would allow cus- tomers to place meal orders, select pickup locations and pay for purchases.

Loyalty Total Integrations Score Ordering App Usage Channels 25 Score 44 7 12

CALIFORNIA PIZZA KITCHEN Launch of mobile order service date: February 2017

The CPK Rewards app allows guests to order and pay from their phones, and earn rewards they can spend at participat- ing locations.

© 2020 PYMNTS.com All Rights Reserved 24 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 13 45

CAPRIOTTI’S Launch of mobile order service date: June 2015

Capriotti’s app enables customers to place and pay for orders. It is integrated with the company’s CAPAddicts Rewards Program and features a store locator.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 32 64

CAVA Launch of mobile order service date: November 2013

The CAVA app enables customers to view the restaurant’s full menu, customize dishes, pay in-app and order in advance.

© 2020 PYMNTS.com All Rights Reserved 25 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 25 50 90

CHICK-FIL-A Launch of mobile order service date: June 2016

The Chick-fil-A app allows guests to customize their orders, pay in advance and skip lines when picking up their meal. It also offers a new rewards program and allows customers to save and reorder favorite items.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 43 75

CHILI'S Launch of mobile order service date: September 2011

The Chili’s app enables customers to find the nearest restaurant, put their names on seating wait lists and order meals to-go. It also saves previous orders and integrates with the My Chili’s Rewards program.

© 2020 PYMNTS.com All Rights Reserved 26 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 17 25 50 92

CHIPOTLE MEXICAN GRILL Launch of mobile order service date: January 2009

The Chipotle app allows iOS and Android users to place orders and pay for them. It also enables users to find nearby restaurants, see menu and nutrition information and access recent orders.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 10.5 35.5

CHOP'T Launch of mobile order service date: November 2016

The Chop't app allows customers to place orders in advance to be picked up in-store, earning rewards. It shows the nearest restaurant and displays nutritional and allergen information about menu items.

© 2020 PYMNTS.com All Rights Reserved 27 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 21 46

COSTA VIDA Launch of mobile order service date: November 2015

The Costa Vida app features order-ahead and rewards capabilities, displays special offers and encourages users to pur- chase gift cards for friends.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 0 27.5 42.5

DENNY’S Launch of mobile order service date: May 2017

The Denny’s app allows customers to place orders for takeout or delivery, and they can be tracked and are saved togeth- er with payment information. The solution also displays nutritional information.

© 2020 PYMNTS.com All Rights Reserved 28 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels 25 Score 95.5 0 25 21 46 25 45.5

Top Mobile Order-Ahead Provider

COSTA VIDA November 2015 DOMINO’S PIZZA Launch of mobile order service date: February 2012

The Costa Vida app features order-ahead and rewards capabilities, displays special offers and encourages users to pur- The Domino’s Pizza app enables customers to order and pay in English and Spanish, and earn rewards for purchasing. chase gift cards for friends. It connects with Ford Sync to track orders, and customers can place them on the go with Apple Watch or Pebble smart- watch. iPhone users can also access a voice-ordering assistant.

Loyalty Total Integrations Score Ordering App Usage 0 42.5 Channels 25 Score 59.5 15 27.5 7 27.5

DENNY’S May 2017 DONATOS PIZZA Launch of mobile order service date: January 2017

The Denny’s app allows customers to place orders for takeout or delivery, and they can be tracked and are saved togeth- The Donatos Pizza app allows customers to place orders and retrieve past order information. er with payment information. The solution also displays nutritional information.

© 2020 PYMNTS.com All Rights Reserved 29 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels 25 Score 87.5 25 37.5

DUNKIN’ Launch of mobile order service date: August 2012

The Dunkin’ app enables order-ahead, gives users free beverages on special occasions and integrates with the DD Card, the Dunkin' prepaid card.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 23.5 55.5

EL POLLO LOCO Launch of mobile order service date: December 2016

The El Pollo Loco app allows customers to place and customize orders, choose whether to pick up or receive orders via delivery and pay in advance. Customers can also earn reward points and save their order histories.

© 2020 PYMNTS.com All Rights Reserved 30 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage 25 87.5 Channels Score 25 37.5 7 25 33.5 65.5

DUNKIN’ August 2012 Launch of mobile order service date: August 2015

The Dunkin’ app enables order-ahead, gives users free beverages on special occasions and integrates with the DD Card, The Firehouse Subs App allows customers to order online, find locations and earn rewards. Firehouse Rewards, the the Dunkin' prepaid card. restaurant’s digital loyalty program, is available at nearly all U.S. locations.

Loyalty Total Integrations Score Ordering App Usage 25 55.5 Channels Score 7 23.5 15 0 36.5 51.5

EL POLLO LOCO December 2016 Launch of mobile order service date: August 2011

The El Pollo Loco app allows customers to place and customize orders, choose whether to pick up or receive orders via The Five Guys Burgers & Fries app was developed by food ordering platform Olo, and it allows mobile ordering and or- delivery and pay in advance. Customers can also earn reward points and save their order histories. der history capabilities, among other features.

© 2020 PYMNTS.com All Rights Reserved 31 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 25 19 59

FREEBIRDS Launch of mobile order service date: June 2016

The Freebirds Restaurant app enables customers to place orders and pay via digital gift cards. They can also scan re- ceipts to earn rewards.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 0 25 32

HUNGRY HOWIE’S PIZZA Launch of mobile order service date: January 2015

The Hungry Howie’s Pizza app allows customers to place and pay for orders and save payment methods for future use. Users can also create profiles, save orders and reorder past purchases.

© 2020 PYMNTS.com All Rights Reserved 32 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 30 62

JAMBA JUICE Launch of mobile order service date: August 2015

The app helps guests skip lines by enabling them to order and pay in advance. Users can save their pre- ferred stores, earn reward points on their purchases and reorder from stored recent orders.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 43 75

JERSEY MIKE'S Launch of mobile order service date: April 2014

The Jersey Mike’s app, created in partnership with Splick.it and available via both Android and iOS, allows customers to locate Jersey Mike’s restaurants, choose orders from the full menu, pay ahead and store favorite items for easy return ordering.

© 2020 PYMNTS.com All Rights Reserved 33 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 0 45 45

JIMMY JOHN’S Launch of mobile order service date: December 2014

The Jimmy John’s app allows patrons to order food and pick it up from the closest Jimmy John's location. Customers who sign in with the app can save their order information for future purchases.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 13 45

LA MADELEINE Launch of mobile order service date: February 2016

The la Madeleine app allows customers to make orders, pay for them and earn rewards. It also enables customers to find the closest restaurant location and view the restaurant’s menu.

© 2020 PYMNTS.com All Rights Reserved 34 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 5 30

LE PAIN QUOTIDIEN Launch of mobile order service date: June 2015

The LPQ app allows diners to order and pay for food from their phones. It also enables them to pay their bills by scan- ning bar codes, as well as earn rewards points for purchases and discounts for referring friends.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 31 63

MCALISTER'S DELI Launch of mobile order service date: May 2017

The McAlister’s Deli app allows customers to place customized orders, shows nearby locations and displays special offers.

© 2020 PYMNTS.com All Rights Reserved 35 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 25 48.5 88.5

MCDONALD'S Launch of mobile order service date: August 2015

The McDonald’s app allows customers to place and pay for mobile food orders. Users can save purchases for reorder- ing, access exclusive discounts and find locations.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 32 64

MOE'S SOUTHWEST GRILL Launch of mobile order service date: April 2012

The Moe’s Rockin' Rewards app allows customers to place and pay for orders as well as earn rewards points. It also en- ables customers to find the nearest restaurant location.

© 2020 PYMNTS.com All Rights Reserved 36 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 12.5 44.5

MOOYAH Launch of mobile order service date: May 2014

The Rewards app allows customers to place and pay for orders in advance. It also integrates with the MOOYAH Rewards program, a loyalty offering based on points obtained by scanning receipts.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 37 87

PANERA BREAD Launch of mobile order service date: April 2014

The app is designed to reduce wait times and speed service. It encompasses digital ordering, payments, operations and a revamped guest experience, whether customers are eating in or ordering to go. It also allows for cus- tomized menus and use of the MyPanera loyalty program.

© 2020 PYMNTS.com All Rights Reserved 37 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 32.5 82.5

PAPA JOHN’S PIZZA Launch of mobile order service date: December 2010

The Papa John’s Pizza app allows customers to choose between delivery and carryout and features special offers. Us- ers can also create accounts to save orders and earn reward points, and the app also provides information on nearby locations.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 22.5 54.5

PEI WEI Launch of mobile order service date: September 2016

The Pei Wei Rewards app lets customers order and pay for meals in advance, saves order history, allows access to Pei Wei's rewards program and displays special offers.

© 2020 PYMNTS.com All Rights Reserved 38 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 37.5 87.5

PIZZA HUT Launch of mobile order service date: August 2009

The app allows orders from a full and customizable menu, helping customers find local deals and the closest stores. It also allows them to pay directly from the app and accepts voice orders.

Loyalty Total Integrations Score Ordering App Usage Channels Score 8 25 15.5 48.5

PIZZAREV Launch of mobile order service date: November 2016

The PizzaRev app enables customers to place orders online while earning points for both spending and referring friends. Patrons can also use it to find the closest PizzaRev location and redeem rewards.

© 2020 PYMNTS.com All Rights Reserved 39 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 18 0 12 30

PORTILLO'S Launch of mobile order service date: August 2016

The Portillo's app enables patrons to place their drive-through or in-store pickup orders.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 20 52

POTBELLY SHOP Launch of mobile order service date: March 2017

The app lets patrons place orders for pickup or delivery. It also includes Potbelly Perks loyalty program, through which customers earn “smiles” that are later exchanged for meals.

© 2020 PYMNTS.com All Rights Reserved 40 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 30 62

QDOBA MEXICAN EATS Launch of mobile order service date: December 2016

The Rewards app allows users to order and pay in advance, accumulate points in their reward accounts and find the nearest restaurant locations.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 28.5 53.5

QUIKTRIP Launch of mobile order service date: October 2015

The QT app allows ordering for immediate or scheduled pickups.. It also provides exclusive deals and offers and in-app payments and customers can log in to save orders and preferences. The app also locates nearby branches for customers.

© 2020 PYMNTS.com All Rights Reserved 41 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 13 45

QUIZNOS Launch of mobile order service date: June 2017

The app enables customers to place and pay for orders, as well as earn loyalty points for each purchase. It also includes a customer feedback feature and promotional offers.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 25 36 76

SHAKE SHACK Launch of mobile order service date: October 2016

The app enables customers to place orders in advance, create custom profiles and find restaurants based on their GPS locations.

© 2020 PYMNTS.com All Rights Reserved 42 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 18 25 34.5 77.5

SHEETZ Launch of mobile order service date: August 2017

The Sheetz app allows customers to order, earn loyalty points, pay with saved gift cards and view nutritional information.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 19 51

SNAP KITCHEN Launch of mobile order service date: December 2016

Snap Kitchen’s app enables users to earn order-ahead prepared meals for pickup. Customers also can schedule meal deliveries for up to a week in advance.

© 2020 PYMNTS.com All Rights Reserved 43 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 17 25 47 89

SONIC Launch of mobile order service date: May 2014

The Sonic Drive-In app allows users to place and pay for orders in advance, earn rewards and send and receive digital gift cards.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 6.5 31.5

SPECIALTY’S CAFÉ & Launch of mobile order service date: January 2016

The Specialty’s Café & Bakery mobile app enables patrons to make orders and save payment methods and preferences. It also helps customers find the closest locations and look up nutritional information for menu items.

© 2020 PYMNTS.com All Rights Reserved 44 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 44 94

Top Mobile Order-Ahead Provider

STARBUCKS Launch of mobile order service date: September 2015

The Starbucks app allows users to order and food in advance and pay for them via the app. Customers can also find nearby locations, customize orders and view an estimated time frame for order pickup.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 25 34.5 74.5

SUBWAY Launch of mobile order service date: July 2015

The app enables customers to place orders 15 minutes in advance. Users can save their purchase histories and earn rewards at participating locations.

© 2020 PYMNTS.com All Rights Reserved 45 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 34 66

SWEETGREEN Launch of mobile order service date: February 2013

The sweetgreen app allows users to order from a full menu and access a rewards program.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 36 86

TACO BELL Launch of mobile order service date: October 2014

The Taco Bell app allows users to order and pay via the app, set pickup times and use gift cards. They can also opt to re- ceive real-time order status updates.

© 2020 PYMNTS.com All Rights Reserved 46 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 44.5 69.5

TEXAS ROADHOUSE Launch of mobile order service date: November 2016

The Texas Roadhouse app enables customers to reserve spots in the table queue before arriving. Users can also pay from the table and earn rewards.

Loyalty Total Integrations Score Ordering App Usage Channels Score 18 25 17 60

TGI FRIDAYS Launch of mobile order service date: July 2016

The Fridays app allows patrons to order food and beverages for pickup, pay directly from the table, find nearby locations, view the menu and add, check and claim points through the chain's rewards program.

© 2020 PYMNTS.com All Rights Reserved 47 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels 25 Score 60.5 7 28.5

TROPICAL SMOOTHIE CAFE Launch of mobile order service date: March 2016

The app enables customers to order food and link credit or debit cardsto make on-the-go pay- ments when ordering ahead. It also offers an automatic reward credit earning feature.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 17 42

VEGGIE GRILL Launch of mobile order service date: December 2013

The Veggie Grill Rewards app allows users to order and pay for meals, and saves payment methods for easy future pur- chasing. It helps patrons locate the nearest restaurants and tracks both purchases and rewards, including a $9 reward for every $99 spent.

© 2020 PYMNTS.com All Rights Reserved 48 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 38 70

WAWA Launch of mobile order service date: February 2017

The app allows Wawa Rewards members to place and pay for orders via their smartphones. It also enables cus- tomers to pay in-store with git cards, check their balances, earn rewards and find nutritional information.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 16.5 48.5

WHICH WICH Launch of mobile order service date: June 2015

The Which Wich app enables customers to order and pay through the platform, and is also connected to Vibe Club Re- wards, the restaurant’s loyalty program.

© 2020 PYMNTS.com All Rights Reserved 49 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 0 17 17

WHITE CASTLE Launch of mobile order service date: May 2012

The White Castle app allows customers to order and pay for meals on the go, and to save their favorites for repeat purchasing.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 38.5 88.5

WINGSTOP Launch of mobile order service date: August 2011 The app allows customers to order up to a week in advance, customize their orders and find their nearest stores. They also can place them with the Wingbot virtual ordering assistant through text messages, Facebook Mes- senger, direct messages or Alexa voice orders.

© 2020 PYMNTS.com All Rights Reserved 50 SCORECARD Companies are organized in alphabetical order.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 13 45

ZOËS KITCHEN Launch of mobile order service date: September 2017

The Zoës Kitchen app enables customers to place orders via their mobile devices. Other features include user profiles, order histories, rewards and a store locator.

Loyalty Total Integrations Score Ordering App Usage Channels Score

Launch of mobile order service date:

© 2020 PYMNTS.com All Rights Reserved 51 About The Tracker The PYMNTS.com Mobile Order-Ahead Tracker® is designed to give an overview of the trends and activities across the mobile order-ahead space and the companies that offer solutions and services.

Questions? Comments? Brilliant ideas? We hope you like the Tracker and we welcome your feedback. Drop us a line at [email protected].

PYMNTS.com is where the best minds and the best content meet on the web to learn about “What’s Next” in payments and commerce. Our interactive platform is reinventing the way in which companies in payments share relevant information about the initiatives that shape the future of this dynamic sector and make news. Our data and analytics team includes economists, data scientists and industry analysts who work with companies to measure and quantify the innovation that is at the cutting edge of this new world.

Kount provides an all-in-one SaaS platform to help online businesses, merchants, acquiring banks and payment service providers detect fraud and avoid turning away legitimate customers. As part of this effort, the company leverages machine learning and artificial intelligence techniques to analyze risk in transactions. Kount serves a variety of client industries. It helps its food and beverage merchant clients secure payments, avoid fraudulent orders and facilitate the checkout process in mobile channels and traditional eCommerce models.

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