How P.F. Chang's Mobile App Takes on Third-Party Competition

How P.F. Chang’s Mobile App Takes On Third-Party Competition

FEATURE STORY (p . 7)

FEBRUARY 2020

News and Trends Restaurants accuse Grubhub of adding them 10 to its platform without consent

Deep Dive AI is helping QSRs and app developers efficiently 15 fight fraud

Scorecard The latest mobile order- 21 ahead provider rankings MOBILEORDER-AHEAD Tracker

TABLE OF CONTENTS

What's Inside 3 A look at recent mobile order-ahead developments, including mobile ordering’s record-setting popularity and the risks restaurants take by not embracing it

Feature Story 7 An interview with Whitney French, P.F. Chang’s director of digital marketing, about the challenges the pan-Asian restaurant chain faced when developing its mobile order-ahead app

News and Trends The latest mobile order-ahead headlines from around the world, including a prepared 10 food partnership between Instacart and Publix, new store innovations from Dunkin’ and Grubhub’s squabbles with independent restaurant owners

Deep Dive An in-depth examination of how AI’s ability to detect risky transactions can help QSRs and 15 app developers fight ATO and credential stuffing attacks

Scoring Methodology 19 Who’s on top and how they got there

Top 10 Providers and Scorecard 20 The results are in. See the top scorers and a provider directory that features 77 players in the space.

About 51 Information on PYMNTS.com and Kount

ACKNOWLEDGMENT The Mobile Order-Ahead Tracker® is powered by 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

Mobile order-ahead is dominating the restaurant These new food ordering and delivery offerings cre- scene, growing by 23 percent over the past four ate opportunities for fraudsters, however. Schemes years and accounting for approximately $26.8 bil- targeting restaurants have grown more sophisti- lion in spending and 3.1 billion restaurant visits. cated with digital channels' advent, and hackers’ Digital ordering is now so popular that eateries that efforts range from brute force attacks and creden- do not embrace it risk falling behind. A recent study tial stuffing to account takeovers (ATOs). Rewards found that restaurants without delivery apps could programs are especially popular targets, with fraud- lose up to 70 percent of their customer bases by sters stealing payment information, personally the end of this year. Those that leverage mobile or- identifiable information (PII) or even rewards points. dering systems are sitting on a gold mine, as nearly Restaurants are thus turning to anti-fraud solutions two-thirds of American consumers order takeout including artificial intelligence (AI) and machine food at least once a week.

learning (ML). Only the largest and most profitable latter’s Orlando, Florida locations. The pair plans to quick-service restaurants (QSRs), developers and expand the service to other food items and store- providers have the means to create these in-house, fronts throughout the southern U.S. in the coming however, meaning many are turning to third-party months. companies' fraud detection tools to stop attacks Other mobile order-ahead providers and implement- before they eat into restaurant profits. Mobile order- ers have found their ambitions curbed by fraud's ing could give QSRs record profits, but fraud could growing threat, however. A joint study from Kount bring successes to a swift end if left unchecked. and Javelin Strategy & Research found that more than 40 percent of restaurants, retailers and other Digital fraud developments around the world businesses have had their online expansions, in- One leader in the mobile ordering scene is coffee cluding voice ordering and mobile wallets, impeded giant Starbucks, which revealed in a recent earn- by fraud. Just 64 percent of customers have confi- ings call that mobile orders in the United States dence in these merchants’ abilities to protect their accounted for a full 17 percent of its revenue during information and transactions. Better news is that its fiscal Q1 2020, which ended Dec. 29, 2019. Its 64 percent of restaurants are investing in improved app currently has 18.9 million active users and is security measures, but many are still relying on an- especially popular in China, where mobile orders tiquated protocols like usernames and passwords. made up an additional 15 percent of its Q1 revenue. Starbucks’ 31,795 store locations reportedly For more on these stories and other mobile brought in $7.1 billion during the quarter. order-ahead developments, read the Tracker’s News and Trends section (p. 10). Mobile order-ahead is also expanding beyond restaurants and coffee shops, with grocery delivery P.F. Chang’s leans on in-house talent for its app Instacart partnering with supermarket chain mobile ordering app

Publix. The collaboration, which allows custom- Third-party apps like DoorDash and Postmates ers to digitally order premade foods from Publix’s are making waves in the mobile ordering scene, deli counter, will pilot with sandwiches only at the but many restaurants find proprietary apps more

appealing. One such restaurant is pan-Asian eatery Executive P.F. Chang’s, which recently enhanced its mobile offering to include curbside ordering. For this month’s INSIGHT Feature Story (p. 7), PYMNTS spoke with Whitney Why is identity trust essential for real-time fraud French, the restaurant’s director of digital mar- decisioning?

keting, about developing its app and the related “Identities are behind each interaction — from account security challenges. creation to login to digital payment. Identity trust is the ability to determine the level of risk or confidence for Deep Dive: How AI helps QSRs stop ATOs and each interaction. Why is this important? The ability to credential stuffing accurately and quickly establish the appropriate level of trust allows businesses to prevent fraud in real time. Restaurants have long been vulnerable to Further, when there are high levels of trust, businesses old-fashioned scams like credit card skimming or can create customized experiences for VIPs. This level of detail and control enables businesses to realize few- promotion abuse, and fraudsters have quickly ad- er chargebacks, reduce manual reviews and cut false opted new techniques abusing mobile ordering. positives. Operators in the space are leveraging various tools Establishing identity trust provides businesses a to stop ATO, credential stuffing and other attacks, unique ability to deliver personalized customer experi- but few anti-fraud technologies are as effective or ences to different types of audiences based on multiple efficient as AI. This month’s Deep Dive (p. 15) -ex factors such as buying behaviors, return habits, policy abuse, preferences, fraud and other risk identifiers. Per- plores the AI-powered security solutions that are sonalized customer experiences are key for improving analyzing thousands of individual transactions for customer satisfaction, reducing friction, acquiring and suspicious aspects like stolen identities, as well as retaining customers and building and maintaining high brand reputations. These successes translate into rev- the use cases for such tools among mobile apps enue, margins and repeat business. and QSRs. With the largest network of trust and fraud signals combined with adaptive AI and ML, Kount’s Identity Trust Global Network establishes real-time links between identity elements in order to deliver accurate identity trust decisions in real time.”

BRAD WISKIRCHEN CEO at Kount

Five Fast Facts

$26.8B 64% Portion of restaurants Total amount spent on mobile investing in fraud prevention order-ahead apps in 2019 measures in 2020

18.9M $36.25 206% Possible loss on a Number of active Starbucks Increase in DoorDash’s newly fraudulent $15 mobile order app users as of its fiscal Q1 signed restaurants over the 2020 past 18 months

Third-party food delivery apps like DoorDash, existing carryout and delivery features. French not- Grubhub and Uber Eats have revolutionized the ed that P.F. Chang's is able to provide customers restaurant industry, pushing thousands of eateries with lower fees and exclusive discounts because it to introduce new services and allowing custom- developed its own app. ers to order extravagant meals on a whim. Some “We’re able offer free delivery on orders over $25 or restaurants, including pan-Asian chain P.F. Chang’s, more,” she explained, “And, if you order … straight have decided that relying on third-party offerings from our mobile app, you can earn rewards points, was not enough, however, and are instead provid- whereas if you order from third parties, you won’t ing their own in-house delivery services. be able to.” “It’s all about being adaptable in this industry,” Whit- P.F. Chang’s simple, points-based loyalty model al- ney French, the chain’s director of digital marketing, lows customers to earn points on their purchases told PYMNTS in a recent interview. “When we saw and redeem them for free menu items. The rewards the trend [of] customers using these third-party program and the mobile ordering app required con- apps, we, too, wanted to compete in this space by stant testing and tweaking, French said, even for giving our customers a very similar P.F. Chang’s aspects as simple as the user interface. experience.” “When we rolled it out, there were little quirks that P.F. Chang’s developed its mobile app to empha- we had to fix,” she said, “[like], a button not being in- size safety and customer experience. It plans to tuitive enough or [not doing] what it was supposed leverage mobile order-ahead’s popularity and boost to. [We had to take] a step back and look at the num- purchases at a new takeout-only location in Chica- bers and see why there might’ve been a drop off go. The restaurant faced its fair share of challenges from one flow to the other, and then get the record- along the way, but French said doing so has proved ings and say, ‘Oh, you know what? We know how to to be worth the effort. fix this.’”

Cooking up a fresh app These efforts seem to have paid off, too. P.F. Chang’s

P.F. Chang’s rolled its mobile ordering app out in Au- reported that off-premises dining accounted for gust 2018, but its rewards program has operated 17 percent of its sales during Q3 2019 — up from since July 2015. The chain partnered with online 14 percent the year prior and exceeding dine-in's food ordering platform Olo to handle order pro- growth by two or three times — with delivery repre- cessing and recently added curbside pickup to its senting 35 percent of these sales.

This work is meaningless if fraudsters can abuse to go through, select [menu] items and go through a user accounts, however, and restaurants are not payment process. It makes it so that you don’t have immune to emerging, innovative fraud. P.F. Chang's an overly complex user experience.” taps numerous security features to protect itself Mobile ordering heads to real life and its customers from ATOs, brute force attacks and other cybercrimes. P.F. Chang’s took the lessons it learned in simpli- fying its mobile ordering experience to its physical The secret sauce of security restaurant locations, capitalizing on the trend with P.F. Chang’s ordering, payments and security sys- a new Chicago-based takeout and delivery restau- tems rely on third-party developer collaborations. rant. That location has a much smaller footprint These firms bring a level of expertise to app devel- than dine-in equivalents, reaching a mere 2,000 opment that complements the restaurant team’s square feet while offering approximately 80 percent existing skills, according to French. of P.F. Chang’s full menu.

“We partnered with [a customer engagement pro- Just 25 percent of American households are lo- vider], which uses a single sign-in and multifactor cated within convenient distances of P.F. Chang’s office authentication to secure access to data,” she locations, driving the new restaurant concept’s said. “Encryption and tokenization are [also] used, launch, according to Chris Demery, senior vice pres- and [our partner] actually uses a [payment card in- ident of off-premises dining. The move is becoming dustry]-compliant third-party payment processor common among its competitors, with Applebee’s, as well.” Buffalo Wild Wings, Famous Dave’s and IHOP all opening or conducting similar pilot programs — a These security measures provide customers more testament to how mobile order-ahead has changed secure defenses against fraudsters than traditional the restaurant space. passwords while offering smoother sign-in experiences. Striking a balance between security and Mobile order-ahead’s continued growth will like- seamlessness is a constant challenge for all devel- ly push more brick-and-mortar restaurants to opers, but P.F. Chang’s believes these two needs adopt mobile-only or hybrid dining options, and the can be met. space's evolution will likely inspire further in-person dining innovations. P.F. Chang’s decision to de- “At the end of the day, our customers are like ev- velop its technology in-house rather than utilizing eryone else in that they don’t want to think about third-party providers means it will have a much bet- security,” French explained. “They don’t want to fum- ter idea of how to adapt to whatever changes that ble. If you start with making sure that everything is come next. secure, you can really simplify the necessary steps

MOBILE ORDERING TRENDS growth more than others. Delivery service Door- Dash increased the number of restaurants using its Mobile order-ahead accounts for $26.8B in annual spending platform by 206 percent over the past 18 months, for example, while those from Postmates — the The digital ordering economy shows no signs of second-fastest growing service — only grew by 55 slowing down, with a recent study from research percent. Grubhub came in last place among food consultancy NPD Group finding that digital restau- delivery apps, only expanding by 7 percent. rant orders grew 23 percent over the past four years and now account for $26.8 billion in spending. Mo- Starbucks’ mobile app now accounts for 17 bile order-ahead is also responsible for 3.1 billion percent of its order volume

restaurant visits annually, according to the anal- Coffee giant Starbucks is among the leaders in mo- ysis, though some apps are contributing to this bile ordering, with orders placed via its mobile app

representing larger shares each quarter. A recent of companies’ abilities to protect them. Many also earnings call with CEO Kevin Johnson revealed that reported an unwillingness to put up with enhanced the app’s 18.9 million members placed 17 percent security measures, however. Approximately 48 of its total order volume for its fiscal Q1 2020, which percent of consumers felt that fraud prevention ended Dec. 29, 2019. Johnson also noted that Star- measures impeded their online activities more than bucks plans to expand its operations in China, but in the year previous. the spread of coronavirus delayed its progress. Mo- BankUnited blames mobile order-ahead apps bile sales in the country were still high for its Q1, for strained restaurant debt accounting for 15 percent of the company’s total revenues for the quarter and marking a jump from Florida-based financial institution (FI) BankUnited the 10 percent registered during its Q4 fiscal 2019. recently pointed out another issue impacting mo- The chain reported a total revenue of $7.1 billion for bile order-ahead: debt. The bank announced that Q1. restaurant debt in its small business loans portfo- lio is becoming stressed, unlike its holdings in other Fraud keeps 40 percent of businesses from sectors like fitness and retail. The bank blames this expanding their online capabilities stress on the rising popularity of mobile order-ahead Fraud can often impede growth like that of Starbucks, apps like Uber Eats, which see users purchasing and a joint study from Kount and Javelin found that low-margin items more often than the more profit- such attacks affect more than 40 percent of busi- able in-house dishes, according to Rajinder Singh, nesses in various fields — including restaurants and BankUnited’s CEO. Other factors compound these retail — as companies introduce new features such stresses, such as labor shortages and increased as voice ordering and mobile wallets. The study raw goods costs. BankUnited currently holds $360 found that 64 percent of restaurant respondents are million in restaurant loans and noted that a number investing in enhanced security measures to reduce of those loans became “criticized” or “classified” in this risk, but many still rely on less secure authenti- Q4 2019. cation methods like usernames and passwords, and On-demand food delivery will likely continue to im- only 4 percent listed digital fraud as a top innovation pact the restaurant industry and its cash flow challenge. management processes, especially as more play- Fraud fears are affecting these businesses’ customers enter the market. Platforms like Just Eat and ers as well, as 36 percent reported they felt unsure Takeaway.com have announced consolidations, for

example, and other providers are launching ghost Grubhub launches new workflow system to kitchens to boost sales with smaller footprints and ease order fulfillment lower costs. The restaurants that are pleased with Grubhub’s platform could be well served by its new mobile-order GRUBHUB’S UPS AND DOWNS fulfillment product, Ultimate. The systemconsists of four parts: a heads-up customer display for real-time Restaurants added to Grubhub without consent order estimates, a lightweight point-of-sale (POS) Many restaurants have found that third-party app system integrated with the Grubhub mobile app, a collaborations have increased revenues, but some kitchen display system and in-store self-ordering are not interested in such services. Grubhub ap- kiosks intended to complement the Grubhub app pears to be ignoring their right to choose, however, and simplify restaurants’ workflows. The solutions and added certain establishments’ offerings to will provide delivery drivers with more accurate or- its platform without obtaining permission. A Thai der estimations and prevent unnecessary waiting, restaurant in San Francisco, California, accused the and they could help Grubhub reclaim its title as the platform of defrauding it and other restaurants after United States’ most popular food delivery system. finding that Grubhub, Seamless and Yelp had incor- DoorDash overtook it in 2019, obtaining 33 percent rectly listed it as offering delivery. The Virginia-based market share to Grubhub’s 32 percent. Maple Ave Restaurant and restaurants in Melbourne, Australia, have reported similar issues. PARTNERSHIPS AND Grubhub has defended its move, saying restaurants INVESTMENTS receive more orders when listed on its service, but Little Caesars, DoorDash partner for pizza Uber Eats and U.K.-based Deliveroo have clarified delivery that they do not list restaurants without consent. DoorDash is also pursuing growth, partnering with This is not Grubhub’s first run-in with angry cus- pizza QSR Little Caesars for delivery services, which tomers, either, as the firm came under fire in June the 3,600 location-strong chain has never previous- 2019 after reports surfaced that it was creating ly offered. Little Caesars is known for its low prices “thousands of fake restaurant websites,” shaking compared to pizza chains like Domino’s and Papa restaurant patrons’ trust. John’s, and it plans to extend this reputation to its delivery services by not requiring minimum purchase amounts or limiting its promotions to takeout

orders. Its full menu will be available for delivery and dedicated mobile order pick-up areas. These invest- priced the same as its takeout options. ments will be matched by franchise owners, and the chain expects more than 1,400 locations to be reno- The collaboration is another on a list of recent victo- vated by the end of 2020. ries for DoorDash. The delivery service claimed the highest market share for delivery apps in the U.S. in The stores owe their redesigns to the increased 2019 and received a $100 million investment, bring- popularity of Dunkin’s mobile app, which enables ing its total valuation to more than $2 billion. any customer to use it, not just DD Perks loyalty members. The chain received more than 20 million Dunkin’ to invest $60M in next-gen restaurant mobile orders in Q4 2019, growth that was fueled by designs improved espresso and cold brew sales as well as Coffee QSR Dunkin’ is also looking to expand its mo- the October introduction of its Beyond Meat break- bile ordering capabilities in 2020, investing more than fast sandwich. $60 million in restaurant remodels including brewing equipment, revamped decor, more efficient lines and

Zuul Kitchens acquires ordering platform and have it made available for pickup or delivery. Ontray The service, which will focus on sandwiches for the Kitchens that solely serve online ordering platforms duration of the pilot, will first be available at Publix are growing more popular, eschewing expensive stores throughout Orlando, Florida before expand- dining rooms for more efficient and cost-effective ing statewide and to the rest of the chain’s locations online order fulfillment. New York-based ghost throughout the southern U.S.

kitchen operator Zuul Kitchens is looking to take ad- Instacart Meals aims to improve grocery stores’ vantage of the trend by purchasing online ordering competitiveness against restaurants, which current- platform Ontray for an undisclosed amount. The ac- ly fulfill almost all food deliveries. Instacart has been quisition aims to cut out the middleman, allowing making significant headway in the grocery order- customers to place orders directly with Zuul, which ing field over the past year, doubling its number of currently has a 5,000-square-foot facility in Man- supermarket partners and expanding its operating hattan with different kitchens for nine restaurants. area; it plans to enable grocery pickup nationwide by Kitchen renters provide their own chefs and food the end of the year. prep staff, while Zuul handles operational tasks like dishwashing, cleaning and delivery logistics. Kount introduces Identity Trust Global Network to improve mobile ordering security Corey Manicone, the company’s CEO and co-founder, Fraud prevention company Kount is developing new noted that Zuul “acquired key technical assets and fraud detection products for mobile order-ahead talent from Ontray” to improve operations. and other industries. Its most recent innovation, the Identity Trust Global Network, leverages AI and su- NEW DIGITAL ORDERING FEATURES pervised and unsupervised ML to detect identity Instacart tests deli ordering service in fraud on mobile ordering apps, making decisions in collaboration with Publix milliseconds. The solution connects more than 2.7 Grocery delivery app Instacart is also expanding its billion fraud signals to flag potentially illegitimate capabilities with a partnership, recently announcing orders and reduces false positives by 50 percent, a collaboration with Florida-based supermarket according to the company. Customers can also tai- chain Publix supporting “build-your-own” sandwich lor the offering's fraud prevention decisions to their functionalities. Instacart Meals users will be able liking. to order prepared food from Publix’s deli counter

QSRs Leverage AI To Fight ATOs And Credential Stuffing

Restaurants are diving head first into digital in- customers often use the same passwords for mul- novations such as mobile ordering and rewards tiple accounts. The study also noted that only 27 programs. These merchants have always been vul- percent of restaurants’ digital investments were nerable to in-person fraud schemes like coupon or focused on fraud mitigation, with establishments in- promotion scams, but digital channels create new stead allocating resources to mobile ordering. exploitable avenues for bad actors. This also means fraud runs relatively unchecked Security standards have largely not kept up with among QSRs, with total losses on a fraudulent $15 such threats, according to a joint study from Jave- order potentially reaching as high as $36.25. Many lin and Kount. Their research found that nearly half chains have thus been turning to AI-driven fraud de- of surveyed restaurants’ online and mobile ordering tection programs to make the most of their limited solutions require only usernames and passwords prevention resources, leveraging various techniques to log in — a known security weakness because to stop bad actors’ advances.

Selecting the target of transactions in less than a second, but such

Fraudsters target mobile order-ahead apps for solutions are not perfect, as human analysts are many reasons, utilizing methods such as credential necessary to give suspicious purchases second stuffing, which sees bots automatically entering us- glances and clear false positives. ernames and passwords stolen from other websites Many AI-based fraud detection solutions also lever- to try to find matches, and ATOs, which allow fraud- age ML, which allows the system to learn on its own. sters to skim personal details like passwords and ML can be divided into two types: supervised and un- credit card data and use that information to carry supervised. Supervised ML requires set outcomes, out cybercrimes. Rewards programs are especially like when a human analyst knows which transac- popular targets for hackers, as they can hold large tions are fraudulent and can determine if the system amounts of valuable data, including payment infor- has performed its job correctly. Unsupervised ML mation. Rewards points are also valuable because does not require set outcomes and relies solely on bad actors can either spend them or sell them on the AI’s judgment to find patterns and groups. This dark web marketplaces. is particularly useful when analyzing large quanti-

Coffee giant Dunkin’ fell victim to a credential stuff- ties of transactions in which fraud may or may not ing attack in October 2018, and the fraudsters who be taking place, but the method does produce more initiated the scheme were soon after selling users’ false positives. loyalty credits on dark web marketplaces for a frac- The differences in the processes make both types tion of their values. One listing on dark web market of ML useful in different situations, and pairing ML Dream Marketplace offered $25 in Dunkin’ credits with AI can mean unparalleled fraud detection capa- for $10. bilities at a fraction of the cost of human analysts. Many QSRs and third-party ordering apps are thus AI to the rescue already using these tools to enhance their fraud de- AI systems can prevent these attacks and are in- tection procedures. expensive compared to human fraud prevention teams. QSRs and third-party ordering apps pro- AI in action cess thousands of transactions every day, making One use case for AI-powered security comes from it impossible for human analysts to examine each third-party ordering app ChowNow, which uses such exchange for fraud. AI tools can analyze thousands security systems to analyze transactions conducted

on its app. These tools cross-reference new orders different vectors and very quickly block those trans- with others to determine legitimacy. Some are ob- actions as well.” viously fake, such as orders in which one customer AI systems like Chipotle’s are not always fully con- is placing orders in several cities at the same time, fident in their examinations, at which point the but most transactions are assigned trustworthiness process is transferred to human analysts. Orders scores based on several factors, including how re- from new or unrecognized devices are always sub- cently the user’s email address was created and if jected to additional scrutiny before they are allowed the credit card associated with the transaction has through, for example. previously been logged in a fraud database. Pairing AI-powered solutions with human ana- ChowNow processes $40 million in transactions lysts seems to be an optimal solution to preventing each month, so it only uses its human team to mobile order-ahead fraud. Such technologies are check for false positives. Its AI system automatical- quickly advancing, however, meaning human ana- ly blocks users it determines are untrustworthy, and lysts will likely play smaller roles as time goes on. users can contest those decisions if they believe the AI has made a mistake.

Mexican QSR Chipotle is another mobile order-ahead player leveraging AI for security. Its system works in tandem with human analysts but can often do the job on its own.

“When you’re looking at account takeovers, for example, it’s predominantly automated bot attacks that have an identifiable signature,” Curt Garner, Chipot- le’s chief technical officer, explained in an interview with PYMNTS. “As a retailer, you can say there’s no practical purpose why a customer would be trying to log on to your network using a bot. The security platforms that utilize AI and machine learning can also spot attack patterns as they try to morph into

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

MOBILE ORDER-AHEAD SCORING METHODOLOGY

Companies included in the Tracker Scorecard are the top restaurants providing mobile order-ahead as an integrated 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

This month’s provider directory assesses 77 leading players in the space and scores them based on their mobile ordering apps' features and adoption 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 aggregator, are also important.

score score 1 95.5 5 89

score score 2 94 7 88.5

score score 4 90 9 87

score score 5 89 10 86

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 0 27.5 52.5

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 8 40

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 visits and credit for downloading the app.

Loyalty Total Integrations Score Ordering App Usage Channels 25 Score 73 7 41

BJ’S RESTAURANT & BREWHOUSE Launch of mobile order service date: June 2014

The BJ’s mobile app allows customers to order ahead for takeout or dine-in, and offers split-the-bill features for group orders.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 36.5 68.5

March 2016 BLAZE PIZZA Launch of mobile order service date:

The Blaze Pizza app enables guests to order and pay from smartphones and earn rewards including free meals. The app also provides online order histories, reordering capabilities and a nutrition calculator.

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

BURGER KING Launch of mobile order service date: May 2016

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

Loyalty Total Integrations Score Ordering App Usage Channels 25 Score 49 7 17

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 participating locations.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 11 43

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 GRILL 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.

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 40 72

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 17 25 42 84

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 35

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 22.5 47.5

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 purchase gift cards for friends.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 0 24 39

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.

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

DOMINO’S PIZZA Launch of mobile order service date: February 2012

The Domino’s Pizza app enables customers to order and pay in English and Spanish, and earn rewards for purchasing. 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 Channels 25 Score 56.5 7 24.5

DONATOS PIZZA Launch of mobile order service date: January 2017

The Donatos Pizza app allows customers to place orders and retrieve past order information.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 39 89

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 22 54

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 31.5 63.5

FIREHOUSE SUBS Launch of mobile order service date: August 2015

The Firehouse Subs App allows customers to order online, find locations and earn rewards. Firehouse Rewards, the restaurant’s digital loyalty program, is available at nearly all U.S. locations.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 0 30 37

August 2011 FIVE GUYS Launch of mobile order service date:

The Five Guys Burgers & Fries app was developed by food ordering platform Olo, and it allows mobile ordering and order history capabilities, among other features.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 25 16 56

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 receipts to earn rewards.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 0 29.5 36.5

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.

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

JAMBA JUICE Launch of mobile order service date: August 2015

The Jamba Juice 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 38.5 70.5

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.

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 Sandwiches 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 17.5 49.5

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.

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

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 scanning 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 17 49

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.

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 reordering, access exclusive discounts and find locations.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 31.5 63.5

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 enables customers to find the nearest restaurant location.

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

MOOYAH Launch of mobile order service date: May 2014

The MOOYAH 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 Panera Bread 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 customized menus and use of the MyPanera loyalty program.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 31 81

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 27.5 59.5

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 39 89

August 2009 PIZZA HUT Launch of mobile order service date:

The Pizza Hut 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 19 52

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 18 0 10 28

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

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 SANDWICH SHOP Launch of mobile order service date: March 2017

The Potbelly Sandwich Shop 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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 26.5 58.5

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

The QDOBA 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 30 55

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 15 47

QUIZNOS Launch of mobile order service date: June 2017

The Quiznos 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 34 74

SHAKE SHACK Launch of mobile order service date: October 2016

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

Loyalty Total Integrations Score Ordering App Usage Channels Score 18 25 36.5 79.5

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 20 52

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 17 25 40.5 82.5

May 2014 SONIC Launch of mobile order service date:

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 8 33

SPECIALTY’S CAFÉ & BAKERY 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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 25 25 45.5 95.5

Top Mobile Order-Ahead Provider

STARBUCKS Launch of mobile order service date: September 2015

The Starbucks app allows users to order drinks 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 36.5 76.5

SUBWAY Launch of mobile order service date: July 2015

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

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 receive real-time order status updates.

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 41 66

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 30 73

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.

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

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

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

Loyalty Total Integrations Score Ordering App Usage Channels Score 0 25 22 47

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 purchasing. It helps patrons locate the nearest restaurants and tracks both purchases and rewards, including a $9 reward for every $99 spent.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 41.5 73.5

February 2017 WAWA Launch of mobile order service date:

The Wawa app allows Wawa Rewards members to place and pay for orders via their smartphones. It also enables customers 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 18 50

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.

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

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 Wingstop 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 Messen- ger, Twitter direct messages or Alexa voice orders.

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

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:

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.

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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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