Boston Market on Tapping AI to Combat Fraud, Meet Mobile

NOVEMBER 2020

FEATURE STORY (p . 7) Boston Market On Tapping AI To Combat Fraud, Meet Mobile News and Trends Deep Dive Scorecard KFC opens robotics- How AI can fight fraud The latest mobile Customers’ Needs 11based Moscow QSR 17and meet consumers’ 21order-ahead provider using facial recognition, demands for seamless rankings mobile wallet payments experiences TABLE OF CONTENTS

What's Inside A look at how artificial intelligence helps restaurants improve workflows and 3 boost sales via mobile apps while pinpointing potential fraud attacks

Feature Story An interview with Slaton Smith, chief marketing officer at Boston Market, on the 7 company’s plans to implement AI solutions that can help it boost fraud detection and meet customers’ evolving demands

News and Trends Recent mobile order-ahead headlines, including two new California laws ensuring the safe transit of food with third-party delivery services and Los Angeles 11 International Airport’s recent expansion of its mobile order-ahead service with more than 20 airport restaurants

Deep Dive An in-depth look at the benefits that investing in AI-based fraud prevention 17 and customer service features can bring QSRs

Scoring Methodology 20 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 21 players in the space

About Information on PYMNTS.com and Kount ACKNOWLEDGMENT 52 ® 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.

Artificial intelligence (AI) has been a transformative in and order out during the pandemic. A study that tool for the restaurant industry in many areas, im- examined $150 billion in eCommerce transactions proving users’ experiences with food service mobile from 2018 through 2019 found a 32 percent in- apps while lending businesses valuable data about crease in fraud attacks affecting the food and their customers. Smart machine algorithms have beverage industry during that period, illustrating allowed food delivery times to be accelerated, while just how much is at stake if fraud prevention is not AI-enabled voice assistants are helping restaurants up to par. rapidly fulfill orders. AI is not only being adopted to AI can be leveraged to analyze and tally credit card improve workflows and grow revenues but has also transactions similar to how banking transactions been enlisted in the fight against fraud. are examined. The technology enables more intel- There is good reason for quick-service restaurants ligent decisions when it comes to identifying and (QSRs) to add AI to their arsenal of fraud preven- predicting fraud by providing a meta-analysis of at- tion tools, too, especially as more consumers stay tacks, allowing QSRs to create fraud profiles and

determine where threats may be located. Research than half its current sales, according to CEO Steve suggests that a variety of indicators, such as geo- Schulze. location, address verification and CVV verification, Restaurant chains are seizing the opportunity to can help companies pinpoint and reject likely fraud gain long-term customers by partnering with tech- attacks. nology firms that can help them tailor their mobile experiences to consumers’ preferences. Mexican Around the mobile order-ahead space fast food giant Taco Bell has teamed up with QSRs around the world are deploying safe, con- AI-powered platform Certona to help personalize tactless ways for customers to order and pay for menu recommendations and deals for its mobile their food to boost industry recovery from the on- app users. The AI platform supports guest prefer- going COVID-19 pandemic. Fast food chicken ences, dining history, location, menus and pricing. chain KFC recently introduced its first completely The chain said its goal is to use the latest machine robotics-based restaurant in Moscow. Customers learning (ML) and AI technology to target specific who enter are greeted with a self-serve kiosk that promotions and menu choices based on custom- utilizes facial recognition so diners can order with- ers’ ordering histories. out touching the device, and payments can be made via Apple Pay and other mobile wallets. For more on these stories and other headlines from the mobile order-ahead space, read the Tracker’s The pandemic is also driving many consumers to News and Trends section (p. 11). download mobile order-ahead apps for the first time and to rely more heavily on off-premises or- Leveraging AI to tackle fraud prevention, ders like takeout, delivery and curbside pickup. customers’ new needs

Southern California-based Nekter Juice Bar is one The pandemic continues to make digital and mobile such chain that has seen its app usage and loyalty ordering investments a necessity for restaurants, program sign-ups significantly rise. The company and many are turning to advanced technologies like said digital orders have risen from about one-third artificial intelligence (AI) to streamline their opera- of its business at the pandemic's outset to more tions. These tools hold promise in numerous areas, one of which is fraud prevention. In this month’s

Executive Feature Story (p. 7), Slaton Smith, chief marketing officer for Boston Market, explains how the chain INSIGHT plans to utilize AI to combat evolving fraud threats, What are some of the cost benefits of investing personalize customers’ experiences and ultimately in unsupervised AI and ML tools? How can these technologies help QSRs boost their bottom lines and ensure the company’s success in the future. reduce the costs associated with chargebacks?

“This year, consumers turned to mobile apps and online Deep Dive: How QSRs can profit by bringing AI ordering to limit person-to-person contact at their favor- to the fraud-fighting table ite eateries. Quick-service restaurants have adapted to A growing number of consumers are turning to mo- mobile order-ahead options and delivery platforms to meet the demand. These buying options are so common- bile and online channels to order food from QSRs place that consumers will expect businesses to maintain as the COVID-19 pandemic continues to grip the them well after 2020. nation, but this is leaving the industry more open But with an increase in mobile and online orders comes to fraud. Restaurants are scrambling to implement a greater risk of fraud, especially card testing. Not only does card testing lead to expensive chargebacks on digital technologies that can help them keep their small, fraudulent purchases, but it also wastes time, re- platforms and their customers secure, but many sources and inventory. And those costs to your stock — and your brand — add up fast. That makes AI-driven are overlooking a powerful tool that can help them fraud detection more important than ever. in this fight: AI. This month’s Deep Dive (p. 17) ex- Many businesses use supervised machine learning amines how restaurants can leverage AI to spot to prevent fraud. But alone, the technology is limited. and eliminate fraud while simultaneously improv- Because it relies on historical data, supervised machine learning has to learn from past decisions. It could be slow ing customer experiences and helping companies to detect the kinds of shifts in consumer behavior we’ve reap long-term financial benefits. witnessed in 2020.

But advanced AI uses both unsupervised and supervised machine learning to detect anomalies in everyday purchases. It uses payment data, location data, unique customer data and digital identifiers to detect fraud in real time. This establishes identity trust or risk in real time.

QSRs should employ AI that marries supervised and unsupervised machine learning. With the help of Kount’s Identity Trust Global Network, businesses can weigh each order’s level of trust against historical proof and real-time trends. Advanced AI means reducing chargebacks, saving inventory, maintaining brand loyalty and spending more time managing the lunch rush than wor- rying about fraud.” VIK DHAWAN vice president of products at Kount

Five Fast Facts

$23.6M 72% Share of restaurants that have The amount QSRs are losing implemented mobile ordering per 2,000 locations from times capabilities in response to slower drive-thru COVID-19

13% 67% Segment of consumers who say 80% they are dining out less because Portion of 3,500 restaurant they now prefer ordering takeout Share of diners who have shifted operators who have added and delivery to digital to order their food curbside takeout since March

The restaurant space has seen explosive growth in restaurant’s chief marketing officer, said that while the number of mobile and digital orders customers Boston Market only recently began examining the have placed since the COVID-19 pandemic began. technology, it is bullish on the positive effects it This shift has prompted many eateries to rely on could have. emerging tools like AI to better manage various as- “I’m very excited about what AI can do for restau- pects of their operations as consumers transact rants, and we are looking at how it fits with Boston remotely. The technology is also credited with Market right now,” he said. “I believe AI is the fu- helping them meet diners’ demands for seamless ture of the restaurant sector, and it will help [us] run purchasing experiences as well as enabling them smoother, sell more and be more profitable.” to battle fraud. Smith explained that the chain, which was known One restaurant that is working to incorporate AI as Boston Chicken until 1995, is testing AI with an into numerous parts of its operations is Boston eye toward deploying it soon. He noted that it is a Market, a Colorado-based fast casual chain that crucial tool that can allow restaurants to leverage has 330 locations in 37 states. Slaton Smith, the the data they have been storing for years.

“Lots of companies have a lot of product mix in- need to make sure that everything we are doing is formation, and an AI platform can easily take that secure.” information and use it to make better decisions,” he said. “Restaurants can use that data to sugges- Adding AI to an increasingly digital menu tively sell products better. I see endless possibilities The COVID-19 pandemic has made it necessary with AI in a restaurant environment.” for restaurants to invest in digital and mobile order-

AI can be used to process data quickly, Smith said, ing technologies, and Smith said Boston Market’s allowing restaurants to better tailor their mobile implementation of these tools has helped it han- and in-person marketing efforts toward individuals’ dle a surge in remote orders. The restaurant rolled tastes. AI tools can even be integrated into digital out an app last year that enables mobile ordering, menu boards to display offerings that are informed takeout and curbside pickup, and it began offering by customers’ ordering histories, for example. He deliveries through a third-party service in April. He added that this level of digital engagement can said the pandemic has caused the chain’s number be a boon to user experience. Research indicates of mobile orders to double, prompting it to exam- that most customers are also on board with these ine additional ways AI can be used to streamline its shifts, with a recent survey revealing that 71 per- digital approach. cent of consumers are open to QSRs’ and fast “AI is a priority with us,” Smith said. “We are inves- casual restaurants’ efforts to incorporate AI into tigating ways we can leverage AI in Boston Market their operations. and do many things.”

Smith also said he is confident that AI can as- Assisting in restaurant operations and combating sist restaurants as they wage a never-ending fight fraud are not the only ways AI can contribute. AI against fraud. Boston Market continues to search “chefs” — algorithms programmed to prepare foods for technological innovations to help it keep pace using or avoiding certain ingredients — could create with fraudsters, who work quickly to crack every new categories of cuisine and beverages, which new security measure thrown at them. could eventually help restaurants prepare and cus-

“Our team stays on top of every new tech that’s out tomize their offerings or even lead to new kinds of there … It’s a constant battle,” he explained. “We eateries.

Evolving customer behaviors during the pandemic

The pandemic is also changing customers’ behaviors in ways that are not tied directly to the current digital shift. Family meals have become much more popular at Boston Market, Smith said, and the restaurant has also begun selling more comfort food as customers turn to staples and traditional dishes during a time of stress and unpredictability.

AI is one of the many technologies that can help restaurants cater to these consumers’ shifting pri- orities. It can analyze data to establish ordering trends and help restaurants adjust their marketing and outreach approaches accordingly.

The pandemic continues to put mobile and digital ordering front and center, and restaurants are examining numerous advanced technologies to streamline and secure their processes. Tapping into AI can give QSRs an edge in combating fraud while also ensuring that they hit the mark on offering consumers items they want via the channels they use.

AI-DRIVEN ENHANCEMENTS point-of-sale (POS) systems are expected to improve with automated voice assistants. AI collects How AI has transformed how restaurants operate data and provides key knowledge about customer behavior that restaurants can leverage to improve Restaurants are putting artificial intelligence (AI) to the customer experience. It can also help assist use not only to improve workflows but also to grow schedule creation, improving efficiency and allow- their businesses. AI use has expanded significant- ing staff more time to attend to customers' needs. ly in the restaurant industry over the past decade, Finally, it can be an invaluable tool in inventory man- with it now being used in at least five different ap- agement, enabling restaurants to order supply plications having a profound impact on the space. based on purchases as well as helping to discover The technology helped smooth the way for food potential waste and theft. service mobile apps, allowing brands to offer customers personalized order recommendations and SoundHound teams with Mastercard on shorter delivery times using its smart machine algo- voice-enabled QSR ordering

rithms. AI’s voice assistant improvements are also California-based AI and speech recognition com- helping restaurants fill orders quickly and easily, as pany SoundHound is teaming up with card network

Mastercard to create voice-enabled drive-thru tech- their order and confirm its accuracy as if they were nologies for QSRs as businesses seek solutions talking to an employee. The AI voice ordering sys- to keep staff and diners safe amid the pandem- tem will accept the order, repeat it back to the ic. Mastercard said its goal for the solutions is to customer, and tell them if any item is unavailable, transform drive-in interactions through voice order- according to SoundHound. The customer can then ing and AI by producing a seamless experience and add items or modify the order. The partnership is easing lines at QSR drive-thrus. part of Mastercard’s portfolio of solutions meant to improve purchasing experiences as brands work to Houndify, SoundHound’s voice AI platform, allows enhance ordering during the pandemic. QSRs’ ordering systems to accurately understand complicated orders that might include substitu- Certona helps Taco Bell deliver AI-driven tions or special requests. QSR diners can place personalized mobile ordering experiences

Mexican fast food giant Taco Bell is also partnering with AI-powered platform Certona to provide its mobile app users with personalized menu recommendations and other offers. The initiative allows Taco Bell to influence users’ ordering decisions by harnessing their buying history, ordering preferences and geographic locations. The chain said its goal is to use Certona’s latest machine learning (ML) and AI technology to deliver tailored experiences via its mobile app.

Customers who have downloaded and registered the Taco Bell app on their devices will be shown specific promotions and menu items based on their ordering history, according to Certona. The company said the app also accounts for different menu

items and pricing across regions to provide these LAX rolls out mobile order-ahead service for tailored experiences. Taco Bell and Certona have more than 20 airport restaurants worked together since last year. Los Angeles International Airport (LAX) is looking to make it easier for travelers to order food and bever- MOBILE ORDER-AHEAD ages from restaurants within the airport’s terminals. DEVELOPMENTS Consumers can now use their mobile devices to place orders at airport restaurants to ensure saf- Lightspeed launches ordering management system for smoother takeout experiences er, contactless experiences. The service, LAX Order Now, is a collaboration between Los Angeles Consumers across the country have been relying World Airports (LAWA), Unibail‐Rodamco‐Westfield more heavily on delivery and takeout orders as many Airports (URW Airports) and airport mobile ordering still hesitate to return to dining out. Cloud-based POS provider Grab. software provider Lightspeed recently announced Order Ahead, an online ordering management sys- The initiative, part of the airport’s digital market- tem for takeout orders, to help facilitate and improve place strategy, enables guests to browse menus takeout experiences. The company said its plat- from more than 20 airport restaurants and or- form allows restaurants across North America to der and pay for food and nonalcoholic beverages. provide customers with contactless dining experi- The service does not require users to download an ences and helps the eateries move their businesses app, instead having guests use their smartphones online more easily. Restaurants can integrate Order to scan QR codes placed throughout the airport Ahead into their existing POS systems and stream- or visit LAXOrderNow.com. Multiple forms of pay- line orders more quickly into the food-prep queue. ment are accepted, including credit and debit cards, Eateries can also send customers order updates by Apple Pay and Google Pay, and customers can pick text message. up their orders from designated areas. Plans for in-airport contactless delivery are also in the works Lightspeed’s founder and CEO, Dax Dasilva, said that for this service. consumers are making more takeout and delivery purchases as the pandemic accelerates the digital transformation of the food service sector, and reaching diners has never been more important.

Consumers’ pandemic-fueled also reported that the average tab is higher and la- mobile ordering uptake propels bor costs are down because the business has been digital sales at nationwide chains open only for takeout. COVID-19 has posed numerous challenges to the Domino’s Pizza is another chain that has experi- restaurant sector, especially with temporary clo- enced a boost from its mobile order-ahead app, sures and the suspension of indoor dining. It has with digital sales now accounting for 75 percent of also generated unheard-of opportunities for mobile its business. Brian Levine, vice president of strategy ordering to expand and for restaurant operations to and analytics at digital consultancy Mobiquity, said recover as more consumers add mobile apps to their the pandemic gave restaurants a chance to provide phones. Southern California-based Nekter Juice Bar self-service to more customers than ever imagined has seen app usage and loyalty program sign-ups and spurred many consumers to download ordering skyrocket, for example. The company, which has apps for the first time. 174 locations across the country, said digital orders made up about one-third of its business prior to Chowbus experiences breach exposing the pandemic’s onset but now represent more than 800,000 rows of data

half its sales, according to CEO Steve Schulze. He Mobile apps are unfortunately experiencing some setbacks, too. Chicago-based food delivery platform Chowbus recently suffered a breach that exposed hundreds of thousands of customers’ personal data. Customers received an email from the startup containing more than 800,000 rows of data, including customer names, phone numbers and addresses. Chowbus CEO Linxin Wen told customers that the data had been illegally accessed, but he did not reveal how the incident happened. He declined to say what steps were being taken to re- solve the issue but assured customers that their credit card numbers were not part of the data theft. The incident comes just two months after Chowbus

reported a $33 million funding round from venture have the chance of being harmed. The owner of a firms in New York and Silicon Valley. Los Angeles-based barbecue food truck demand- ed Grubhub remove a menu listing earlier this year New California laws require app-based after he tried placing an order through the app and food delivery companies to cooperate with never received the food. There have also been com- restaurants plaints that app-based fees were not agreed upon. Two new California laws are requiring mobile app-based firms to sign agreements with local ORDERING AUTOMATION restaurants to help ensure the safety of food being delivered during the pandemic. Third-party delivery KFC opens robotics-based Moscow location leveraging mobile wallet payments services such as DoorDash, Grubhub, Postmates and Uber Eats must work with eateries before ad- Global fast food chain KFC has recently taken con- vertising food delivery to ensure meal safety while tactless ordering and payments to a new level. The in transit. California governor Gavin Newsom signed chain, which has more than 22,500 locations in the regulations as lawmakers increased oversight 150 countries, recently opened its first completely of the restaurant sector, which critics say has re- robotics-based restaurant in Moscow. The new lo- sisted attempts at regulation as it has grown. One cation features a self-serve kiosk that uses facial of the laws mandates that delivery service compa- recognition for safe, touchless experiences, and nies maintain cleanliness and temperature controls mobile payments are made via mobile wallets like when driving meals to customers. Restaurants will Apple Pay or Google Pay. The only human worker also have to seal food packaging before giving it to in the restaurant is the manager, on hand to pro- the delivery driver to prevent tampering. vide assistance and customer support. Diners can see robots assembling the ingredients in the kitchen Proponents say restaurants might be unaware and completing tasks in the production line. Food that their food is being advertised or delivered by is taken from a conveyor belt to automated lock- app-based companies, making businesses more ers when it is ready so customers can pick up their susceptible to complaints if customers are unhappy orders. Locker doors are opened with facial recogni- with their deliveries. The bill’s author, assemblywom- tion, meaning customers do not have to touch any an Lorena Gonzalez (D-San Diego), said that when handles or knobs. KFC also said robots will sanitize Uber Eats, DoorDash and other companies operate dining tables after every meal. under their own rules, businesses and consumers

Fast food chains shift to focus on drive-thru- only models as off-premises orders increase

Mexican-style fast food restaurant chain Del Taco is planning to launch a drive-thru-only restaurant model. CEO John Cappasola said during a third-quarter earnings call that higher demand for off-premises service led the company to develop the drive-thru-only prototype. The chain reported increased systemwide sales of 4.1 percent despite dining rooms remaining closed, with orders pouring in from drive-thru, takeout and delivery platforms.

The company is currently seeking out smaller real estate parcels for the prototypes, which are expected to feature contemporary designs that will offer improved functionality and other operational enhancements for streamlined ordering and pickup.

Taco Bell also plans to unveil a mobile-focused double drive-thru layout next year, while a number of other companies, including Starbucks and Checkers & Rally’s, are concentrating on opening more drive-thru-only locations. Demand for the store model has grown since the pandemic has closed restaurants or reduced capacity.

How AI Can Help QSRs Profit By

Quashing Fraud commitment to leveraging the technology for mo- And Keeping bile order-ahead operations. McDonald’s and other large QSR brands appear to Customers be ahead of the curve, however. One recent study Satisfied revealed that more than two-thirds of restaurant owners are not yet ready to embrace AI, with some respondents noting that they do not understand the technology and are worried about its cost. Research Restaurants are facing pressure to meet customers’ nevertheless indicates that investing in AI could be demands for improved convenience and personal- well worth it for businesses, as those that have im- ization as well as touch-free ordering and payment plemented the technology say it has allowed them methods as the COVID-19 pandemic maintains its to shift their attention from automating employee grip on the nation. Many QSRs had already been and customer processes to setting and implement- implementing digital innovations to boost their ing expansion goals. One survey reported that 31 order-ahead capabilities before the health crisis hit, percent of AI-focused companies have witnessed but consumers’ dramatic shift toward remote order- increased revenues, 22 percent have improved their ing has led some eateries to boost their investments market share and 21 percent say it has helped them in advanced technologies, including AI. expand globally.

Some of the most well-known chains are warm- The following Deep Dive examines what QSRs stand ing quickly to AI and what the technology can do to to gain from adopting AI — especially as they fight help them streamline processes for consumers or- against fraud — as well as how their operations dering remotely. Fast food heavyweight McDonald’s can benefit from strategically investing in the right agreed to purchase or buy a stake in three AI com- technologies. panies, for example, most recently acquiring a voice-based AI system designed to help better un- Using AI to quell fraud

derstand customers’ drive-thru orders. The chain The food and beverage industry has recently wit- also took a minority stake in a New Zealand-based nessed upticks in friendly fraud, which occurs when mobile app vendor specializing in AI-driven mobile consumers pay for and accept goods or services but engagement and loyalty programs, revealing its then report that the transactions were unauthorized.

One study revealed a 79 percent increase in fraud in valuable to enhancing the customer experience. It the sector in 2018, while 28 percent of respondents can be utilized for voice-enabled ordering, for exam- in the industry said they experienced chargeback ple, and can even access customers’ order histories rates of between 0.5 percent and 1 percent of all to offer menu suggestions tailored to each individu- transactions — with one in 10 reporting even higher al consumer's tastes. rates. Experts have said that the pandemic is like- Restaurants and other businesses are often reluc- ly exacerbating these issues, making it even more tant to implement any authentication features that critical for restaurants to deploy technology that ad- could add friction to the ordering process, especially dresses friendly fraud. as many worry that they could scare off consum- AI-based security measures can be implemented ers, who are spoiled for choice when it comes to across all business sectors, including the QSR in- QSRs that offer mobile ordering options. Research dustry, to keep friendly fraud in check, especially as suggests that adding in so-called positive friction, an increasing number of interactions move online which affects consumers’ journeys either not at via mobile channels. Many cases of friendly fraud all or only minimally, could help restaurants safe- can stem from card-not-present (CNP) transactions, guard their platforms without frustrating customers but a significant share can also be attributed to legit- and prompting them to abandon their orders. AI, imate customer service friction, for which AI-based which can be used in the background to assess solutions can also ensure customer engagement transactions and weigh in on their legitimacy, can be and quick resolutions. considered a form of positive friction.

More QSR consumers are turning to mobile order- Fighting fraud while elevating customer ing channels to purchase their meals, and this shift experiences is making the industry an especially high-profile tar- AI algorithms can also allow QSRs to determine get for fraudsters and friendly fraud. Leveraging AI customers’ locations and which devices they are could be key to helping restaurants simultaneously using as well as illuminate other data points, en- thwart fraud while offering consumers smoother — abling them to compare transactions against and thus repeat — experiences. consumers’ purchase histories to ferret out irregu- larities. The technology can process large amounts of data in mere seconds, freeing staff from this time-consuming task and allowing them to focus on more-complicated cases. Many QSRs are interest- ed in leveraging AI to thwart fraud — both friendly and otherwise — but the technology could also be

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 Tracker’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 Order how we Ahead organize our Ecosystem News 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 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 aggregator, are also important.

score score 1 95.5 6 90

score score 2 94 7 89

score score 2 94 8 88.5

score score 4 93.5 9 87.5

score score 5 92 10 87

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 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.

Loyalty Total Integrations Score Ordering App Usage 0 52.5 Channels 25 Score 67.5 25 27.5 7 35.5

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.

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 52 7 20

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 11.5 43.5

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.

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 46.588.5

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 19.5 44.5

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 25.5 40.5

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 together with payment information. The solution also displays nutritional information.

Loyalty Total Integrations Score Ordering App Usage Channels 25 Score 95.5 0 25 19.5 44.5 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 40.5 Channels 25 Score 59.5 15 25.5 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.

Loyalty Total Integrations Score Ordering App Usage Channels 25 Score 93.5 25 43.5

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 24 56

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 25 93.5 Channels Score 25 43.5 7 25 30 62

DUNKIN’ August 2012 FIREHOUSE SUBS 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 56 Channels Score 7 24 15 0 36.5 51.5

EL POLLO LOCO December 2016 FIVE GUYS 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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 15 25 14.5 54.5

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 23.5 30.5

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 30 62

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 70

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 43 0 0 43

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 22 54

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 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 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 38 70

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 47 87

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 28 60

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 10.5 42.5

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 42 92

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 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. Users 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 21 53

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 37.5 87.5

PIZZA HUT Launch of mobile order service date: August 2009

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 11 44

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 19.5 37.5

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 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 26.5 51.5

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 18 50

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 38 78

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 35 78

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.

Loyalty Total Integrations Score Ordering App Usage Channels Score 17 25 45 87

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 5 30

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 44 94

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 39.5 79.5

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 32 64

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 39 89

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 40 65

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 23 66

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 25 Score 60.5 7 28.5

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

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 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 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 43 75

WAWA Launch of mobile order service date: February 2017

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 21 53

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 Rewards, the restaurant’s loyalty program.

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

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 37 87

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 Messenger, Twitter direct messages or Alexa voice orders.

Loyalty Total Integrations Score Ordering App Usage Channels Score 7 25 11.5 43.5

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:

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