The Use of Technology with Coffee

digitalagencynetwork.com

The best way to get a hold of people in today's world is through a cell phone.  In the article “Dunkin' Donuts Takes Aim at Starbucks' Loyalty Program With a New App of Its Own,” author Phil Wahba discusses the new app Dunkin’ Donuts launched and how it is expected to compete with Starbucks’ own very popular app.  This article comes from a trusted website because it is updated frequently and shows no bias.  Coffee chains keep their business running outside of their shops through apps that give their buyers rewards which encourages them to always come back and demand more.

With the amazing technology we have now a days we are able to have access to almost everything with the touch of a button.  Companies and businesses use this to their advantage through apps they have created.  Each of these apps have special and unique features that encourage customers to buy their products, especially when it comes to coffee apps.  Phil Wahba cites that the Starbucks App is used by almost twelve million people daily.  This app comes with easy to pay features and a rewards program.  The customers have access to a host of features that allow them to manage their Starbucks Card account such as reloading their Starbucks Card balance directly from a smartphone device.  The Starbucks reward system is based on “stars.”  Every two dollars spent, irrespective of the number of transactions, gets a customer one star.  Once a customer has earned twelve stars they are rewarded a free drink.  One of their most recent additions is mobile ordering.  A customer can order their coffee off their phone at their home, paid with their mobile payment, and pick up the coffee on their way to work.  Starbucks says it gets seven million mobile orders each month.  I see at least five people who mobile ordered come in to Starbucks when I get coffee before school.

The Dunkin’ Donuts App was created in 2012 and was relaunched this past year to offer features to compete with the ever booming Starbucks App.  The app allows for users to become a member of “DD Perks.” Similar to the Starbucks App, the Dunkin’ App allows customers to pay at some stores with their app and win loyalty items and give gift cards simply by presenting a barcode to be scanned in the store.  Wahba adds that customers can also manage and add money to their Dunkin’ Donuts account directly from their app.  The Dunkin’ App is looking to launch a new promotion that will allow DD Perks members to win extra points toward a free drink, like Starbucks’ stars rewards.  Though I am a bigger fan of Dunkin’ Donuts, I believe that the Starbucks App is much more attractive to customers.  Rewards are important to customers because coffee is expensive, and when customers are rewarded for their loyalty to the business, it will encourage them to come back and thus allow the company to maximize their profit.

Future research question: What kinds of special deals and sales does each coffee cooperation offer?