Mobile Pre-Order Pre-Pay – AKA “Line Busting”
Using a smartphone app to order food from your favorite burrito chain just got a whole lot more convenient. Ordering food (and paying) via the Internet has been around for years. Ordering with your smartphone is a relatively new practice (pre-order) but paying with your credit card (pre-pay), is now considered acceptable by most consumers. It has taken a few years for the general public to be comfortable with mobile eCommerce but with adoption levels of Smartphones being over 55% it seems like a natural evolution.
Chipotle Mexican Grill was one of the first “foodies” to implement pre-order pre- pay and just recently upgraded the app with more capability and sophistication. Chipotle fans can order and pay – in advance –with their smartphone app thus bypassing the order line altogether. The Chipotle app allows the consumer to order any type of burrito on the menu along with every possible condiment and ingredient (even jalapeno salsa). The Chipotle mobile customer places the order and the app will estimate the time of pick-up. This is a huge productivity boost for most busy business people who crave the Chipotle burrito but have other things to do than line up. Chipotle wins big time as they end up capturing more revenue and extend their positive brand awareness to busy and loyal customers. Pre- order Pre-pay is often referred to as “line busting”.
According to a recent New York Times article, chains such as Chipotle, McDonalds, Taco Bell, Smashburger, and Jersey Mike’s have either rolled out or are piloting pre-order pre-pay in select geographies and set to launch nationally in 2014.
Many QSR insiders believe that consumers are ready for mobile ordering and pre- order pre-pay will be one of the hottest trends for not only large nationals, but players as well. Chipotle must feel mobile is fairly important since they announced they are spending $10M over the next few years on mobile payments.
No more standing in line for your favorite lunch or dinner meal – ordering, and paying with your Smartphone will be commonplace sooner than we think. If you have any questions regarding pre order and pre- pay, feel free to contact us.
