January 27, 2015

Everybody Wants to Give Away Your Food

There's lots of talk today about discounting or giving away product and there's 
an entirely new avenue on the horizon for people to give away a franchisee's profits.

I've been following the restaurant industry's obsession with digital payment and 
ordering. There's a code word in that business: "Loyalty". Not a new term in
marketing but what better way to make customers "loyal" than to provide them
with a app for their phone that's all about freebies and discounts?

By necessity these platforms will be controlled by the home office of the franchisor,
or worse, the advertising agency(s). How do franchisees monitor how much product
is being given away?
.

6 comments:

Anonymous said...

McD layoffs start tomorrow. I hope and pray Thompson and Wahl are amongst the casualties

Anonymous said...

Dan Delligatti is a TRAITOR.

Anonymous said...

It is time to "JUST SAY NO"

Anonymous said...

The last time the operators said "NO!"to OPNAD, and they backed down, was the .59/.69 hamburger/cheeseburger promotion. Can't remember another time it has happened in recent memory. It will not happen now, and margins will be further squeezed.

Anonymous said...

Disagree, didn't the co-ops just vote down advertised national price points for the dollar menu & more ROD and dollar menu at breakfast?

Anonymous said...

Easy to back down on advertising a price point that already exists and is on the menu board. 59/69 was a radical discount tactic, that would have affected sales of all sandwiches.