Mobile payments are fast becoming an easy way to pay for customers who need to grab a bite on the go. Burger King (NYSE: BKW) and Wendy's have both launched mobile payment apps that allow patrons to pay with their smartphones.
The Burger King payment system is an update to an app the company developed in 2012. The app will be rolled out to U.S. locations next month, reports Bloomberg.
In the app, payment values will be tracked via a virtual card within the app which customers can use to store cash value and pay for items in stores. Customers will also be able to use the app to redeem coupons and view nutrition facts.
Wendy's has also begun accepting mobile payments via its "My Wendy's" smartphone app. The chain has been testing the app for the past year and said that the majority of its 5,800 U.S. restaurants will be able to process payments using the technology.
The Wendy's app processes payments by displaying a unique six-digit number on the user's profile for each transaction. The cashier has to enter this six-digit code for the payment to be deducted from the customer's mobile account balance.
Starbucks (NASDAQ: SBUX) has been the frontrunner in mobile payments within the restaurant industry, and now says that 14 percent of all purchases are processed through its app. Last summer, CEO Howard Schultz revealed the company was ringing up 2.1 million mobile payment transactions each week.
Other restaurants that have taken the leap into mobile payment apps include Dunkin Donuts (NASDAQ: DNKN), which recently upgraded its mobile payment and points system, and Dairy Queen, which last year introduced a mobile-payment app that uses check-ins—rather than an onscreen bar code or a contactless NFC signal—to authenticate the customer and allows them to pay for their order.
Judging from the popularity of mobile payments in the restaurant industry, there are more developments in store. In fact, PayPal is testing a new feature in its iOS and Android mobile apps in the UK, reports TechCrunch. The new technology allows users to place a food order so that it's ready when they arrive at the restaurant to pick it up. Once there, users can pay for their to-go order by using a four-digit code.
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