Dunkin Donuts is now offering a similar donut mobile app as rival Starbucks to make payments easier for smartphone customers.
The app, available for iOS and Android, creates a virtual Dunkin Donuts card, which can be filled by transferring the value of an existing physical Dunkin Donuts Card or it can be funded through a credit card or PayPal transaction.
When it comes time to pay, users select which virtual card they want to use and the app presents a QR code, which is scanned by an employee. The amount is deducted from their balance immediately after the purchase.
Dunkin Donuts’ mobile payment system, which is available at most of its 7,000 U.S. locations, is similar in execution to the Starbucks mobile app, which also works with virtual cards and barcodes.
But unlike the Starbucks mobile app, Dunkin Donuts users can also send mobile gift cards to each other via the app. Users can send a gift card up to $100 to a friend via Facebook, email or text message. The app also provides menu and nutritional information plus a tool for finding a nearby Dunkin Donuts.
It’s not surprising that Dunkin Donuts is moving into mobile payments. Starbucks CEO Howard Schultz said last week that the company had 60 million mobile transactions in the last year and a half since it launched mobile payments. Now, a quarter of Starbucks transactions happen via Starbucks cards with a growing percentage of that quickly shifting to mobile.
Schultz said the adoption of mobile payments is the fastest he’s seen of any product in the last 40 years.