As fast-food brands compete for their customers’ loyalty, limited-time offers (LTOs) and other promotions can go a long way.
By the Numbers
Research from the March/April edition of PYMNTS’ Digital Divide series, “The Digital Divide: Regional Variations in U.S. Food Ordering Trends and Digital Adoption,” created in collaboration with Paytronix, and drew from a February survey of more than 2,500 U.S. adults, found that 26% of quick-service restaurant (QSR) customers consider the availability of promotions or deals when deciding between restaurants.
The Data in Action
Fast-casual brand Shake Shack is leveraging this demand for promotions to help with two other of the company’s goals: driving digital adoption and boosting off-hours sales. On a call with analysts Thursday (August 4) discussing the company’s second quarter 2022 financial results, Shake Shack chief financial officer Katherine Fogertey shared that the company intends to drive off-hours sales through its app and website with targeted “digital daypart” promotions.
Last month, the brand kicked off the first such offer, a limited-time buy one, get one (BOGO) deal on milkshakes purchased via the brand’s eCommerce channels between 2 and 5 p.m.
“Our shacks are very busy at lunch and dinner. However, we view this midday as underutilized from a staffing perspective and are excited about the early read on the incrementality of this offer,” Fogertey said.