Fast food giant McDonald’s is acquiring Dynamic Yield in $300m deal that has big implications for its supply chain set up.
McDonald’s says it will utilise Dynamic Yield’s technology to provide an even more personalised customer experience, icluding varying outdoor digital Drive Thru menu displays to show food based on time of day, weather, current restaurant traffic and trending menu items.
The decision technology can also instantly suggest and display additional items to a customer’s order based on their current selections.
McDonald’s tested the technology in several U.S. restaurants in 2018 and will begin to roll the technology out in its Drive Thru at restaurants in the United States in 2019 and then expand the use to other top international markets. McDonald’s will also begin work to integrate the technology into all of its digital customer experience touchpoints, such as self-order kiosks and McDonald’s Global Mobile App.
McDonald’s says Dynamic Yield will help it meet customer needs around ever-changing trends and evolving marketing technologies, and allows for the continued advancement and elevation of the McDonald’s supply chain decision making.
“Technology is a critical element of our Velocity Growth Plan, enhancing the experience for our customers by providing greater convenience on their terms,” said Steve Easterbrook, President and Chief Executive Officer, McDonald’s Corporation. “With this acquisition, we’re expanding both our ability to increase the role technology and data will play in our future and the speed with which we’ll be able to implement our vision of creating more personalised experiences for our customers.”
Liad Agmon, co-founder and CEO of Dynamic Yield, added: “We started Dynamic Yield seven years ago with the premise that customer-centric brands must make personalization a core activity. We’re thrilled to be joining an iconic global brand such as McDonald’s and are excited to innovate in ways that have a real impact on people’s daily lives.”
McDonald’s recent advancements in the tech space – including the development of McDonald’s Global Mobile App, Mobile Order and Pay, indoor and outdoor digital menu boards and self-order kiosks – have transformed customer experiences in and around its restaurants, by giving customers more ways to pay and personalize their orders to meet their needs.
Upon closing, McDonald’s says it will become sole owner and will continue to invest in Dynamic Yield’s core personalization product.
Dynamic Yield will remain a stand-alone company and employees will continue to operate out of offices around the world. Dynamic Yield will also continue to serve their current, and attract future, clients.