Burger King takes on McDonald's, rival chains with digitally-driven rewards program

The fast-food giant's new Royal Perks program will let customers get free items by earning "crowns" for every dollar spent

Burger King is ramping up its rewards efforts for customers ordering food online as fast-food chains continue to beef up their mobile ordering business during the pandemic.

The Miami-based chain on Tuesday announced a new loyalty program, Royal Perks, launching in areas including Los Angeles, Long Island, Miami, New Jersey and New York City. It’s the latest chain to follow fast-food giants like McDonald’s and Starbucks in carving out rewards for customers.

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Customers in the five test markets will be able to get points for every dollar spent and nab rewards for ordering via the chain’s website or app. The digitally-focused points system lets customers earn points — known as "crowns" — on delivery orders via BK.com or the BK app. Customers will be able to use points to get free items across the menu, and earn double points for their entire birthday month.

The program is said to go into full effect by the end of the year.

Burger King's new rewards program, Royal Perks. (Burger King).

"Throughout the year, we plan to expand availability to all markets and add even more innovative features like third-party rewards and more," the company said in a press release.

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The launch comes on the heels of major competitors expanding their digital rewards offerings. McDonald’s last week said it would be expanding testing for a new app-based loyalty program called MyMcDonald’s Rewards, now running in New England, Nevada and Arizona. A spokesperson for McDonald’s told Fox News that customers in select markets can earn points for every dollar spent, with more than 85% of rewards members participating in the pilot program.

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Other chains continue to capitalize on rewards to build customer loyalty during the pandemic, and it seems to be working. Starbucks Rewards program has amassed some 22 million members in the fourth quarter of last year, which made up 50% of sales at the chain’s company-run locations, according to data from Restaurant Business Online.

Janine Puhak contributed to this report.

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