CHICAGO – McDonald’s Corp. formally launched its new reloadable convenience card with the kickoff of a nationwide marketing campaign today, joining the growing group of restaurant operators that offer similar cards.
Many of McDonald’s 13,000-plus U.S. restaurants have been offering the Arch Card for months, but the company has been waiting until the holiday shopping season to promote them as gift cards. In 2006, the advertising campaign will switch themes to promote convenience.
“McDonald’s recognizes our customers are seeking cashless payment options, and the national launch of Arch Card will make purchasing your favorite menu item and gift giving a whole lot easier this holiday season,” said Gayle Franger, director of U.S. marketing for the Oak Brook, Ill.-based company.
The McDonald’s Arch Card is available in $5, $10, $25 and $50 denominations.
McDonald’s trails Starbucks Corp. and others in offering this type of card. But analysts say the nation’s largest restaurant company is well-positioned to benefit from them because the cards make it easy for consumers to spend more and also can cut the average transaction time.
“I think it’ll help drive a little bit of sales growth,” said Carl Sibilski of Morningstar Inc. “It may speed up the lines at the counter as well.”
McDonald’s will give away $22 million in promotional Arch Cards starting Nov. 29 to make a splash for the marketing campaign, including 5 million $1 cards handed out to Southwest Airlines Co. customers.
Customers at McDonald’s restaurants can receive a $1 Arch Card Nov. 29 through Dec. 5, while the $9 million in cards last, with the purchase of certain items. Another 8 million $1 cards will be given away through an American Express consumer card mailing.
Associated Press
McDonald’s new Arch Card is available in denominations of up to $50.
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