Debate picks up over impact of McDonald's rewards initiative

|About: McDonald's Corporation (MCD)|By:, SA News Editor

There's some pretty fierce debate about how successful McDonald's (MCD -0.6%) will be with its updated loyalty program.

"I suggest that free food is not sufficient and ought not become the dominant reward," opines SAP's Mohamed Amer. His analysis is shared by others who think attracting new customers, especially millennials and Gen Z customers, is still going to be difficult for the chain.

ProLogic Retail Services CEO Ross Ely is more optimistic. "McDonald’s should see strong results from its loyalty program," predicts Ely. Other retail watchers think McDonald's can nip some traffic from Starbucks and Dunkin' Donuts at the fringes if the rewards launch goes well.

Previously: McDonald's is expected to add loyalty program to app (March 14)

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