QSR apps have been riding a wave of success in recent years, with 2022 marking a period of prolific growth. With consumers increasingly seeking cost-savings and convenience, QSR apps saw a surge in downloads and session lengths in Q3 2022. However, as we move into 2024, the QSR app landscape is evolving, presenting both new challenges and opportunities. Below, we explore the latest trends in QSR apps as well as best practices for re-engaging customers in this competitive sector.

2024 QSR Business Trends 

According to Custom Market Insights, the US Fast Food QSR market will grow at a CAGR of 5.60% to reach 454.3 billion by 2030. This rapid expansion signifies immense opportunity and innovation in this sector.

The Rising Price of Food Away from Home (FAFH)

One notable trend shaping the QSR industry is the growing price gap between Food Away from Home (FAFH) and Food at Home (FAH) prices. Recent Consumer Price Index (CPI) data indicates that FAFH prices are trending nearly two percentage points higher than FAH prices. Historically, such disparities have impacted foot traffic at QSR establishments, highlighting the need for businesses to monitor the gap and set prices appropriately. It also reflects the potential advantage of discounts and price-related offers to re-engage customers.

Drive-Thru and Take-out on the Rise

Despite economic headwinds and rising food costs, there are many encouraging signs for QSR brands. Drive-thru and takeout orders have increased, presenting new opportunities for marketers to drive purchases with loyalty programs and exclusive offers. According to RMS’ Q4 consumer survey, 40% of Gen Z and Millennials order more frequently from fast-food restaurants than other demographics and 86% report making at least one weekly drive-thru visit in the past month.

Technology Integration for Enhanced Customer Experience 

QSR brands are increasingly integrating technology into their operations to enhance the customer experience. This includes innovations like self-service kiosks, mobile ordering apps, and digital menu boards. These technologies not only streamline the ordering process but also provide opportunities for personalized promotions and offers tailored to individual customer preferences. By leveraging technology, QSR brands can improve operational efficiency, reduce wait times, and deliver a more convenient and seamless dining experience for customers.

Sustainability and Health Consciousness 

With growing consumer awareness of environmental issues and health concerns, QSR brands are placing greater emphasis on sustainability and offering healthier menu options. Younger generations are driving this trend as they seek out brands that align with their values. In response, many QSR brands have added plant-based items to their menus, sourcing ingredients from sustainable and ethical suppliers, and implementing eco-friendly packaging. By catering to the preferences of environmentally-aware and health-conscious consumers, QSR brands can attract new customers and strengthen brand loyalty.

How QSR Apps Can Succeed in 2024

In light of these trends, QSR brands must adopt a multifaceted approach to succeed in 2024. This includes shifting prices strategically to account for customer preferences in a shifting economy. Additionally, leveraging technology, such as AI-powered solutions for pricing intelligence and operational efficiencies, will be crucial for identifying savings and unlocking growth opportunities.

Furthermore, QSR brands should prioritize optimizing their mobile apps and loyalty platforms to keep high-frequency customers engaged. In-app retargeting campaigns offer a powerful tool for re-engaging current and lapsed users, driving retention, and fueling recurring purchases.

QSR App Retargeting Best Practices

As the QSR landscape continues to evolve in 2024, implementing effective retargeting strategies is essential for driving customer retention and maximizing the value of your app user base. Here are some best practices to guide your QSR app retargeting efforts:

Craft Personalized In-App Promotions 

Tailor your retargeting campaigns to individual user preferences and behavior. Leverage data to deliver personalized in-app promotions that resonate with each user segment. Whether it's offering discounts on their favorite menu items or exclusive rewards based on their past orders, personalized promotions can significantly increase engagement and encourage repeat purchases.

Utilize Deep Links for Seamless User Experience 

Make it as easy as possible for users to navigate from your retargeted ads to the relevant section of your app. Incorporate deep links into your campaigns to direct users to specific pages or features within your app, such as menu items or order history. By providing a seamless user experience, deep links can enhance conversion rates and drive users back into your app with minimal friction.

Implement Automation for Efficiency and Accuracy 

Streamline your retargeting processes with automation to save time and reduce errors. Utilize mobile advertising partners that offer dynamic audience segmentation and real-time campaign optimization capabilities. By automating tasks such as audience segmentation, ad placement, and performance tracking, you can ensure that your retargeting campaigns are efficient, effective, and data-driven.

Leverage User Segmentation for Targeted Messaging 

Segment your app user base strategically based on user behavior, preferences, and engagement levels. By dividing your audience into distinct segments, you can deliver targeted messaging and promotions that are tailored to each group's interests and needs. Whether it's targeting lapsed users with a reactivation offer or rewarding high-value customers with exclusive perks, segmentation can maximize the impact of your retargeting efforts.

A/B Test Your Campaigns for Continuous Improvement 

Continuously optimize your retargeting campaigns through A/B testing to identify the most effective messaging, creative, and incentives. Experiment with different ad formats, messaging variations, and promotional offers to determine what resonates best with your target audience. By iteratively testing and refining your campaigns, you can drive incremental improvements in engagement, conversion, and ROI over time.

Takeaways

By incorporating recent QSR business trends and best practices into your QSR app retargeting strategy, you can effectively re-engage current and lapsed users, drive repeat purchases, and maximize the lifetime value of your app user base in 2024 and beyond.

  • US Fast Food QSR market projected to grow at 5.60% CAGR to reach $454.3 billion by 2030.
  • Price gap between Food Away from Home (FAFH) and Food at Home (FAH) is increasing, impacting foot traffic.
  • Drive-thru and takeout usage is rising, especially among Gen Z and Millennials.
  • An increasing emphasis on sustainability and offering healthier menu options to attract environmentally and health-conscious consumers.
  • QSR app retargeting best practices: personalized promotions, deep links, automation, user segmentation, A/B testing.

 

Ready to take your QSR app marketing strategy to the next level? Reach out to YouAppi to boost engagement, drive repeat purchases, and maximize the value of your app with retargeting campaigns.