McDonald’s acquires AI startup Dynamic Yield in its 'biggest deal' in decades
Big Mac is probably what McDonald’s is most closely associated with. Not Big Data. However, that's about to change as McDonald’s Corporation (MCD) acquires AI-powered platform Dynamic Yield in an agreement that’s being touted its biggest in decades.
Media reports suggested that this deal is worth $300 million, touted to be the 'biggest dea' for the company in decades.
Israel-based Dynamic Yield, which works in personalisation and decision logic technology, will help the American fast food chain to build on its technology for growth.
Steve Easterbrook, President and Chief Executive Officer of McDonald’s Corporation, said,
“Technology is a critical element of our Velocity Growth Plan, enhancing the experience for our customers by providing greater convenience on their terms."
He added, "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.”
Decision technology could mark a big leap in personalising customer experience. And McDonald’s is clearly leaving no stones unturned. Using Dynamic Yield’s AI-powered tech, the burger giant will be customising its Drive-Thru menu to show food items based on the time of day, weather, current restaurant traffic, and trending menu items.
In addition, it will also suggest and add additional items, based on a customer’s selection.
McDonald’s has been making giant leaps in the tech space by integrating functionality - through its mobile app, self-ordering kiosks, mobile order and pay option, etc. But moving ahead, the company now seems to be focussing on tech like AI and machine learning, especially with its acquisition of the Israeli startup.
Liad Agmon, Co-founder and CEO of Dynamic Yield, said,
“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. Dynamic Yield will play a critical role in McDonald’s digital transformation.”
Started seven years ago, Dynamic Yield currently enables more than 300 brands in six continents.