Dynamic Yield

Dynamic Field is an Israeli software company that uses artificial intelligence to form individual offers to customers. The startup offers technologies that allow you to automatically select content for display on screens, depending on a number of factors. For example, on a hot day, offers of refreshments or ice cream are shown on electronic menus.

History

2021: Mastercard bought Dynamic Field

On December 21, 2021, Mastercard and McDonald's announced an agreement according to which the developer of the payment system buys the Dynamic Field personalization platform. This is the largest sale of McDonald's assets in 20 years. The exact amount of the transaction was not disclosed, however, sources familiar with the terms told CNBC that the buyer could pay more than $300 million.

The deal with Mastercard will allow Dynamic Field to extend its technology to other third-party enterprises, the companies said. The McDonald's added that the company will continue to collaborate with Mastercard and Dynamic Field to continue to implement technology in its branches. The deal is expected to close within the first six months of 2022.

Mastercard acquired Dynamic Field

Dynamic Field, using online and offline channels to personalize consumer interaction with the brand, provides customized product recommendations, offerings and content based on a number of factors, including past purchases, page views, time of day, current store attendance, and trend items.

Raj Seshadri, president of data and services at Mastercard, said in a statement that "the idea of going to the store or opening a web page to find an experience perfect for you is no longer far-fetched. This is a reality that more brands are introducing and more consumers expect. With the experience of Dynamic Field, our scale and relationships, we can bring the relationship between the end user and our customers to a new level. "

We are pleased to continue cooperation with McDonald's, a long-time client and a proven innovator in this area, "added Seshadri.

McDonald's acquired Dynamic Field in 2019, becoming one of the first brands to integrate decision-making technology into their restaurants. Under the leadership of McDonald's Dynamic Field, it doubled revenue and significantly expanded its customer base.

The introduction and improvement of this technology was an important component of McDonald's Accelerating the Arches growth strategy, in which the brand prioritizes improving the quality of orders, introducing a global loyalty program and expanding the delivery area.

Mastercard said the acquisition will enhance the unique, existing synergies between digital McDonald's interaction technologies, which at the time of acquisition are supported by SessionM and Test & Learn.^[1]

2019: McDonalds bought Dynamic Field

On March 25, 2019, McDonald's announced the acquisition of Dynamic Field, but did not name the value of the transaction. According to TechCrunch sources, McDonald's paid more than $300 million, so this purchase became the largest for the fast food restaurant chain in more than 20 years.

The McDonald's explained that the development of Dynamic Field will be used when creating a personalized menu in McAuto, which will change depending on weather conditions, the popularity of dishes and the situation on the roads. In addition, the service, analyzing orders, will offer to purchase additional food depending on the choice of the buyer.

McDonald's bought an AI company and will offer visitors dishes depending on the weather

It is noted that the technology has already been successfully tested in 2018, so in 2019 it should appear in a large number of McDonald's restaurants in the United States. It will later be implemented around the world.

With this acquisition, we are increasing the role of technology and data in our future and the speed with which we can realize our vision of creating a more personalized experience for our customers, "said Steve Easterbrook, President and CEO of the McDonald's.

In addition to McDonald's, IKEA, Fendi and Forever 21 use Dynamic Field technologies by March 2019. The Israeli company will continue to offer its development to these and other customers after joining the McDonald's.^[2]

Notes