Nearly three years after its initial launch, Dippy is shaking up the quick-service food industry.
Developed by Richmond-based entrepreneurs Evan Rallis and Mike McCabe, Dippy is a mobile web and text messaging platform that drives customer engagement for businesses by increasing app downloads and loyalty program signups. It also leverages vital marketing data for its clients by providing incentives for customers to participate in surveys or promotions.
“Mike and I recognized that, though there are so many chances for companies to communicate with their customers, many weren’t doing it effectively,” Rallis said.
According to Rallis, fast food restaurants are the prime target for Dippy because they typically face an uphill battle when trying to engage with customers. Larger franchise networks spend millions of dollars developing and marketing their applications, but in many cases, their return on investment falls short of expectations.
With so many brands competing for attention, it can be difficult for any company to stand out from the crowd. That challenge is amplified for fast food restaurants because their patrons usually pass through quickly. As a result, traditional posters advertising app downloads or text message programs tend to be ineffective.
To address that problem, Dippy sends its clients pre-programmed, customized tablets to be used as “engagement kiosks.” The devices are designed to produce results with minimal upkeep from restaurant staff.
As soon as the tablets are plugged in, they’re ready to begin collecting data through customer interaction. For most of Dippy’s enterprise clients, promoting app downloads is the number one goal.
Businesses that succeed in launching popular apps usually have a tremendous advantage over their competitors, Rallis said. Apps not only keep certain brands at the forefront of smartphone users’ minds, but they can also boost sales by offering perks like online ordering and loyalty rewards. According to AppInstitute, loyalty programs are one of the top three motivators for customers to spend more.
"When you engage with your customers in a way that makes the most sense for them, it will directly lead to more revenue."
While many fast food restaurants still rely heavily on email campaigns for their marketing efforts, research has shown that push-button notifications and text messages tend to have a much more powerful impact. That’s partly because such messages are easily digestible and often bypass smartphone lock screens.
"When you engage with your customers in a way that makes the most sense for them, it will directly lead to more revenue," said Rallis.
Dippy got its start by building up a clientele base in Richmond, where it’s headquartered. The company’s initial goal was to provide a service that allowed local businesses to send exclusive deals to their customers via text messages.
That concept gained traction, and Rallis said Dippy is planning to roll out its deal service in eight additional cities in 2019, including Virginia Beach, Williamsburg and Philadelphia.
But moving forward, Dippy will be especially focused on helping quick-service restaurants make more effective use of mobile marketing technology. Its platform is currently being piloted at several major restaurant networks, including Saladworks, Sweet Frog and an unnamed national chicken franchise.
Rallis emphasized that Dippy aims to be as affordable as possible for its partners. Pricing begins at a fixed cost of $50 a month and increases on a variable rate based on how many customers engage with the company. Costs can be customizable for enterprise contracts based on specific needs and goals.
For many businesses, investing in Dippy proves more than worthwhile, Rallis said. The average client experiences a revenue boost of at least 5 percent each month, he said, in some cases reaching 20 percent.
If its recent successes are any indication, it appears that Dippy is on the verge of significant expansion.
“We want to be part of most of the quick service brands out there, from the small to the mid to the large," Rallis said. "We’re confident that we can serve them now. It’s really just about getting the message out.”
