McDonald’s to Sell Digital Tech Startup Dynamid Yield to Mastercard

Fast food giant McDonald’s is selling its digital tech startup company Dynamic Yield to Mastercard.

The company announced on Tuesday that it was selling Dynamic Yield for an undisclosed amount.

It was about three years ago that McDonald’s purchased the tech company, which specializes in personalization and decision logic technology. McDonald’s made the purchase in a bid to personalize its drive-thru experience.

At the time of the acquisition in 2019, it was McDonald’s biggest deal in two decades. Sources familiar with the terms said to CNBC that the transaction was valued at more than $300 million.

The technology from Dynamic Yield has been deployed to McDonald’s drive-thrus and ordering kiosks in several markets globally.

According to the deal with Mastercard, Dynamic Yield will scale its technology to other third-party businesses. McDonald’s has said that it will continue to work with Mastercard and Dynamic Yield to keep scaling the tech at its locations.

”The notion of going into a store or opening a webpage to find an experience perfectly tailored to you is no longer farfetched. It’s a reality that more brands are deploying and more consumers expect. With Dynamic Yield’s expertise and our scale and relationships, we’ll be able to bring the connections between the end consumer and our customers to new heights,” said Raj Seshadri, President of Data & Services, Mastercard.

“We’re delighted to continue working with McDonald’s, a longstanding client and proven innovator in this space,” Seshadri continued.

Synchrony has worked with both companies on digital customer engagement.

“Synchrony works hard every day to deliver simple, tailored and relevant interactions to enhance the consumer experience,” said Jeff Brousseau, Senior Vice President, Performance Marketing, Synchrony.

“With Dynamic Yield, we’ve been able to deliver contextual, personalized experiences across the consumer journey. Combining this with the power of Mastercard’s other digital services unlocks additional capabilities to further enrich consumer engagement.”

The deal is expected to close in the first six months of 2022.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.