Hackers Targeting Reward Apps Like Dunkin' Donuts Perks Program & My McD’
Mobile App

Hackers Targeting Reward Apps Like Dunkin’ Donuts Perks Program and My McD’s

In the U.S., more than $100 billion reward points go unredeemed in a year.

Hackers Targeting Reward Apps Like Dunkin’ Donuts Perks Program and My McD’s

Everybody thinks twice before spending their money but if they are getting something in return for their purchase in the form of rewards, or loyalty points then customers tend to take purchase decision faster.

Reward apps and loyalty programs are a great way to save money but they are also a vulnerable target for hackers. The New York Times reported that the rewards app compromised the personal data of the users. Big brands like McDonald's, Dunkin' Donuts, Marriott and many more experienced hackers gaining access to information on their reward apps.

Rewards apps act as a great source to have free stuff for the users whereas these apps help brands in analyzing the consumer spending pattern and their consumption habits, in addition, it encourages customers to spend more money.

According to a loyalty-fraud prevention group, due to these loyalty and rewards programs approximately $1 billion is lost within a year to reward apps hacking. The Javelin Strategy & Research firm stated that non-card fraud crimes nearly reach to double within the period of 2017 to 2018.

reward apps hacking

In an interview with the New York Times, Kevin Lee, an expert in risk analysis at the data security firm Sift, said loyalty apps rewards are "almost a honey pot for hackers" and give "the path of least resistance" to private information.

In a data breach last year, hackers took advantage of the loyalty app of Dunkin Donuts’ DD Perks program, and exposed the data of the customers. McDonald’s customers also complained about the hacking of their accounts on McDonald’s loyalty app, My McD’s. 

Users complained that the hackers placed unauthorized orders, which also included some orders worth more than $1000.

However, acknowledging the “some isolated incidents," a McDonald’s representative said that they are “confident in the security of the app.”

As per the research from LoyaltyOne, there are approximately 3.8 billion rewards memberships in the U.S., exceeding the number of consumers by ten times.

Companies use these loyalty scheme programs to customize services and deals for users that are willing to provide their personal data such as date of birth, payment card numbers and location data.

Emily Collins, a Forrester Research analyst, argued that business houses are collecting too much data, which is usually “more than they can actually use.”

She further added,

Consumers generally provide more data and many of them don’t inspect their accounts carefully. There are over half of the rewards scheme memberships who are inactive in the U.S. and over $100 billion a year in rewards points remain unredeemed.

Now it is upon us to think whether the cashback and other deals that we are getting from money-making apps are worth more than the amount we are sacrificing.

For more informative articles related to the mobile app industry, stay tuned to MobileAppDaily.

MAD Team
Written By

MobileAppDaily host a team of experienced technical writers, industry wizards, and app experts who have an exact knack of content that caters to the needs of the mobile app targeted audience. We strive to bring you the best of tech!

Top Companies

InMobi
Singapore
Dot Com Infoway
New York, USA
M&C Saatchi Mobile
New York City, USA
Techmagnate
New Delhi, India
Fetch
London, UK
View full report

Latest Articles

Join our global community 135K Followers
Mobile App

WeTransfer Acquires FiftyThree, The Company Behind iPad Drawing App 'Paper'

MAD Team 5 min read  

If you own an iPad and like to draw things using the apps, then you must be aware of Paper app. The company that own Paper app, FiftyThree is now acquired by another enterprise named WeTransfer. The acquisition news comes from the from a  medium blog shared by FiftyThree where it revealed that

Mobile App

Microsoft Launcher Beta Update For Android Brings a Set of Exciting Features

MAD Team 4 min read  

Microsoft is rolling out a brand new update for the Microsoft launcher in the beta program with a set of exciting features for the users. A number of changes have been introduced with this update that includes app grid option, innovative user experience, great UI adjustment and a bug fixing feature.

Mobile App

Russia Blocks Telegram On The Grounds Of Security Concern

MAD Team 4 min read  

At first, get introduced to “Telegram.” It is a reliable messaging app, and with its platform-agnostic design, anyone can access his messages thread across iPhones, Android devices, or desktop browsers. Unlike Whatsapp, Telegram is more secure and private.On the basis of breaching se

Mobile App

Uber Is Calling Off Its Car Leasing Business

MAD Team 4 min read  

Uber, the ride-hailing giant decided to shut down its car leasing program after it hit the loss that is 18 times more than it expected. The company announced that it is ceasing the Xchange Leasing program which it started to lease the cars to the drivers.{IRP}The company initiated the progra