Fintech X Food: How Mobile Wallets, Loyalty Apps, and Buy-Now-Pay-Later Are Reshaping Restaurants

Have you ever wondered how a simple meal out could be reshaped by fintech, not just ordering or delivery, but how you pay, how you are rewarded, and even how you finance it?
In recent years, the food-service industry has begun to intersect in powerful ways with financial technology, and the numbers are striking. The global foodservice market is projected to reach USD 4 trillion by 2028, with fintech identified as a core enabler of its growth. Meanwhile, digital-wallet users globally reached an estimated 4.3 billion in 2024 and are expected to approach 8 billion by 2029.

Quick Answer
Fintech is transforming foodservice by enabling seamless mobile payments, embedding loyalty and rewards into dining behaviours, and introducing flexible payment methods like BNPL.

This convergence matters for restaurants of all sizes: contactless payments and mobile wallets are becoming standard, with over 66 % of restaurants in North America already accepting them in 2023. But beyond simply enabling payments, loyalty apps and BNPL are reshaping how consumers interact — and how operators monetise. A loyalty programme, for example, can increase visit frequency by up to 35 % and boost spending by 20 %.

In this blog, we’ll explore what and how fintech is making inroads into the restaurant and broader food-service sector, covering mobile wallets, loyalty apps and what this means for operators and consumers alike.

At its core, fintech in foodservice manifests through three major modalities:

Mobile wallets and contactless payments

Digital wallets, NFC/tap-to-pay, QR codes and in-app check-out are now mainstream. Nearly half of consumers cite convenience as their primary reason for using them, and younger generations increasingly avoid businesses that do not support wallet payments.

Loyalty apps and digital-first rewards programmes

Restaurants use loyalty apps to capture first-party data, gamify dining, and personalise offers. Loyalty members visit more often and spend more than non-members, creating a measurable revenue boost.

Buy-Now-Pay-Later and embedded finance

Though BNPL is usually associated with retail, it is beginning to appear in restaurants and delivery platforms. Embedded finance lets restaurants or food platforms integrate payments, credit, or subscription dining directly into the customer journey.

Why it matters

• For consumers, it means convenience, richer rewards, and flexible payment options.
• For restaurants, it provides valuable customer insights, stronger retention, and higher average spend.
• For the industry, fintech is a growth driver, improving margins, enabling differentiation, and supporting a projected 4 % CAGR in global foodservice value.

Who is involved?

• Consumers: Millennials and Gen Z, who increasingly view digital wallets as their default method of payment.
• Restaurants & chains: Large chains adopt proprietary solutions at scale; independents often rely on third-party fintech partnerships.
• Fintech providers: Wallet services, payment processors, loyalty software companies, and BNPL providers.
• Regulators and banks: Oversee compliance, consumer protection, and credit risk.

When is this happening?

• By 2023, two-thirds of North American restaurants accepted mobile payments.
• Global digital wallet usage is projected to nearly double between 2024 and 2029.
• BNPL adoption in the U.S. rose 40 % in just two years, showing accelerating momentum.
• Restaurant loyalty programmes already account for nearly 40 % of visits.

How is it implemented?

• Upgrading POS/payment systems for digital wallets, QR codes, and in-app pay.
• Integrating loyalty with CRM and POS to allow seamless enrolment, tracking, and redemption.
• Offering BNPL through partnerships with providers, embedding the option at checkout or in delivery apps.
• Using analytics to connect payment, ordering, and loyalty data for personalised offers and operational optimisation.

Mobile Wallets & Contactless Payments in Restaurants

Digital wallets such as Apple Pay, Google Pay, and regional equivalents allow customers to pay by phone or wearable. The benefits include speed, hygiene, and frictionless checkout. For restaurants, adoption means faster table turnover and data collection for insights.

Loyalty Apps & Digital Rewards Programmes

Digital loyalty has evolved from punch cards to sophisticated apps. Loyalty members visit 22–35 % more often and spend around 20 % more than non-members. The next frontier is “app-less” loyalty, integrated into digital wallets or POS systems, removing the need for downloads.

Buy-Now-Pay-Later (BNPL) & Embedded Finance

BNPL allows diners to split payments, offering flexibility and boosting order value. While still emerging in restaurants, growth is rapid. In China, delivery platforms already embed BNPL; in Western markets, BNPL in dining remains niche but expanding.

Challenges include managing credit risk, regulatory compliance, and the relatively low average ticket size in restaurants compared to retail.

The competitive dynamics of fintech in foodservice reveal a clear divide between large chains, specialised vendors, and independent operators. Global chains such as Starbucks, McDonald’s, and Domino’s have been frontrunners in adopting proprietary wallets, branded loyalty apps, and fintech partnerships. Their scale and resources allow them to invest in seamless ecosystems where ordering, payments, and rewards are fully integrated. These players have set the industry standard, demonstrating that digital-first customer journeys directly correlate with increased loyalty and higher average check sizes.

On the vendor side, loyalty integration specialists like Punchh, Paytronix, and EatApp provide the technology backbone that enables restaurants to launch and manage advanced loyalty programmes. Their platforms are designed to connect payment systems with CRM data, offering predictive analytics, personalisation, and automated reward triggers. This vendor ecosystem has become critical for mid-size and regional brands that lack the scale to build proprietary fintech systems but still seek competitive digital engagement.

In contrast, independent restaurants often struggle to keep pace. Budgetary constraints, fragmented technology adoption, and limited digital expertise mean many independents still rely on traditional cash or card transactions. While some adopt off-the-shelf POS upgrades or simple digital punch-card systems, their ability to compete with global chains in the fintech space is limited.

The emerging trends, however, point toward a democratisation of fintech in food. App-less loyalty, wallet-embedded rewards, and AI-driven nutritional personalisation are lowering entry barriers and enabling even smaller operators to participate in this digital shift. As solutions become more modular and affordable, independents will increasingly find opportunities to adopt fintech-driven engagement strategies.

The pace of fintech adoption in foodservice is uneven across regions, but the trajectory is unmistakably upward. Asia-Pacific stands out as the fastest-growing region, largely driven by the dominance of mobile payments in markets like China and India. In these economies, QR-code transactions and super apps like Alipay and WeChat Pay have transformed dining into a fully digital experience, making fintech integration the norm rather than the exception.

In Western markets, particularly North America and Europe, large chains have spearheaded fintech adoption while independents lag due to infrastructure and cost constraints. Consumers are embracing mobile wallets and loyalty apps at a rapid pace, but BNPL and embedded finance in restaurants remain in early stages compared to retail.

Meanwhile, emerging markets such as South Asia and the Middle East are quickly catching up. With smartphone penetration rising and governments pushing digital payment ecosystems, QR-based and wallet-linked transactions are becoming common in urban foodservice hubs. This shift presents significant growth opportunities for both local fintech players and global providers entering these regions.

1. Support mobile wallets and QR payments for frictionless checkout.
2. Tie loyalty programmes directly to payment systems for actionable insights.
3. Explore BNPL selectively for premium or subscription dining.
4. Choose loyalty platforms suited to your size—simple for independents, integrated CRM solutions for chains.
5. Promote loyalty visibly in-store and online.
6. Use analytics to personalise offers and improve menu or staffing decisions.
7. Keep redemption frictionless; consider app-less loyalty to reduce barriers.
8. Track ROI carefully, ensuring rewards and fintech costs are sustainable.
9. Stay compliant with data protection and consumer credit regulations.

• Integration costs for POS and CRM upgrades.
• Data privacy and compliance concerns.
• Customer fatigue from too many apps or programmes.
• Regional differences in adoption speed.
• Credit defaults in BNPL, impacting margins.
• Risk of over-spending on rewards without measurable ROI.

Conclusion

Fintech is no longer a back-office tool for restaurants, it is front-and-centre in how diners pay, how they are rewarded, and how operators build revenue. Mobile wallets, loyalty apps, and BNPL are reshaping customer expectations, and restaurants that integrate payments, loyalty, and data stand to gain the most. With digital wallets projected to reach 8 billion users by 2029 and foodservice heading toward USD 4 trillion by 2028, early adopters of fintech-powered dining experiences will gain a decisive competitive edge.