When you think about the phone and China, until smart phones were invented only a few select people had assess to phones. When smart phones were released, millions of people had access to phones. As the technology evolved, there was an app for a product, service, information. It became and continues to be part of the marketing of every product. This implies there are many apps to choose from.

In an article from Reuters, KFC’s parent company in China reported aggressive growth in its digital loyalty programs, exceeding 590 million members, or more than 40% of the population. Think about that 40% of Chinese smartphones have the KFC app to order KFC or Pizza Hut. 55% of sales come from the app.

In China there are about 13,000 locations for KFC, which Yum Brands says is the largest restaurant chain in the country.

Yum China CEO Joey Wat said 80 -90% of KPRO’s sales come from KFC loyalty members. In addition, the new AI ordering assistant rolled out is complete and has been used by 2 million members concentrated ordering breakfast and coffee.

Yum China said 265 million users are active, meaning they have been used in the last year.

Linking to dividend paying stocks, the more and more people have smartphones, the more and more people use them and the issue is if you invest in a company which appeals to a broad base of people, do they have your app? is it a good one? This is one more piece of homework you can do before you make your decision, because if you can have similar numbers as Yum Brand, 40% of the population downloaded the app and 75% are active users, you should be able to project a consistent income for the company.

There are more questions than answers, till the next time – to raising questions.