Domino's has a big slice of the voice payments pie thanks to Amazon's Alexa (DPZ, AMZN)

BI Intelligence

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One in five Domino's customers in the UK place voice-command orders through Amazon's virtual voice assistant, Alexa, instead of through Domino's one-click Easy Order option, according to Digiday. The pizza chain announced the Alexa feature in July, adding on to its long list of digital offerings. 

The Alexa function is accessible to customers who make a Domino's online account, which allows them to save their favorite order and submit it through platforms like Amazon’s website or app, Facebook Messenger, or Google Home. 

Domino's has been building out its digital strategy, and with voice payments becoming more common, it's likely that ordering through Alexa will become more popular.

• Domino's has integrated its services with popular platforms to bolster customer engagement and drive sales. Domino's has integrated into other platforms, including Facebook Messenger, Google Home, Twitter, Samsung Smart TV, Ford Sync, and the Apple Watch. The pizza chain generated an estimated $5.6 billion in global digital sales in 2016, up 19% YoY. The popularity of Domino's recent integration with Alexa demonstrates that Domino's customers are open to ordering and paying with up-and-coming digital technologies. 

• The rise of voice payments will only continue to benefit Domino's. It's been easy to integrate voice assistants into devices because the hardware needed to support the technology — such as microphones, speakers, and processors — are inexpensive. And voice payments are starting to catch on among consumers: Eight percent of US respondents to a BI Intelligence survey said they used voice commands to buy something, send money to a friend, or pay a bill. BI Intelligence estimates that the use of voice payments will nearly quadruple over the next five years to reach 31% of US adults — or 78 million consumers — by 2022. As this happens, more opportunities will open up for payments players to enter the space, which should broaden the number of people paying with Alexa. 

A revolution in payments and banking is beginning as virtual assistants like Siri and Alexa gain the abilities of cashiers, personal shoppers, and bank tellers.

Already, Siri can help users make peer-to-peer (P2P) transfers with Venmo, Alexa can pay off Capital One credit card bills, and Google Assistant can let users shop with their voice from nearby stores. 

This is just the beginning. Today, 18 million US consumers have made a voice payment, and BI Intelligence projects that figure will quadruple over the next five years. 

Dan Van Dyke, senior research analyst for BI Intelligence, Business Insider's premium research service, has compiled a detailed report on voice payments that:

• Shares current and projected adoption of voice payments.
• Outlines voice payments and banking integrations on the market.
• Examines growth drivers and barriers to consumers' voice payments adoption.
• Provides strategies for successfully deploying voice interfaces. 

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