Brief:

• Krispy Kreme this week will introduce nationwide delivery with a social media campaign that offers free doughnuts to hospitals that deliver babies on Leap Day. Expectant parents, families, doctors, nurses and other maternity ward staff at hospitals within 10 miles of a participating Krispy Kreme need to post a baby announcement on social media on Feb. 29 to receive delivery of five dozen free doughnuts, per an announcement.
• To be eligible to receive the free doughnuts, the social media post needs to have the name of the hospital and the @KrispyKreme and #KrispyKremeSpecialDelivery tags. The Leap Day baby campaign comes after Krispy Kreme began testing online ordering and delivery in select U.S. markets in 2018.​
• Krispy Kreme's delivery service is available through the food delivery app DoorDash from 350 U.S. locations in 42 states, USA Today reported. Doordash typically charges a $4.99 delivery fee from most locations.

Insight:

Krispy Kreme's campaign for the rollout of its delivery service is an offbeat take on Leap Day, which is scheduled every four years to ensure the accuracy of calendars. By offering delivery of free doughnuts to hospitals that deliver babies on Feb. 29, Krispy Kreme can extend viral reach for the campaign as people use social networks like Facebook, Twitter and Instagram to announce the arrivals of Leap Day babies. About 3.8 million babies are born every year in the U.S., according to the Centers for Disease Control and Prevention. That number suggests about 10,000 babies will be born on Leap Day, but Krispy Kreme's delivery area likely will limit how many hospitals are within range of the free offer.

Krispy Kreme has been testing food delivery since 2018, and wanted to ensure it could find a delivery service capable of delivering its products fresh from its stores, Krispy Kreme CMO Dave Skena told USA Today. DoorDash last year expanded service by 55% to more than 310,000 stores and restaurants, including about 10,000 McDonald's locations nationwide, per a blog post. That expansion has helped DoorDash to capture 38% of the meal delivery market, ahead of GrubHub's 31%, Uber Eats' 20% and Postmates' 10%, per analytics firm Second Measure. That reach should help Krispy Kreme as it aims to appeal to consumers who prefer to order food for delivery.

Food delivery has become critically important for restaurants to remain competitive. The percentage of U.S. consumers who use food delivery apps grew to 27% of U.S. consumers in January from 21% a year earlier, per Second Measure. Food delivery apps boosted their total sales by 41% last year, with DoorDash grabbing the biggest share of the market last May, the researcher found. About half (54%) of people who use delivery services start with a specific restaurant in mind when they open an app, leaving 46% who are looking for inspiration, per a separate study by restaurant supplier US Foods.