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TIM HORTONS ROLLS BACK ROLL UP THE RIM PRIZE POOL AS IT MAKES SWEEPING CHANGES TO CONTEST IN DIGITAL SHIFT PAPER-CUP VERSION TO LAST FOR ONLY TWO WEEKS OF MONTH-LONG PROGRAM, VALUE OF PRIZES HAS BEEN CUT BY MORE THAN HALF Tim Hortons is trying to make the digital version of the Roll Up the Rim promotion more appealing, offering more chances to play if you use the app.Brent Lewin/Bloomberg files

Jake Edmiston

February 19, 2020

6:26 PM EST

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Tim Hortons rolls back Roll Up the Rim prize pool as it makes sweeping changes to contest in digital shift

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IN SALES

DOUBLE, DOUBLE AND DOUGHNUTS: TIM HORTONS SEEKS RETURN TO ITS ROOTS

AMID SALES SLUMP

A CUP HALF EMPTY: TIM HORTONS’ STRUGGLE TO STAY RELEVANT TO A NEW GENERATION OF CANADIANS Tim Hortons announced sweeping changes to its Roll Up the Rim to Win promotion on Wednesday, shifting toward a digital version of the iconic contest that offers more chances to play, but fewer prizes. The shift comes after last year’s contest failed to inject the sales boost that the coffee chain had come to expect from its signature annual promotion. At the time, Tim’s parent company, Restaurant Brands International Inc., signalled that the 35-year-old contest needed to be modernized. The new version of Roll Up the Rim, starting March 11 will look like the old one in some ways. Customers will still get to roll up the rim on a paper cup to see if they’ve won a prize — but only for two weeks of the month-long program. After that, it will be available exclusively on the Tims mobile app, where customers can “roll up” a digitized rim on a digitized cup. * Tim Hortons overhauls loyalty program after giveaways put a big

hole in sales

* As Tim Hortons vows changes to Roll Up the Rim, contest’s inventor has some thoughts * Double, double and doughnuts: Tim Hortons seeks return to its roots amid sales slump Tim Hortons is trying to make the digital version more appealing, offering more chances to play if you use the app. A customer playing just on the cup only gets one chance to roll up the rim. But a customer who is also registered on the app gets to play on the cup as well as on the app. A customer using a reusable cup — including one of the 1.8 million Tims-branded reusable cups to be handed out next month — gets three roll-ups on the app per purchase. And while customers using the app will get more chances, the value of the pool of prizes has been cut by more than half, to roughly $29.9 million from 2019’s total retail value of $71.3 million. Story continues below This advertisement has not loaded yet, but your article continues below. The odds of winning on each paper cup are also worse. Last year contestants had a 1 in 6 chance of winning a coffee or food prize. This year it’s 1 in 9. But Tims says that if the number of digital plays meets expectations, the overall odds — including digital roll-ups — will actually be better. A Roll Up the Rim contest cup in 2010. David Bloom/Edmonton Sun/QMI Agency files In 2019, Roll Up offered more than 43 million coffee and food prizes. This year, it’s offering 17 million. Last year, there were 40 car giveaways and 50,000 Tim Hortons gift cards worth $50 each. Now there are 10 cars and 45,000 gift cards worth $25 each. This year, however, Tims is retiring the familiar losing refrain “please play again”: Instead, each cup that doesn’t win prize can be entered into one of four draws for $100,000. Tims said the drop is partly because the new Tims loyalty program will be running at the same time as Roll Up, offering customers a range of regular giveaways, including a free coffee or baked good after every seventh purchase. This year’s contest is also two weeks shorter than

last year.

> Roll Up is now over and above. It's on top of (the loyalty program). > So we think that obviously changes the game a little bit

>

> Hope Bagozzi, chief marketing officer Roll Up is now an “added bonus,” said Hope Bagozzi, a McDonald’s veteran who joined the chain as chief marketing officer last month. “It’s a new world. Last year we didn’t have a loyalty program. This year we have loyalty,” she said. “Roll Up is now over and above. It’s on top of that. So we think that obviously changes the game a little bit.” The move comes amid a broader push at Tims to get customers to use its app. Last week, Tims announced it was also changing its popular loyalty program to a points-based program as a way to incentivize members to register their cards online. Tims has been looking to start driving sales with the loyalty program, which until now has handed out millions in giveaways — which were a major factor weighing down Tims sales in its last quarter. The objective behind the push toward the app is to give Tims a better way to track consumer habits and advertise directly to each customer. Roll Up the Rim, which typically starts this month, is late this year because Tims wanted to give customers time to fully understand the changes to the loyalty program before announcing changes to the

promotion.

_Financial Post_

_• Email: jedmiston@nationalpost.com | Twitter: _

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_ Gabriel X. Smith _ 16 hrs ago Just look at the state of their washrooms!! The answer to ''what's happened to Tim Hortons'' is there.

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_ Charles Eastbourne _ 16 hrs ago Not sure that a heavily digital strategy aligns very well with the Tim’s core demographic. I’ll be curious to see how this turns out. Maybe Tim’s would do better to address their quality issues. Once you’ve had a Kristina Kreme donut it’s impossible to go back to Tim’s dismal offering. edited

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_ Steve YYZ _ 22 hrs ago Tim Hortons? Gosh, they're going to become the next Bombardier. Selling off bits and pieces to survive.... lowering quality.... expecting to ride on reputation and not innovation and quality. Yup, from good coffee to urine, flushed away one cup at a time!

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_ adam jab _ 23 hrs ago Yes TIM is in decline yet the stock price does not reflect it. Since Burger King bought Tim's in 2014 the stock price today is about 60% higher than it was. I was going to suggest a Canadian brand do a hostile takeover but with this bs its a no go.

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_ Peter Mason _ 1 day ago American owners are going to kill Tim Horton's once and for all. First chemical (plant?) based food, loose the best coffee supplier, fight with the franchisee owners, failed free coffee program, and now fiddle with a Tim Horton's tradition in 'roll up the rim'. No wonder business

is down.

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_ Charles Eastbourne _ 16 hrs ago Reply to And that’s a big part of the problem. The new owners have the rich Brazilian attitude - I’m rich, I get to do anything I want and you, the poor peons just do what you’re told.

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_ Peter Mason _ 15 hrs ago Reply to 3G Capital (Brazilian and American owners) owns RBI (Restaurant Brands International) which is a Canadian company which owns Burger King and Popeyes besides Tim Hortons. I believe these latter three companies have been merged but kept as autonomous divisions. edited

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