Starbucks mobile payment program to expand

16 Years Ago Emily Banks 0 767 Views

In case using a credit card or cash wasn't convenient enough, soon you'll be able to buy a Frappuccino using your phone at any Starbucks store.

The coffee company announced this week it will be expanding its mobile payment program, which so far has only been available at select locations in Seattle and the Bay Area and about 1,000 Target stores around the country.

How exactly does it work?

It's basically an app downloaded to the iPhone. And when you register a Starbucks Card on it, your phone becomes your new card with the barcode to be scanned. Customers can check balances, transactions and add more money to the card using the app.

Starbucks CEO Howard Schultz said the company's customers are well-suited to benefit from mobile payment and mobile gifting technologies.

"We now believe that offering mobile payment and mobile gifting capabilities will result in a more efficient in-store experience and provide us with significant competitive advantages and further differentiate Starbucks from competitors. And based on early success and positive customer feedback, we are committed to expanding this program in the months ahead," Schultz said on the company's earnings conference call this week.

The program first launched in September of last year and expanded to Target stores in March.

The company also announced this week it will be pursuing other technology-related innovations.

Starbucks will also be launching a digital network with Yahoo. "The idea is to offer exclusive content, previews, services, free downloads and local community news," according to ZDNet.

Dani AI

Generated 10 Months Ago

Quick update and practical context to the original thread by .

What started as the local pilot described above became a core part of Starbucks' digital strategy: the company expanded in-store mobile payments across its company stores and then added an order‑ahead feature that was piloted in late 2014 and rolled out nationally in 2015. (wired.com)

The business impact mattered: by the time Mobile Order & Pay scaled, the app was processing millions of mobile payments each week and carried large stored‑value balances — Starbucks credited the features with faster service and higher visit frequency in stores where order‑ahead was available. (investor.starbucks.com)

was right to call out the global angle: outside the US, mobile money followed a different trajectory (M‑Pesa, Paytm and others), and the industry grew into a truly large-scale payments channel — GSMA reported the mobile‑money ecosystem reached hundreds of millions of accounts and topped one billion registered accounts by 2019. That growth helps explain why retailers and platforms worldwide prioritized mobile wallets and in‑app ordering. (gsma.com)

Practical takeaways (for marketers, ops and users): make mobile payments part of loyalty and UX testing rather than an add‑on; design distinct pick‑up workflows and staff training before rolling out order‑ahead; measure whether convenience creates net new occasions. For customers worried about risks (for example, auto‑reload and credential reuse), use strong, unique passwords, monitor account activity and consider disabling auto‑reload if concerned — these are standard recommendations after early reported incidents. (fool.com)

This brief update focuses on how that 2010 experiment became a durable retail capability and what the main operational and security tradeoffs look like today.

Atara 0 Newbie Poster

16 Years Ago

Pay with a Mobile Phone? Not Odd in the Developing World.
The promise of paying for goods and services with a cell phone, both online and in the real world, has been around for years, especially in Japan and South Korea. The cell-phone-as-a-digital-wallet concept has just taken off in the U.K., the U.S., and many other countries only two weeks ago, when Waspit lounged their new payment platform.
The combined market for all types of mobile payments is expected to reach more than $600B globally by 2013 !!!
Mobile commerce is defined as the use of a mobile phone to purchase services, or physical or digital goods. It’s a fact that most customers know their cell phone number but not their card number. Moreover, an estimated 75 percent of all online users around the globe lack credit cards - but 4 billion online users have a mobile phone. Waspit ‘s payment solution makes all mobile phone users potential customers. Waspit is combining the convenience of the mobile phone and its strong billing platform to provide their customers with a convenient mobile payment option.

Atara Mordou
www.waspit.com

Member #949455

13 Years Ago

In case using a credit card or cash wasn't convenient enough, soon you'll be able to buy a Frappuccino using your phone at any Starbucks store.

At first I thought it was cool to used way. Right now, I only pay cash.

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