Starbucks Says Mobile Transactions Are As Hot As Coffee

Starbucks is brewing more than just the most popular coffee in most neighborhoods. It’s also percolating mobile payments to a highly successful degree. Almost one year ago, Starbucks introduced the nation’s largest mobile payment program with the goal of offering a truly innovative mobile experience for customers worldwide. Since the launch of mobile payment in …   Read More

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Starbucks is brewing more than just the most popular coffee in most neighborhoods. It’s also percolating mobile payments to a highly successful degree.

Almost one year ago, Starbucks introduced the nation’s largest mobile payment program with the goal of offering a truly innovative mobile experience for customers worldwide.

Since the launch of mobile payment in January, there have been 26 million mobile transactions to date. In the first 9 weeks of the program, there were 3 million transactions and in comparison for the 9 week period starting in October, there were 6 million transactions, demonstrating a significant jump in customer adoption and use.

According to new details presented by the coffee giant on Wednesday, the momentum of these mobile efforts has continued as the company heads into its first mobile holiday season.

“During 2011, Starbucks expanded its mobile payment program to give customers access to the fastest way to pay at more than 9,000 U.S. locations, introduced the Starbucks for Android app, rolled out the Starbucks Card eGift feature, started international expansion and developed the Starbucks Cup Magic app to share augmented reality experiences in its stores and beyond,” the company reminded us in a press release today.

“2011 was a year of great mobile exploration and expansion for Starbucks and an opportunity to give our customers a new way to connect with Starbucks through a variety of mobile experiences,” said Adam Brotman, SVP and GM of Starbucks Digital Ventures. “The customer response to our mobile apps has been phenomenal. Not only are they using their phone as a wallet, but as a connection point to Starbucks as they manage their Starbucks Card accounts, send eGifts and get into the holiday spirit with the Starbucks Cup Magic app.”

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2 comments

  1. Quentin Aisbett

    You have to give it to Starbucks…They're consistently one step ahead and they're getting results because of it.

    Whilst I understand J.G. concerns about Starbucks linking their mobile commerce ability with their mobile app, you can hardly blame them can you? They're the ones sticking their necks out.

  2. J.G.

    Starbucks' mobile payments program has been a great success for the company, but is it really all that consumer-friendly? After all, customers can only link their phones to a Starbucks prepaid card and then use the service only at Starbucks stores. What would happen if every retailer took the same approach?

    I mean, would we want in the not-too-distant future to be using a separate app for each retailer and provide them personal information over and over again? Wouldn't it be far safer and more convenient to have one or two mobile payments accounts with providers of our choosing and use whatever payment method (credit cards, debit cards bank accounts, etc.) we may feel like? http://blog.unibulmerchantservices.com/why-starbu

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