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Starbucks' Bigger Plans in Mobile Payments

Jul 20 2014, 3:10pm CDT | by , in News | Technology News

Starbucks' Bigger Plans in Mobile Payments
 
 

Starbucks is poised to finally let its customers order their coffees from their phones.


We don’t find it surprising at all why the world’s most famous coffee chain needs to evolve its basic existence according to the growing need of technology inspired comfort and the era of getting things done without mobility. It was long ago when the idea of allowing customers to order their coffees through their phones emerged and now the world famous coffee chain has worked its way towards making it a reality. Side by side, the company continues to improve its successful mobile app and back in March it claimed that more than 14 percent of their purchases were being paid through their mobile app. As confirmed by the company’s Chief Digital Officer Adam Brotman, they are now going to allow customers in one undisclosed geographic test market to start placing pickup orders from the Starbucks app later this year.

And this is not merely going to be an experiment. Instead, the company is fully devoted to launching it as a full time service for its customers. While talking to Re/code, Brotman said “We will do this and we will get it right.” This is the best time to come up with such a solution for the American consumers who are getting used to the idea of apps and the convenience of ordering stuff by merely using their mobile phones and having them brought to them or having to pick them up. Uber and Lyft are the best examples of services being offered to customers and have already become quite famous and another example is Chipotle which enjoys high usage for their order-ahead feature. We can also see the importance of this move by the popularity of the apps from GrubHub, Tapingo and Square which allow people to order food and beverages from a variety of different smaller food and drink establishments.

Purchases made in Starbucks stores with credit or debit cards run through Square’s payments platform, but transactions in Starbucks’ app do not. With so many apps coming up with this service and having the pleasure of satisfied customers, it wasn’t possible for a coffee chain as big as Starbucks to just wait and watch from the sidelines. Customers of the coffee chain had been requesting this app since a very long time and we can imagine how excited they would be at this prospect.

At the moment, Starbucks is only hoping that their efforts will pay our well and they are praying for this feature to work smoothly because if it does then their customers will become even more loyal. What else could one wish for if they are getting their early morning or ‘after-work’ coffee without waiting for hours in the lines. However, the execution of this new feature must be made with great caution and a lot of hard work is to put in. Of course there are going to some risks. For instance, there is a chance of an order being ready and waiting for too long and it will ultimately give a bad taste to the customer. And even Brotman agrees as he says “It’s the most cross-functional team I’ve ever worked on and the most important project I’ve ever worked on.”

 

source: recode

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