Starbucks letting customers pay with cell phones

By Dow Jones Newswires
Posted Jan. 19 at 6:24 a.m.

Starbucks Corp. will allow customers at U.S. company-operated stores to use some smartphones to pay for their purchases in an effort to drive sales.

Customers with Research in Motion Ltd.’s BlackBerry or Apple Inc.’s iPhone or iPod touch will be able to pay using a Starbuck card mobile app at nearly 6,800 company-operated stores and 1,000 Starbucks in U.S. Target Corp. locations.

The introduction builds on test programs that included Seattle, Northern California and New York. The company said its Starbucks card platform saw growth of 21% last year, partly driven by its rewards program.

Starbucks in November reported that fiscal fourth-quarter profit surged 86 percent as worldwide same-store sales rebounded for the fourth consecutive quarter, with the coffee giant reporting balanced growth in the U.S. and abroad.

Shares closed Tuesday at $33 and were inactive premarket. The stock is up 40 percent in the past year.

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8 comments:

  1. Steve Jan. 19 at 7:40 a.m.

    Our imaginary cafe doesn’t charge for anything. Check out the online serialized novella, The Deadline Cafe, at
    http://evanston.patch.com/articles/the-deadline-cafe-episode-1

  2. Donny Jan. 19 at 9:40 a.m.

    I understand that one of the future developments in cellphones will be the ability to pay for anything with your cellphone. You will carry a balance, like a debit card in your phone and be able to make and receive payments from phone to phone. Cellphones are now so completely integrated into society that they are now indispensable.

  3. timo Jan. 19 at 10:38 a.m.

    Starbucks gets more bang for its buck when it bundles consumer messaging with its new mobile card payment app: messaging and dialog with all customers, directly to their mobile phones–no check-ins, no click-throughs, no distractions. Only with Social Messaging(TM); only from PoKos!

  4. Jefferson Jan. 19 at 3:17 pm

    Good news. Now the “time crunched” yuppie transplants have another reason to complain about how time crunched they are. Have a seat and use the bus tracker “app” on your toy phone. It is too cold outside to wait.

  5. Ford Prefect Jan. 19 at 3:23 pm

    Good one, Jefferson. I know you – you are just a jealous, yuppie transplant who can’t afford an iPhone and has to (gas?) stand in line to buy your Seattle’s Best…

  6. Larry Jan. 19 at 3:58 pm

    This is so great. Before I used to have to pull my credit/debit card out of my pocket and pay for my coffee. What a hassle! Now all I have to do is pull my I-Phone out of my pocket and pay for my coffee. What a time saver!

  7. Jefferson Jan. 19 at 4:13 pm

    Good one, Jefferson. I know you – you are just a jealous, yuppie transplant who can’t afford an iPhone and has to (gas?) stand in line to buy your Seattle’s Best

    Seattle’s Best is owned by Starbucks. Nice try.

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