Accelerating Starbucks Mobile Payment Leadership
In a joint presentation today, Schultz and Dorsey announced that Starbucks customers will be able to begin using Square’s mobile payment application, Square Wallet, in early November at Starbucks approximately 7,000 U.S. company-operated locations. Starbucks also announced that it will enable digital tipping at its U.S. company-operated stores through both the Square and Starbucks mobile payment applications in the summer of 2013.
“Starbucks and Square share a passion for constantly improving the customer experience,” said Dorsey. “This partnership gives millions of Starbucks customers a quick, seamless payment experience and introduces them to hundreds of thousands of small businesses in the Square directory.”
Additionally, the official Starbucks mobile app is now even easier for customers with an iPhone or iPod touch. Today, Starbucks announced that Starbucks Card integrates Passbook functionality. From the Starbucks app, iPhone and iPod touch users simply need to tap “add to Passbook” once, and just swipe their Starbucks pass in Passbook to pay at a Starbucks store. Passbook is time and location enabled, so the Starbucks Card will show on the device’s Lock screen automatically as soon as a customer enters their favorite Starbucks store.
In early August, Square and Starbucks announced a groundbreaking partnership that will enhance the payment experience for millions of Starbucks customers while helping stimulate small business growth. With more than 70 million mobile payment transactions since Starbucks launched its mobile payment app in January 2011, the company has quickly emerged as the nation’s largest mobile payment platform. In August, the companies also announced that Square will process Starbucks U.S. credit and debit card transactions, which will significantly expand Square’s scale and accelerate the benefits to businesses on the Square platform, especially small businesses, while reducing Starbucks payment processing costs.
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