Wednesday, January 19, 2011

Starbucks Rolls Out Mobile Payments at 7500 Locations

Starbucks is launching its mobile payment system nationwide, to 6,800 of owned stores, plus more than 1,000 outlets inside Target stores. The Starbucks mobile payment system will work initially on iPhones, BlackBerries and iPod "Touch" devices, with an Android version in the works.

To use the system, Starbucks cardholders load an application onto their iPhone or BlackBerry smartphones. The application displays a barcode that's scanned at the register to pay for drinks. Users can also manage Starbucks accounts and find nearby stores with the application.

One in five Starbucks transactions is now made with the store cards, and mobile payments "will extend the way our customers experience and use their Starbucks Card," says Brady Brewer, vice president of card and brand loyalty. 

Customers apparently like using Starbucks Cards. They loaded more than $1.5 billion onto the cards last year, up 21 percent over 2009.

Starbucks said more than a third of its U.S. customers use the devices, and nearly three fourths of the smartphone-toting Starbucks customers have either an iPhone or a BlackBerry.

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