Since January, over three million coffee lovers have used smartphone applications to process their payments in Starbucks locations throughout the United States.
The Starbucks Card Mobile app displays a barcode on the screen that thirsty masses can scan at the mobile check-out. The initiative was first put into test in September 2009 and proved the fastest way to pay for those in need of a caffeine fix.
The system is now available in some 6,800 stores across the US, which makes the coffee colossus the biggest mobile payment network nationwide, according to company Vice President Brady Brewer.
Starbucks Posts Highest Results Ever in Q1 2011
Starbucks posted their highest-ever results in the first quarter of 2011, with over 20% of all transactions now processed through the mobile payment system. With 29 million fans on Facebook, the beans behemoth is among the most popular brands online, and the company intends to expand its digital and social media strategy well beyond Starbucks Card Mobile.
The popularity of the brand on social media sites helped launch Starbucks’ instant coffee brand, VIA, which generated around $194 million in sales in its first year.
Key Players – Mobile Payment Industry
- Google, Paypal, eBay, Apple, Starbucks, Facebook and Twitter are some of the leading companies showing the potential of the mobile payment market.
Key Statistics – Worldwide Mobile Payments (source: mopay)
- Mobile payments of small amounts between $2.50 and $10.00 are the most common.
- In 2010, around 60% of mobile payment consumers were repeat buyers, often spending up to $50.00 a month.