Starbucks adds digital tipping, shake to pay to iPhone mobile payment app

Starbucks adds digital tipping, shake to pay to iPhone mobile payment app

Summary: With 11 percent of transactions coming from its app, Starbucks is looking to boost engagement and add features like digital tipping in 50 cent, $1 and $2 increments.

TOPICS: CXO, E-Commerce, Mobility

Starbucks said Wednesday that it will revamp its mobile payment app on the iPhone to add digital tipping, a new interface and a shake-to-pay feature.


The features launch March 19.

With 11 percent of transactions happening via its mobile app, Starbucks has used its mobile payment tools as a way to better engage the customer. Starbucks also was among the first companies to add a chief digital officer and split the role from the chief information officer.

Adam Brotman, the chief digital officer at Starbucks who reports directly to CEO Howard Schultz, said the company plans to "expand and improve our digital experience in the months to come."

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For Starbucks, the mobile payment game is simple. Speed up transactions, do more volume and entice more customers to be in its loyalty rewards program. The app is engagement 101. Meanwhile, Starbucks has added features to the app based on customer ideas.

As for digital tipping, which was a customer request, Starbucks customers will be able to tip in 50 cent, $1 and $2 increments.

Starbucks is also adding shake-to-pay, a feature that brings the barcode of a customers Starbucks Card front and center of a phone with a shake.

Other features include new interfaces, a redesigned rewards status screen, the ability to reload card balances and customized eGift options.

Starbucks said the latest app features will be available on Android later this year.


Topics: CXO, E-Commerce, Mobility

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  • Not the right thinking

    You can't have an app for every store when you need to pay for stuff. There are literally millions of stores. Use NFC payments, like Europe does. USA is way behind. Apple is propagating these one-off proprietary hack solutions because they hate using standard technologies like NFC, and there excuses are lame. Use NFC combined with a secure payment app - done.
    Sean Foley
  • Apple Is Going To Get Sued!

    Being that 87% of iPhone users are old folks whom have the shakes, soon there will be thousands of complaints about accidental purchases and tipping much like the in-app purchase fiasco.

    Sean Foley is correct in asserting that NFC would be a more reliable and secure method of payment; however, Apple is so for behind the ever advancing technical curve they may never be able to catch up!
  • Tipping? At Starbucks?

    The stupid tip cup on the drive-through at Starbucks has always annoyed me. Anybody who tips at a Starbucks is a moron if you ask me.

    Would these same people tip at McDonald's or Taco Bell? I'm sure not, but since they're already overpaying for counter-service and drive-through coffee, I guess they figure the cashiers deserve a little something extra to help them lighten their wallets.