Friday, January 21, 2011

The Starbucks Way


Starbucks has just announced the launch of mobile payment in all U.S. Company operated stores, allowing customers to pay for in-store purchases with select smartphones (Blackberry, IPhone and IPod Touch). This is the largest mobile payment program in the US and, according to Starbucks, the fastest way to pay there. To do that, you only need to download a free Starbucks application on your smartphone; that is if you are among the 75% of Starbucks costumers who have a smartphone. Then you can pay with your smartphone by holding it in front of a scanner on the countertop and scan the Starbucks Card Mobile Application on-screen barcode to make the payment.

 

Even if the idea seems attractive, I don’t see how this new application would be faster or easier than just paying with cash or a debit card. Those customers will still have to wait in the line, order their drinks and then scan the bar code appearing on their smartphone. Also what if there are some problems with the Internet connection or the phone itself? This doesn’t seem to be a very reliable way of payment… If you think about it, how many times has your phone failed you? Also you need to consider all the issues regarding personal information privacy. You don’t know for sure where all the information entered on your phone application can go and how easy it can be obtained from other people. All this considered; I doubt that this new application will be useful, even for the Starbucks advocates.

2 comments:

  1. Clotilde, I could not agree more strongly. This new technology is beautiful in concept, but lagging in execution. Perhaps it would be different if the new system allowed for you to place the order and pay ahead of time to avoid the wait...I don't see how saving just a few moments during the purchase will really alleviate the pressure of long lines.

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  2. Like you rightly pointed out Clotilde, Security is definitely one of the biggest issues associated with this system. One slip in the security and all your personal information is out in the open for everyone to use. In my opinion we need to wait until engineers have come up with a fail proof channel to share such information before we start using out smart-phones as mobile banks.

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