Mobile Payments Make Up 10 Per Cent of Starbucks Revenue

Starbucks is taking nearly 4m payment transactions through its apps each week inside the US, accounting for around 10 per cent of its total US revenue.

The figures were unveiled in a conference call discussing the retailer’s Q2 results, and it was also revealed that Starbucks’ iOS and Android apps exceed 10m active customers.

“We’re witnessing a seismic change in consumer behavior because of the emergence of social and digital platforms and a significance and ubiquity of mobile as a shopper platform, and Starbucks remains at the very cutting edge of all of those developments,” said Starbucks chairman, president and CEO Howard Schultz, speaking at the conference call.

“The revenue and operating leverage provided by the dimensions and synergies among our digital, card loyalty, mobile and social platforms provides us with strong core muscle in our US business and, increasingly, in multiple channels in markets around the globe.”

The selection of mobile payments has jumped considerably from around 3m the last time Starbucks shared these figures, just over a month ago at its AGM, when chief digital officer Adam Brotman predicted that “about 10 per cent of all tender in US stores may be mobile payments by the tip of this year” – a milestone it sounds as if to have hit far prior to schedule.