Technically... the coffee chain reports earnings tomorrow. But we thought this storyline was more interesting: Starbucks wants to turn its app brilliance into a monetized revenue stream. It just invested in tech startup Brightloom with plans to build a software service that covers all the back-end mobile needs of a restaurant.
"Waiter, we'll take it all to-go"... That's the idea for Starbucks — mix together all the core elements of a successful mobile app into a single product, then serve that up to other chains through Brightloom. Here's what the service could include (and who it could replace):
- Loyalty program: LevelUp is the app currently handling your fast-casual loyalty points with some chains, including Just Salad and Pokéworks.
- Mobile payments: Square is the preferred payment enabler of your local fancy-bean coffee shop.
- Customer relationship management: Salesforce is the global giant of CRM software so your go-to spot knows your "the usual" order.
Quote the Joker on this one... “If you’re good at something, don’t do it for free." Starbucks' app has become your best friend's true best friend — 17M Americans are using it, and 40% of Starbucks' US sales happen through it. Starbucks could make money off this venti-sized opportunity — 69% of US restaurants don't even accept mobile payments currently. An app though is crucial for speeding up the line, incentivizing loyalty, and learning more about customers.