Friday, October 5, 2012

Square Wallet Payments Coming to Starbucks Next Month

Starbucks and Square

Next month, when you run to Starbucks for your java fix, you'll be able to pay with your smartphone using the Square Wallet app.

Starbucks on Thursday announced that beginning in early November it will be accepting payments through Square's mobile payment app, Square Wallet, at approximately 7,000 U.S. Starbucks stores. By next summer, you'll also be able to digitally tip your barista through the Square and Starbucks mobile payment apps.

"Starbucks and Square share a passion for constantly improving the customer experience," Square founder and CEO Jack Dorsey, said in a statement. "This partnership gives millions of Starbucks customers a quick, seamless payment experience and introduces them to hundreds of thousands of small businesses in the Square directory."

Heading out of town and not sure where the nearest Starbucks is located? Not to worry. You can also use the Square directory to locate more than 7,000 U.S. Starbucks stores when you're in need of a pick-me-up.

The companies first announced they were partnering back in August, when Starbucks invested $25 million in Square. Under the deal, Square will also begin processing all of Starbucks's debit and credit card transactions in the U.S. and Starbucks chief Howard Schultz joined the mobile payment company's board.

San Francisco-based Square is best known for its small plastic credit card reader that plugs into the audio jack of a mobile device, letting individuals accept credit card payments on their smartphone or tablet. The company's mobile payment app, available for iPhone and Android, lets customers purchase items with their smartphones at participating retailers.

Also on the mobile payments front, Starbucks this week updated its own iOS app to enable integration with Apple's new wallet-like app in iOS 6, Passbook. The Passbook app acts as a central hub for all your passes and tickets, and thanks to the Starbucks integration, should help iPhone users pay for their latte a little quicker. Now, customers' Starbucks cards will appear on their iPhone's lock screen automatically upon entering a Starbucks store.

For more from Angela, follow her on Twitter @amoscaritolo.

Sophia Bush Danniella Westbrook

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