As summed up in Kexin’s post “Technology is the Future of Retail Stores”, Starbucks is adding a feature to their popular app that will allow users to pre-order and pre-pay for their drink. I understand that there are many concerns with the added feature; however, by developing adequate accompanying systems and procedures, the added feature will positively impact Starbucks’ brand.
The innnovative Starbucks app allows users to connect their rewards to their phone and use it to pay in stores. The added feature to the app will allow users to pre-pay and pre-order their drinks.
Starbucks has demonstrated its differentiation by allowing users to connect their Starbucks cards to their phones and pay with them in-store. By adding the feature of pre-ordering and pre-paying, Starbucks further differentiates by increasing the speed of service and allowing their customers to skip the long and dreaded line. Although customers ordering through the app may receive their orders quicker, Kexin states that there are concerns over the product’s quality. A part of the Starbucks’ value proposition is the timely preparation of customized specialty drinks; however, with customers ordering through the app, baristas may be unable to accurately prepare the pre-ordered drink in time for the customer. Rather than serving a hot drink, the customer’s drink may be cold and as an effect, the barista may have to remake the drink, leading to an inefficient system. If Starbucks develops efficient in-store systems and procedures, this obstacle may be overcome and the pre-order feature will enhance the customer’s experience. Kexin also expressed how Starbucks may not need to hire as many baristas to take orders; however, I disagree. Although the physical line at Starbucks may be shorter, through the app, Starbucks should receive an equal number of orders, if not more. To maintain Starbucks’ valued service, stores must ensure that both the in-store customers and the pre-order customers are both efficiently served high quality drinks. Starbucks demonstrates the value of technology to improve customer service and differentiate itself from its competitors.
Referred to:
- Kexin Cheng’s blog post “Technology is the future of retail stores”
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