Starbucks has announced it invests into mobile payments start-up Square to make payment experience for customers even better.
Visitors will be able to use Pay with Square, Square’s payer application at U.S. Starbucks stores later this fall, and find nearby Starbucks locations and learn more about local Square businesses within Square Directory. Square will also process Starbucks credit and debit card transactions.
The new partnership will provide customers with a possibility to pay quickly and seamlessly at approximately 7,000 Starbucks stores. Starbucks will invest $25 million in Square as part of the company’s Series D financing round.
«As the largest retail mobile payment platform in the U.S., we’re excited and proud to accept payments with Square,» said Howard Schultz, Starbucks chairman, president and CEO who will join Square’s Board of Directors. «The evolving social and digital media platforms and highly innovative and relevant payment capabilities are causing seismic changes in consumer behavior and creating equally disruptive opportunities for business. Both Starbucks and Square take a similar approach when building products and running our businesses, and together we can bring the best possible payment experience to Starbucks customers.»
Customers can download the free Pay with Square application and set up an account on their iPhone or Android device.
According to Square, more than two-thirds of the 27 million small businesses in the U.S. currently do not accept credit or debit cards because they associate the payment processing with big expenses but Square make it possible for merchants of any size to accept credit and debit cards.
In June, Starbucks opened its first tea store in Seattlle.