Starbucks mobile payment option open for business in US

Three months after announcing plans to partner up with mobile payment app Square Wallet, Starbucks stores in the US are now open for virtual business.

For consumers, the new payment option is supposed to make purchases easier, quicker and more convenient, as all they have to do is tap their smartphones to pay and scan QR codes to finalize purchases.

For the company, the new partnership is seen as a way to increase average bills and transactions by offering a no-hassle payment option. The app also comes with a built-in Starbucks finder that allows users to find their nearest shop.

After downloading the Square app on their mobile phone, customers set up an account that links to their debit or credit card, eliminating the need to reload. After payment, the digital receipt appears instantly.

One of the innovative security measures used involves photo identification: Each time customers use their phone to make a payment, their photo appears on the merchant's screen to make sure the phone's user and the account holder are the same person.

Meanwhile, following in Starbucks' lead, McDonald’s is also testing out mobile payment options with PayPal in 30 locations in France. The service --  which could augur what’s to come in the chain system-wide -- allows customers to place their order and pay for their meal all on their smartphone.



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