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Starbucks: my success is not coffee itself. don't underestimate technology.

Published: 2026-08-23 Author: World Gafei

Last Updated: 2026/08/23, Investing in technology, rather than just producing a few ads, is an important factor in Starbucks' ability to constantly cater to changing consumer behavior, says Howard Schultz, CEO of Starbucks. In fact, this passage actually reveals how Starbucks reversed this trend and turned mobile payments into an important source of profit during the economic downturn: at present, Starbucks (US) stores

"investing in technology, rather than just producing a few ads, is an important factor in Starbucks' ability to constantly cater to changes in consumer behavior," said Howard Schultz, CEO of Starbucks.

In fact, this passage actually reveals how Starbucks reversed this trend and turned mobile payments into an important source of profit during the economic downturn: currently, 20 per cent of sales in Starbucks (US) stores are mobile payments. there are more than 9 million transactions a week.

"I mentioned two years ago that there has been a fundamental change in consumer behavior, which will have a huge impact on the brick-and-mortar industry," Schultz told analysts on July 23. "since then, the solution of traditional retailers is very simple. They have raised their advertising budgets, but all this has only increased their cost of getting customers, and has not brought anything useful to customers. But Starbucks thinks differently. "

You've already seen the change this quarter: from April to July, year-on-year sales rose 7%, and consumer visits rose 3%.

Analysis of "Retail Weekly observation"

In fact, Starbucks owes its success to its membership programs: in the United States alone, the number of active users on Starbucks mobile grew 28% year-on-year to 10.4 million.

"membership programs are our most important booster, because new customers joining membership programs bring not only short-term revenue and profits, but also loyalty in the long run." Schultz said.

New business opportunities for cooperation between different industries

In fact, Starbucks not only wants to make money from online channels, but is currently working with a number of companies to expand the number and sources of customers through non-industrial cooperation, including the New York Times, music provider Spotify and taxi-hailing app Lyft.

Starbucks' main idea is to work with these companies to increase the frequency of its membership programs and turn Starbucks' brick-and-mortar stores into the only place where customers can enjoy these services-whether reading newspapers or listening to music. "there is more in the future," Schultz promised.

In fact, customers who use these services can get 'Starbucks Stars' points, which they can exchange for physical objects or drinks. "in this way, customers can enjoy a variety of services in one stop, which can not only improve Starbucks' performance, but also turn coming to Starbucks into a daily ceremony.

According to the results, Starbucks' sales rose 18% year-on-year to $4.9 billion in the quarter. (Union Merchant Network Wang Ziwei)

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