Almost one in eight customers pays with a Starbucks card

"The card has exceeded our expectations, absolutely," says Sandra Stark, Starbucks' director of marketing program management. "We had no idea that we would reach 12 percent of tender." Jeff Phillips, a salesman who's used his Starbucks card regularly for years, wonders why the company doesn't offer card holders more perks (beyond the occasional $5 or $10 added to the card), like a free latte for every 10 purchased (or even a drip coffee). My wish: That someone come up with a receipt machine that instantly spits out the card balance. The box that's currently used is pretty sluggish. (Read the Associated Press story)

Comments

[LG]

It's not the receipt printer that's slow - it's the system. We have problems with the system all the time. The registers go offline and then balances can't be accessed. After we swipe your card, we're waiting for the register to do something - ANYTHING - and most of us have our hands over the printer because we're waiting on the register.

[STARBUCKS GOSSIP webmaster]

System, printer...whatever. My bank ATM spits out a receipt faster than the Starbucks system. Seems like something that could be improved.

[fiat lux]

The only problem with the cards is that you can't add a barista tip to your purchase, which means the baristas either go untipped or the buyer has to dig out some cash (which defeats the purpose of using a card in the first place).

[LG]

The Starbucks cards have unique 16 digit numbers, like a credit card. When it swipes, I'm guessing it acts just like a credit card, having to dial into the main system, get batch codes and approval codes and whatnot, then the main system sends it back to the store, and then the receipt prints out. I think, considering how long credit card swipes take at Old Navy or the grocery store or whatever, the Starbucks card does alright. It's about the same speed.

The ATM isn't an apt comparison. First of all, the ATM holds your card and has your access code off the bat. Then you make choices from within that connection. Then, at the end, it prints out a receipt. We only swipe your card at the end, and so all the electronic communication takes place then, not while you're ordering. Honestly, unless it's taking longer than 30 seconds from the time of the swipe, I think you just need to be patient.

[Todd]

Just curious... I've never tipped a barista. Is it common to tip them? I never tip anyone at a fast food place either and I equate the barista along the same lines. I'm sure I'll get flamed for this but I am just wondering. Maybe I should be tipping?

[STARBUCKS GOSSIP webmaster]

TODD -- There are hundreds and hundreds of posts regarding tipping in another area of the STARBUCKS GOSSIP site. I'd like to keep this area focused on Starbucks cards.

Here's the tipping debate (part two).

[James the Barista]

They should really have figure out a way to have people tip a barista with any kind of card (Credit, Debit and Starbucks) without slowing down the line. Then again, that would make no sense because well tips are cash. Another suggestion would to add these tips to our paychecks. Not sure, sorry back to the cards. Its true more then 1 in 8 pay in Starbucks Cards, Most people use their Credit card, then Cash, then Starbucks cards, then Checks and then Travlers (we take them, but don't do it unless you truly are fro ma different country)

[maddie]

Two things-
The receipt printing takes just as long for a starbucks card as it does for a credit card- I've really never had any store anywhere print off receipts faster- they're all around 5-8 seconds.

While it would be nice to have a tip function available with cards- nothing drives me more crazy than fast-foodish places with tip lines on the receipt (Taco Del Mar, etc.). If I don't leave a tip- there's a glaring reminder of the fact that maybe I should. We have lots of people who use cards just leave whatever change they have or sporadically leave a dollar every couple of times they're in.

[chocolate city angrybarista]

"Just curious... I've never tipped a barista."

me either.

[Bubba]

Does barista-tipping really go on? My city slicker cousins always ask me about that. "Bubba," they say, "someone told me that you country kids like to get drunk and go out to the farms and find a pasture full of baristas. He said baristas sleep standing up, and it's fun to just tip them a little bit and make them fall over. This sounds unlikely to me, but how do I really know? Bubba, tell me the truth."

Heh-heh. Bubba will never reveal the truth.

[Becca]

Webmaster, you're on your computer all the time, check your bloody balance online.
As per tipping with cards, our district allows a max of 10$ cashback. A lot of customers ask us to add a dollar to the total for ourselves.

[RjD]

Why use a Starbucks card? You don't get any perks like discounts or the above mentioned buy 10 get one free idea. One can pay with cash or credit cards, who doesn't have those. I guess the best use is if you have no cash and the credit card is max'ed, in which case maybe you shouldn't be buying an expensive coffee. That said, everyone in our family of 5 has a Starbucks card. Tipping? I have to take my card from my wallet so grabbing a buck or two is no big deal.

[Panatone]

What the world needs is quicker people connection and NOT machine connection.

Ponder that folks the next time your drip coffee is a tad bit delayed and your Starbucks card is taking forever to get an approval. Yes that's right...an approval. Prove to us you have enough money on your card that YOU bought and that YOU take the risk of using. Don't like waiting for a receipt? Pay cash. EXACT CHANGE. Or better yet, keep track of your balance and don’t ask for a receipt. Geee wiz problem solved! "May I help the next person that needs a great idea or a wonderfully handcrafted beverage?"

LG, very well said. People complain about having an extra 10 seconds added on to their transaction. Big deal. 10 seconds! Why not converse with the barista and wish THEM a happy day instead of a one way transaction and conversation from the barista (which it usually is anyway) as you stare off into space counting those 10 l o n g seconds. People forget that while you can expect terrific customer service that your are entitled to because of your payment that does not give you the right to turn off the “nice” switch yourself.

Now back on point…The Starbucks card is one of the best things that has happened to Starbucks. It’s too bad that customers and web masters can find a way to even complain about that too! “I waited 9.6 seconds for my receipt. That’s just ruined my day!!!! I WANT, no DEMAND a service recovery coupon!

No wonder so many of these baristas complain about customers!

[JW]

I know I sound crazy, but I haven't even heard of the Starbucks Card until just now. But then again before I moved to St. Louis in January, Huntsville, Alabama was just getting a Starbucks.

[newbarista]

Ummm...I dont know about you guys...but a receipt automatically spits out when a stbx card is used...and our receipts come out ever so quickly...nothing slow...

And for the tipping...try working at a store where we do 100+ customers...and tips are (on a good week) 40 cents an hour.

[New Asst Mgr.]

No to change the subject... Can anyone tell me what is involved in the background check that is required at Starbucks for employment? I applied for an assistant manager position and I was offered the job, but they told me that they did not have my background check completed yet. This was over a week ago and I still have not been sent an acceptance letter from Starbucks.

[Boston Starbucks Rebel]

Just what we need another external RMT. Can't Starbucks hire from within the company. That just plain annoys me.
I suppose a person could give you his Starbucks Card before finishing the transaction and then ring up the order hit total and then hit confirm. While the order is being rung up, the register queries the network in the background. That might be faster and then people don't go up, opppps I don't have enough money.
People who tip, I do give PREFERENTIAL treatment. Their drink(s) are placed to the front of the line. Tips stands for to insure promptness and thats what theyget.

[Deusx]

Not only that, but an external hire that comes to a fricking gossip weblog that has no real connection to the company to ask about hiring practices that technically shouldn't be discussed on this site because that would be considered "sensitive company practices".

Congrads on the job, I hope to god you aren't in the district I deal with.

[evolusion]

This is what is stopping me from getting all that excited about the cards, which have very recently launched here in the UK. What is the benefit of them to me?

We have loyalty cards at all the major supermarkets. The supermarkets get valuable information on individual buying habits and in return give out points which can be redeemed against purchases etc. The Starbucks card gives all the same benefits to them as the supermarket loyalty cards, and more, since you're giving them money long before making a purchase, while giving very little back to the customer.

A free latte for every ten purchased might be a bit much to be cost effective, but even something as simple as a free upgrade from tall to grande or grande to venti every ten purchases would mean that I would make sure to use my card every time.

[NYC Angry barista]

the company adds random 5-10 dollar reloads to the cards that are registered on occasion. im not sure what you people want...do we have to give you something free everytime you walk in the door?

get a duetto card if you want benefits...

[Jill]

I always "reload" my card at my local Sbux because I want the store to get the sale credit instead of reloading it online at starbucks.com.

Is it better to reload online? Are there additional advantages (besides possibly receiving a random $5 reload)?

[barockstar]

the store does not see the deposit, only the credit from cards.
(so if i sell $500 in cards, i don't see that as a sale, only when they redeem the card does it count as a sale)

the cards are awesome, they speed up service; and when the new tills & back systems came around the receipt time was minimalized to seconds...
so webmaster, it's possible that the store that frustrates you so doesn't have the upgrades yet, since it used to take up to 30s before, now less than 10s...

also, stop picking on externals!
if you were good enough, they'd promote you - so if you're not promoted - you're not good enough!
(we were all externals once, remember)

they have perks for registered card users - doesn't anyone remember the sweepstakes that you could win a trip for 4 to any starbucks in the world? (or take $20 000US) or the vespa and trip to italy?
we don't discount our coffees, so you'll never see a 'buy 10 get 1 free' ever. although the money added should be more regular.

[RjD]

the company adds random 5-10 dollar reloads to the cards that are registered on occasion. I'm not sure what you people want...do we have to give you something free every time you walk in the door?

get a duetto card if you want benefits...

Posted by: NYC Angry barista | Dec 4, 2006 11:05:24 AM
------------------------------------
Don't get so uppity Angry, you don't get paid for work that you will do, only work that you HAVE done. My me carrying a balance on the SBUX card is free cash for the company that gets figured into their bottom line somehow. Other than convenience or showing off my card to friends, there is not real reason to have one. The longer I leave a balance the more money I lose, so an occasional free something would dull that pain. Sure, no one makes me get or use the card but it's an odd system. Oh and yes, I do expect something free every time I walk through the door - a friendly, cheerful attitude and at least a few seconds of someone showing an appreciation for me spending money at *$.

[JustABarista]

I think part of the reason Starbucks pushes the Starbucks Card is that some people reload them with cash. When they have the SBUX card on them and don't have cash, they'll reach for that instead of a credit card, which takes a percentage of every transation. If they could find a way to get more people to load them with cash, they'd have a winner.

[DrKoob]

This is coming from a dedicated Starbucks customer who has three cards (one a recent gift, Ichiro for summer and Ray Charles for winter). The best thing for the company when it comes to the cards is loyalty.

I love the convenience but living in Seattle, there is a coffee place on every corner. And the card keeps me loyal. If I am driving or walking around the fact that I have prepaid coffee in my pocket keeps me stopping at Starbucks and not Tully's or a local place.

[chocolate city angrybarista]

"Oh and yes, I do expect something free every time I walk through the door - a friendly, cheerful attitude and at least a few seconds of someone showing an appreciation for me spending money at *$."

We could mark your cup "Customer With A Sense of Entitlement".

[Chi-towns best/angriest barista]

choclate city: i would like to argue with you and say that customers do deserve to be treated nicely and with friendly service, but then i remember that i deserve to be treated as a fellow human being by these same people who feel entitled to treat me like lowly scum instead of respecting me. yes, i have a crummy job, youcertainly trump me on the social scale, but that doesn't make me less of a person. so i'll stand by your comment.

[chocolate city angrybarista]

Thanks!!!

[greencoffee]

i was wondering - do starbucks employees recycle the cards? i get a new one all the time- as a gift mostly - and i always feel guilty when i hand them over to the cashier for disposal. with all those customers using cards, and with starbucks reputation as socially aware, is there a recycling program that I don't know about?

[barockstar]

no.
but you can reload them.

we have to dispose of them to protect your privacy. if it's a registered card it does have personal information attached to it.

so if you want to be socially aware, then you should stop throwing them away, and just stick to one at a time...

[greencoffee]

Thanks Barock- but I don't throw them away. However, I have WAY too many of them because I get them as gifts (from people at work, family, friends, etc). So, it would be nice if I knew that they were being disposed of in a responsible way.

How many Starbucks customers buy them for themselves, or load up the cards for themselves vs use them because they receive them from someone else? who are these people who put money on a card when it exchanges the same as cash and there are no benefits to using a card vs credit card or cash?

[CFLsbuxfan]

I agree...I would LOVE to know why customers use Starbucks Cards instead of other forms of currency. This thread is getting at that somewhat...but [webmaster] maybe can we start a new thread of an offshoot to focus on this topic? I'm curious mostly from a customer standpoint, but if any baristas have some ideas, I'd love to hear from you too.

What would make a customer use a Starbucks Card, positioned as a "gift card" as a typical form of payment?

What encourages customers to reload the card and use it more than once? I've done this myself and never really thought about why.

Thanks for your thoughts!

[CFLsbuxfan]

I agree...I would LOVE to know why customers use Starbucks Cards instead of other forms of currency. This thread is getting at that somewhat...but [webmaster] maybe can we start a new thread of an offshoot to focus on this topic? I'm curious mostly from a customer standpoint, but if any baristas have some ideas, I'd love to hear from you too.

What would make a customer use a Starbucks Card, positioned as a "gift card" as a typical form of payment?

What encourages customers to reload the card and use it more than once? I've done this myself and never really thought about why.

Thanks for your thoughts!

[Lunaris]

I've had the same Starbuck's card for over a year; I refill it every other Wednesday when i get paid. Why?

1. I won't have to balance 28 $2 and $5 dips from my debit card every month, just two for about $25.

2. If I've blown all my cash the night before, or the bank account is thin, I will still always have my fix in the morning.

[Becca]

I've had a card for a long time.. I got mine in 2002, long before I started working for the company, and I have been loading it since for the reason that Lunaris mentioned. No matter how empty my wallet is, I can get a drink without having to make small debit/credit card purchases.

Also, I have a group of customers who go for a run every morning and then come straight to the store, they love having to just bring a little plastic card, rather than money while they run.

[STARBUCKS GOSSIP webmaster]

Why a card? Well, on more than once occasion I've driven up to the Starbucks, opened my wallet and noticed it's empty. But then I realize I have my card with money loaded in it.

[Drinker]

Boson is right, there is no reason for the register to wait until funds are authorized to spit out a receipt. It's the Starbucks way.

The Starbucks way (from the outside) is that the ordering, paying and receiving are totally seprated. In other words, sometimes you order before you reach the register, sometimes you collect before you pay, sometimes you collect after you pay, sometimes you collect after you pay. (For more on this see "Starbucks Does Not Use Two Phase Commit" at

http://www.enterpriseintegrationpatterns.com/ramblings/18_starbucks.html

)

So anyway, in event the net is down or slow, it should just assume the transaction will clear and spit out the receipt while checking in the background (as Boston suggests). If for some reason it does not clear then a loud beep goes off and you don't give the person the drink (which probably isn't ready yet anyway) or ask them to pay through alternate means (like just whip out the credit card, which is what I always do, don't even have to sign).

[tv bracket]

Me too. Never tip a barrista. I don't think it is common for such an efficient service line. I prefer to use starbucks card to keep track my starbuck spending.

[david]

I use my starbuck's card for every purchase and love when I can get free lattes at the end of the month. I recently gave the cashier my card and she had told me about a recent perk, that if she swipes the card before ringing the sale, the syrup added to the latte would be free. I know its only 30 cents, but that is around 6-8 percent of the cost. This has only happened once. I don't feel comfortable asking them to remove the 30 cents after they charge me for it or even saying anything about it, if that cashier never told me about that perk then I guess I wouldn't be so agrevatied when I still get charged for it at every other starbucks across the country. Why wouldn't it come off the purchase automatically? Is it the consumers job to inform the cashier before ordering the latte?

[Dan]

Starbuck Cards make no sense (something extra to carry that can only be used at one store while it ties up cash). A general purpose cash card does make sense, but that was tried in a few cities and the people were suspicious.

[cashback for ever]

I think that Starbucks definitely needs a frequent buyer card. Although most people frequent there often anyways so I guess they don't really see a need for an incentive plan. Their coffees are so $$$ though, I think they would be able to afford it.