Emerging Payments

Starbucks Begins Accepting Square Wallet

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Several months after Starbucks announced it was investing $25 million in Square, it has begun accepting the mobile-pay company's digital wallet at its roughly 7,000 retail stores.

Though the Seattle coffee company won’t be deploying Square’s infamous mobile card readers, the launch represents a milestone for Square.

Starbucks also agreed to let Square, of San Francisco, process its U.S. credit and debit card transactions.

Starbucks already supports its own separate mobile-pay app that completes transactions using a bar code displayed on the phone's screen. Starbucks recently updated the app to allow it to work with Passbook, Apple’s recently launched method of storing coupons and tickets on iPhones.

In addition to buying beverages, Square Wallet users will be able to browse Starbucks’ menu, look up store hours and review their past orders. Customers will also be able to peruse a directory of “neighborhood businesses” near their local Starbucks.

And by the summer, customers will be able to tip baristas through both mobile apps.

“Just three months after announcing our partnership with Square, we are thrilled to make the convenience of paying with the Square Wallet app available to our customers starting today,” said Adam Brotman, Starbucks’ chief digital officer, in a press release Nov. 8.

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