Starbucks and Amazon open first joint concept store with more to come
Starbucks and Amazon.com have teamed up to open the first of at least three concept stores between the two Seattle-based retailing giants. The location at 59th Street between Park and Lexington Avenues in New York City combines Starbucks’ Pickup concept with a cashierless Amazon Go convenience store.
The store is designed with Starbucks branding in mind, incorporating the chain’s traditional green blended with wood furnishings and stone countertops. The Pickup concept emphasizes the convenience of placing and paying for orders ahead using the Starbucks app. A digital screen in the store displays the status of customers’ orders, which they can pick up from a barista when complete. Walk-in customers are also welcome and have the option of ordering at the counter to take out or consume on-premises at a counter, booth or table.
Accessing the Amazon Go area of the store will require customers to call up an “in-store code” on the Amazon app. As customers pull desired sandwiches and other items off store shelves, the app places them in a virtual cart and then submits the charges upon exiting the area.
“The new Starbucks Pickup with Amazon Go is designed to provide our customers with an experience that delivers convenience and connection in an effortless way,” said Katie Young, senior vice president of global growth and development at Starbucks, in a statement. “Our goal with this new store concept is to give our customers the ability to choose which experience is right for them as they go through their day, whether it is utilizing the Starbucks and Amazon apps to purchase food and beverages on the go, or deciding to stay in the lounge for the traditional third place experience Starbucks is known for.”
“Customers have enjoyed the effortless shopping experience enabled by our Just Walk Out technology at Amazon Go where they can simply come in, grab something delicious to eat or drink, and just leave and carry on with their day without having to wait in line to pay,” said Dilip Kumar, vice president of physical retail and technology at Amazon. “We’re excited to now share Amazon Go’s Just Walk Out Shopping experience and curated assortment of fresh-prepared food items and beverages with even more customers at this Starbucks Pickup location in New York City, and can’t wait to hear how customers like it.”
DISCUSSION QUESTIONS: Will the new Starbucks Pickup with Amazon Go concept be a winner for both companies leading to a wide rollout across the U.S.? Do you see opportunities for similar combinations between other parties that could rival the Starbucks and Amazon collaboration?