Deeper Dive: Starbucks’ new mobile ordering service

In announcing its new mobile ordering service, Starbucks referenced a "seismic shift in consumer behavior in which many traditional brick-and-mortar retailers experienced a decline in foot traffic compared with significant growth in online shopping" during the 2013 holiday season. Indeed, consumers are increasingly comfortable with bypassing physical stores and purchasing goods online, especially when facing the prospect of holiday crowds and traffic.



However, since it will never be economically practical to deliver a cup of coffee (though deliveries of large coffee orders could be feasible), Starbucks needs to take a store-centric approach to online commerce. By taking advantage of the increasing dominance of mobile devices for online connectivity, and the seamless, channel-free environment in which modern consumers operate, Starbucks is shifting in the direction consumers are already going, which greatly increases the chance of success.