Starbucks has been in talks with Amazon to make a new kind of coffee shop with Amazon’s “Just Walk Out” technology, allowing customers to purchase items without going through a regular checkout, GeekWire reported.
However, the document, first reported by Insider on Tuesday (Oct. 19), says the partnership is not yet guaranteed. According to Insider’s Eugene Kim, the layout “shows Amazon Go’s food section within a cafe that has a lounge seating area.”
“Customers would have to use separate apps for pay — Starbucks’s app for drinks and Amazon’s app for food — though the companies eventually want to build an integrated solution,” Kim said. “The store was expected to have a newly created brand.”
The talks reportedly show Amazon’s ambitions to take the “Just Walk Out” technology beyond its own stores and into third-party implementations.
In addition, the interest from Starbucks shows that the way the idea could have an impact for both retailers and venues, with Starbucks considering it a “top ten initiative.” It supported Starbucks’ goal of getting rid of lines.
“Just Walk Out” first started in Amazon Go stores in 2018. It allows shoppers to either scan a code or their palm as they first walk in and then take items from the shelf, leaving without the need for a traditional checkout and making use of scales, cameras and sensors to see what items shoppers take — and charging their accounts after they leave.
There are other places already using this technology, including Seattle’s Climate Pledge Arena, Hudson Nonstop at Chicago Midway International Airport and some Amazon stores like Whole Foods.
In other business news, companies in various sectors have been learning to optimize their digital strategies and “meet consumers where they are most active.”
Consumers spent $211.5 billion during the second quarter of 2021, which was an almost 32% boost from the previous year. This has pushed the restaurant industry to adapt, with new strategic digital transformation measures to boost revenue and client retention.