Starbucks accepting Square payments beginning early November

With Starbucks having invested $25 million into mobile payment start-up Square, the coffee chain will begin accepting Square payments in the beginning of November.

Starbucks first announced their partnership with Square last month, and now the retailer has unveiled that its mobile payment integration with the point-of-sale solution will be available as early as November. 

Starbucks made an investment of $25 million back in August and agreed to a partnership that would establish Square as the payment service of choice for smartphone touting customers. Square will begin processing all of Starbuck’s credit card-based payments and users can make purchases using their phones through a digital Starbucks Card. Square’s in-app directory will also offer a list of the nearest Starbucks shops among the 7,000 locations throughout the U.S.

“Starbucks and Square share a passion for constantly improving the customer experience,” Square founder and CEO, Jack Dorsey said in a statement. “This partnership gives millions of Starbucks customers a quick, seamless payment experience and introduces them to hundreds of thousands of small businesses in the Square directory.”

Along with new details regarding its Square partnership, Starbucks has also revealed its iOS app’s integration with Passbook. For iOS 6 users, this couldn’t have come at a better time, and Square’s payment system at Starbucks locations will work hand in hand with the shop’s Passbook app. Now when you approach a Starbucks location (you must have Starbucks’ iOS app downloaded and have added your Starbucks Card to Passbook), a Passbook notification will appear on the lock screen of your iPhone. You can then select the Starbucks Card and swipe your phone to make the purchase, and even enjoy loyalty rewards on occasion. 

The integration isn’t quite as beneficial for Android users, though you’ll now be able to pay for your coffee through Square’s Android app at any of the participating Starbucks locations.

Starbucks will later integrate Square’s GPS-based point of sale system, which should make purchases a breeze and speed up the lines especially during coffee rush hours. When this happens, you’ll be able to select the items that you’d wish to purchase from Starbucks within Square’s app and simply say your name to the cashier to confirm the payment. For those of you worried about identity theft or misuse, the cashier will be presented with an image of your face from the profile photo you upload onto Square.

Since January 2011, when Starbucks first launched its mobile payment app, the company has hosted over 70 million transactions, and its partnership with Square has been a mutually beneficial one for both companies. Starbucks says that the partnership “will significantly expand Square’s scale and accelerate the benefits to businesses on the Square platform, especially small businesses, while reducing Starbucks payment processing costs.”