Starbucks wants baristas to recognize you, your order, and your car as soon as you enter the drive-through lane with artificial intelligence and its app.
With roughly half of Starbucks consumers using the drive-through, the company said it plans to test background AI models to help baristas enter orders faster and more accurately.
“We’re going to have, almost, the ability to have a fast pass for the drive-through,” CEO Brian Niccol told Yahoo Finance following its latest quarterly results. He said that when customers pull through the drive-through with the app open, it will show their recent orders, so baristas can ask, “The usual?”
Once customers confirm, “It’s paid,” Niccol added. “Now you’re off to the window to pick up your drink, and out you go. It’ll be the fastest drive-through experience you can have.”
To order ahead, pay with the app, and earn reward stars, customers are required to create a Starbucks account and sign in. Niccol’s “fast pass” comment drew comparisons to Disney’s “fast pass” on X, but unlike Disney’s fast pass, the Starbucks app is free.
This past quarter, the Starbucks loyalty program’s 90-day active members reached a record 36 million. Those customers tend to drive transactions and sales growth, which rose 7.2% in the fourth quarter.
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These investments by Starbucks come as the coffee chain faces growing competition from drive-through-focused chains like Dutch Bros (BROS), 7Brew, and Scooter’s Coffee. Plus, more customers are coming for afternoon pick-me-ups and small treats in their order.
TD Cowen analyst Andrew Charles thinks the afternoon is a prime opportunity.
“We expect a greater focus on the afternoon daypart, via beverage innovation and marketing support, where drive-thru competitors have found success,” he wrote in a note to clients. “We interpret a greater focus on caffeine-free refreshers to help drive engagement with kids.”
Follow Brooke DiPalma on X at @BrookeDiPalma or email her at bdipalma@yahoofinance.com.
