Starbucks, Amazon team up to open cashier-less store, cafe in NYC

Starbucks (SBUX) has teamed up with Amazon (AMZN) Go to deliver a new store concept to consumers in New York City — one without any cashiers.

The new Starbucks Pickup, located at 59th Street between Park & Lexington Avenue, is set to open to the public on Thursday, November 18th. The retail experience uses the order ahead feature on the Starbucks app and Amazon Go’s Just Walk Out technology to create a touch-less experience, the companies announced on Thursday. 

The team-up is part of the ongoing COVID-19 era trend to leverage technology in favor of human contact to expedite requests, as well as reduce the chances of transmission.  

The two powerhouses are teaming up to create "a common vision to provide innovative in-store experiences that are centered on the customer,” Dilip Kumar, Amazon's VP of physical retail and technology, said in a statement.

Dubbed Starbucks Pickup with Amazon Go, the system gives customers the ability to choose their experience, "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,” Starbucks executive Katie Young said.

In order to enter the Amazon GO market and the store's lounge area, they must scan the "In-Store Code" in the Amazon Shopping app, Amazon One or a credit card. Once consumers enter the location, they can shop the market like any other Amazon Go location, grab their Starbucks mobile order and leave — or choose to stay a while.

When guests take any item off the shelf, it will immediately be added to their virtual cart, and if customers put back an item, it will come out of the cart. Once the customer leaves the Amazon Go market portion of the store, their card will be charged and the receipt is expected to follow within a few hours, if not faster, according to the release.

Items that will be available for pickup include classic Starbucks fare like Sous Vide Egg Bites, breakfast sandwiches and protein boxes, in addition to items that are found at other Amazon Go locations. Those include its Kitchen Turkey and Cheddar Sandwich, and the Buffalo-Style Wrap.

In addition to that, the shelves will be stocked with well-known local favorites with items from Genji Sushi, York Street, Magnolia Bakery, Ess-a-bagel, among others.

As Starbucks dives headfirst into digital and its loyalty program use soars, the companies plan to open at least three Starbucks Pickup with Amazon Go stores in total within the coming year, with the second location set to open in The New York Times Building located at 40th Street & 8th Avenue.

Brooke DiPalma is a producer and reporter for Yahoo Finance. Follow her on Twitter at @BrookeDiPalma or email her at [email protected]

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