Saturday, August, 24, 2019 10:25:30

Starbucks to license its loyalty and mobile technology to Brightloom

  • The move would help Brightloom to develop a software as a service platform for broader restaurant industry.

  • First iteration of roadmap of the cloud platform is expected to be released in October.

Starbucks (SBUX), a giant in the coffee industry, has reportedly decided to license out parts of its proprietary mobile technology to build a software as a service (SaaS) cloud platform for the restaurant sector.

Reports cite, Starbucks has signed an agreement with Brightloom, a restaurant tech company which was previously known as Eatsa, to develop the platform. In exchange, Brightloom would provide Starbucks a board seat and an equity stake.

Starbucks developed a market-leading platform meant for a single purpose. Now, similar to what Amazon did with the Amazon Web Services (AWS) to drive its growth, the coffeehouse company is ready to make the platform broadly available through the Brightloom deal to bring in more growth.

Starbucks CEO Kevin Johnson stated that the company has experienced the power that digital customers connections relevant with the customers bring. Johnson further stated that outputs Starbucks has seen in consumer frequency and loyalty within the digital ecosystem is a testament in itself, and the company is eager to implement these innovations towards a solution that increases customer experience throughout the restaurant industry.

Brightloom CEO Adam Brotman, appreciating Starbucks, stated that it has pioneered the idea of treating digital like a relationship through its platform, an experience-rich, interconnected and seamless platform that combines integrated payment, loyalty, personalization and ordering.

Today, the U.S. has a $1 trillion restaurant industry, where only three percent of orders are digital. The opportunities would grow fast in the future. Currently, most of the restaurants do not possess their own cloud technology, hence they combine a bunch of resolutions from other software service providers.

Equity stake information and name of the executive assigned to the board seat have not been disclosed yet. First look of cloud technology will be released in October for customers.

Source Credits: https://finance.yahoo.com/news/starbucks-licenses-mobile-app-tech-for-new-platform-200500557.html