Smartphone ordering and long lines at Starbucks

An article in CNN Money (http://money.cnn.com/2017/01/27/investing/starbucks-long-lines-mobile-ordering-earnings/index.html) describes customer adoption of the Starbucks app to order and pay, but the consequent long wait to get their drinks.  The company expects over 30% of the orders at stores to move to mobile orders, but the long wait for delivery has been causing other customers to leave the store without purchase. The repeated reference to congestion in the earnings call on January 26, 2017 suggests the seriousness of the problem. Would offering mobile orders a delivery schedule for their drinks help smooth out queues ? Should customers be offered a delivery estimate before their mobile order to ensure fairness ?  Should there be dedicated capacity for mobile orders to prevent spillover to usual store customers ?

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About aviyer2010

Professor
This entry was posted in Capacity, Ecommerce, fairness, Operations Management, ordering, queue, Service Operations, Starbucks, technology, Uncategorized. Bookmark the permalink.

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