Starbucks launches beta app in ChatGPT to fuel new drink discovery

Starbucks has introduced a beta application within ChatGPT to enhance the drink selection experience for its customers, as announced on Wednesday. This new feature allows users to activate the Starbucks app through ChatGPT's app directory and initiate a conversation by including the command '@Starbucks'. Customers can craft personalized drink orders and choose their preferred pickup locations; however, final orders must be completed through the Starbucks app or website, emphasizing the importance of the brand's loyalty program. Paul Riedel, Starbucks' senior vice president of digital and loyalty, stated, "Over the past year, one thing has become clear: customers aren't always starting with a menu. They're starting with a feeling... We wanted to meet customers right in that moment of inspiration and make it easier than ever to find a drink that fits." This initiative is part of Starbucks' ongoing efforts to attract customers back to its cafes as part of the "Back to Starbucks" turnaround strategy, which has also included adding seating, streamlining the menu, and revitalizing its loyalty program. The focus on drink discovery is particularly crucial for appealing to Gen Z consumers, who tend to favor unique beverage options compared to older generations. Encouragingly, Starbucks has observed positive results from its turnaround strategy, with a rise in customer transactions reported in its fiscal first quarter ending December 28, after two years of declining traffic. This latest launch is not Starbucks' first engagement with generative artificial intelligence or collaboration with OpenAI. Last year, the company debuted Green Dot Assist, an AI tool designed for baristas utilizing Microsoft Azure's OpenAI platform. Other major retailers, including Walmart, Etsy, and Booking.com, are also exploring similar partnerships with OpenAI to enhance their shopping experiences.