Starbucks In-App Cash

We have written before about the cash flow boost that Starbucks gets from its loyalty program. Currently, they have $1.6 billion in cash from people preloading their Starbucks app with money. What a brilliant business model! People pay you now for products that they will use in the future. In effect it is an interest-free loan to the company.

Added to that, some people forget that they have money on their apps and then never use it. The article below points out that every year, Starbucks gets to pocket $155m in unredeemed money.

You can read more here - Starbucks borrows billions from its own customers