By Leslie Patton
Starbucks Corp., the world’s largest coffee-shop chain, said use of its mobile-payment application has been gaining among customers and that it plans to open more Teavana stores as it expands beyond java.
Mobile payment now accounts for 14 percent of in-store transactions in the U.S., the Seattle-based company said today in a statement, up from a 10 percent rate disclosed in July. Starbucks also said it will open 20 additional Teavana stores in the current fiscal year.
Chief Executive Officer Howard Schultz has been focused on expanding and improving Starbucks’ rewards program and mobile applications, as well as selling more juice, tea and food to stoke growth. Starbucks earlier this month said it would test a smartphone app this year that would allow customers to order ahead of time at some U.S. stores.
The shares rose 2.8 percent to $76.67 at 1:02 p.m. in New York and earlier climbed as much as 3.7 percent for the biggest intraday gain since Jan. 24. Starbucks dropped 4.8 percent this year through yesterday, compared with a 1.3 percent advance for the Standard & Poor’s 500 Index.