Wednesday, February 20, 2008
Starbucks to serve up free Wi-Fi with its lattes
byStarbucks reported last week on its ambitious plan to provide free Wi-Fi at more than 7,000 company-owned locations across the nation beginning this spring. That means you can get your fill of a double-tall non-fat no-whip half-the-mocha mocha plus a serving of free broadband to boot. 
The only catch to “free”: You need to be a Starbucks Card holder (a purchase card) to get two free Wi-Fi hours per day, or have qualifying AT&T services. If you don’t have either, customers may still purchase hourly or monthly access memberships, at a cheaper rate compared to the current T-Mobile Hot Spot arrangement, which, after a six year run at Starbucks, will end.
The new partnership with AT&T will beef up AT&T’s total number of hotspots to 17,000 across the nation.
Apple iPhone and iTouch users also should welcome the beefed up free Wi-Fi service and access to featured “Hear Music” and Starbucks Collections, or even the last ten songs played in that store.
No doubt Starbucks company officials (and shareholders) hope this move will boost in-store traffic and sales. The free Wi-Fi announcement comes at a time when Starbucks is in the midst of a financial turnaround agenda (its 52-week stock price change is off more than 40%), which, on top of recalling former leader Howard Schultz to step back in, could include closing some underperforming stores, slowing growth here or increasing growth abroad, reports MSNBC.
Starbucks’ PR release suggests that this news means customers will get “a rich in-store” experience. While the company hopes to profit in numerous ways and expand its customer offerings, to customers, the Wi-Fi announcement not only means “new and improved” – but now, most of all, free.
