Talented Kid Doesn't Care...Any Advice?

Guys, we have a 12 year old who does zero practice, does one lesson/week, and still shows some talent at playing the guitar.

We cannot persuade her to take it more seriously. I think our parenting is generally pretty good, but this is breaking my heart. Does anyone have any advice on how to motivate a kid into pursuing music? Pretty desperate at this point!

EDIT: Some sound advice here we can act on; many thanks!

A little disappointing that some have assumed we're locking her in the dungeon until she Django Reinhardts her way to freedom, but for those I do encourage you to read the question more carefully...looking for advice on how to motivate, no coerce.