Starbucks really wants to destroy its loyalty program

Starbucks really wants to destroy its loyalty program

Starbucks (SBUX) He pioneered a modern loyalty program using his app to increase customer interaction.

You don’t have to apply digitally in order to get the rewards of the coffee chain loyalty program – first class members use to get a gold membership card in the mail – but you do need to use the app.

Customers download the app, then get rewarded for using it to buy food and drink. It’s a good experience because users can customize their orders, get exactly what they want, and the store also saves on the expense of taking orders and capturing email addresses.

And so the Seattle chain found a way to increase customer loyalty, achieve better in-store and receiving experiences, and collect email addresses by investing in technology. The company created the scheme that is now used by every chain of fast food and fast food restaurants.

Starbucks’ loyalty program drives repeat visits in three ways, the first being the most important.

  1. You get free stuff: Spend money at Starbucks and get reward points that quickly lead to free drinks, food, and loot like ceramics and reusable coffee mugs.
  2. easy to use: You can customize your order as much as you want.
  3. Starbucks will send you the following offers: The chain can use the app and mailing list to drive traffic via deals and specials.

At the core of the program, Starbucks introduced a high-tech version of the punch card. You buy some drinks and then you get one free. It is a simple and valuable proposition that benefits the chain and the customer.

Now, for reasons known only to its executive leadership, Starbucks wants to spoil the system by adding non-perishable codes to its loyalty program mix.

Starbucks really wants to destroy its loyalty program

Sometimes, even savvy business leaders think things through.

Starbucks has tried many other freebies through the loyalty program (music streaming and ride sharing), but that’s not why people use the app. Chain customers use the app because it’s convenient, and if they use it regularly, they get free drinks and food.

Anything that distracts from it is superfluous. But Starbucks believes for some reason that adding NFTs will improve its program.

The series outlined the idea on September 12:

Today, Starbucks unveiled Starbucks Odyssey, a new experience powered by Web3 technology that will provide Starbucks Rewards members and Starbucks partners (employees) in the United States the opportunity to earn and purchase collectible digital assets that will unlock access to new benefits and immersive coffee experiences. Starbucks is one of the first companies to combine non-fungible tokens (NFTs) with an industry-leading loyalty program at scale, while creating a digital community that will enable Starbucks new ways to interact with its members and partners.

This seemed like a lot of expense when the chain could have offered members more food and drink benefits. The whole thing looks as if the series is jumping on to the next new thing even though no one was claiming it.

โ€œBy integrating into the Starbucks Rewards ecosystem and anchoring the experience in coffee, communication and community, we are entering the Web3 space differently than any other brand, while deepening our membersโ€™ connection to Starbucks,โ€ said Brady Brewer, Chief Marketing Officer. statement.

“Our vision is to create a place where our digital community can come together for coffee, participate in immersive experiences, and celebrate Starbucks’ legacy and future.”

That’s a whole lot of words I won’t say much.

Nobody wants Starbucks NFTs

Starbucks has a relationship with its customers and a small percentage of this audience collects mugs from different countries.

Offering NFTs as part of its digital rewards may attract a similar subset of its audience, but it’s a niche play that ignores that its loyalty program is paid for by star-earning people for free food and drink.

Starbucks wants to deepen its relationship with customers in a way that it’s hard to imagine customers wanting to.

“Once signed in, members can participate in Starbucks Odyssey Tours, a series of activities, such as playing interactive games or taking on fun challenges to deepen their knowledge of coffee and Starbucks,” the chain said in a press release.

Members will be rewarded for completing trips with a collectible digital โ€œjourney stampโ€ (NFT).

Members can also purchase NFTs, or stamps, which seem to have little to do with the essence of the “I give you money, you give me coffee” relationship. And yes, people might work in chain cafes or meet friends there, but is anyone really looking for a deeper connection with their local SBUX outlet?

โ€œAs stamps are collected, membersโ€™ points will increase, unlocking access to unique benefits and experiences not offered before,โ€ the chain said.

โ€œThese experiences can range from a virtual martini coffee-making class, to access to unique merchandise and artist collaborations, invitations to exclusive events at Starbucks Reserve Roasteries or even trips to the Starbucks Hacienda Alsacia coffee farm in Costa Rica.โ€

Well, maybe the free ride is nice, but few, if any, customers want to add NFTs to their coffee experience. This makes Starbucks something so simple complicated for no reason at all.

READ ALSO :   Retail sales rose as gas prices fell, and inflation cap profit
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

The Latest

To Top