Starbucks to Update Member Rewards Program?! More Stars Required to Redeem Coffee
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Starbucks Announces Major Changes to Rewards Program
Recently, multiple foreign media outlets have reported that Starbucks will implement the first major changes to its Starbucks Rewards loyalty program in the new year. Consumers may need to use more stars than before to redeem free coffee and other items, though a small number of beverages will have reduced star requirements. The system will be updated on February 13, 2023.
"How many stars do you have?" This phrase seems to have long become a greeting among Starbucks fans. The "stars" they refer to are actually points in the Starbucks Rewards program, a customer loyalty plan launched by Starbucks long ago. After registering as a Starbucks Rewards member, customers can earn one star by spending a certain amount, then use accumulated "stars" to redeem free coffee, food, or other benefits.
Now, Starbucks Rewards will bring a comprehensive update next year. According to reports, after the update, the redemption threshold for baked goods, coffee, and hot tea will be adjusted from the previous 50 stars to 100 stars. Additionally, handcrafted beverages and Starbucks breakfast, currently redeemable with 150 stars, will also be adjusted to 200 stars. Sandwiches and salads will also be adjusted from the original 200 stars to 300 stars...
Of course, it's not all bad news about increased stars. For example, iced coffee and iced tea will be reduced from 150/200 stars to 50/100 stars. The highest tier of 400 stars remains unchanged, and for 25 stars, customers can still add espresso shots, syrups, or alternative milk to their drinks as before. However, most items are showing an upward trend in star pricing adjustments.
After this news was revealed, many Starbucks fans complained about these changes on the internet, saying: "You're going to make us spend more money to get less," while others expressed: "Starbucks, you've been slowly losing my business lately."
Starbucks Responds to Program Changes
According to media reports, in response to this news, a Starbucks spokesperson stated: "The rewards program is an important way for the company to create loyal customers, understand preferences better, and encourage repeat purchases. We need to make occasional changes to ensure the long-term sustainability of the Starbucks Rewards program to meet the evolving needs of our members."
The Success of Starbucks Rewards
The Starbucks Rewards system has been built as one of the most successful membership systems in the world. Since its launch in the United States in 2008, Starbucks Rewards has long become a veritable cash cow for Starbucks. Nearly half of Starbucks' sales come from purchases by Starbucks Rewards members. According to Starbucks China's latest quarterly financial report, the number of active members in "Starbucks Rewards" increased by 29% compared to the third quarter, rebounding to over 17 million, approaching historical highs.
Future Plans and Expansions
Belinda Wong, Chairman and CEO of Starbucks China, once stated: "Starbucks' goal is to have over 170 million Starbucks Rewards members by 2025, while doubling the number of active members." The Starbucks Rewards system was introduced to the Chinese market in 2010, and this membership system has influenced the membership systems of many domestic and international consumer brands.
In recent months, Starbucks has also been experimenting with other reward programs. In October, the coffee chain began partnering with Delta Air Lines, allowing members to earn double stars when making Starbucks purchases on days they fly with Delta. Earlier this month, Starbucks also launched the beta version of Starbucks Odyssey, an extension of the rewards program that allows users to earn NFT "Journey Stamps," officially defined as digital collectibles that need to be obtained for free by completing game tasks.
Image source: Internet
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