Starbucks is one of the most well-known multinationals, with establishments throughout the United States and worldwide. This chain of coffee shops has implemented a new rewards program, in an attempt to re-position itself as the leader of the sector. Their new loyalty policy makes getting free drinks more difficult, having to spend a minimum of $25 to qualify for the bonuses.
Starbucks
Based in Seatle, Washington, this multinational chain of coffee shops was founded by Jerry Baldwin, Zev Siegl and Gordon Bowker as a wholesale coffee bean wholesaler in 1971. With a presence in 88 countries and more than 44,000 locations, it is one of the most well-known coffee shops.
It has not only limited its activity to the sale of coffee, but has incorporated a wide variety of products such as teas, pastries, sandwiches and salads. In addition, it has designed a line of merchandising that is also available in its physical stores. But, does it offer anything else? The answer is yes. Starbucks takes care of details like writing your name on the order, offering free wifi and meeting spaces for both leisure and work.
Loyalty policy
The company has always had customer loyalty policies. The most recent one will come into effect on June 24, but until then, consumers can continue to benefit from advantages such as earning 25 bonus stars when bringing their own mug from home. If you spend $5, you can get 30 stars towards merchandising or getting a free drink. You only have around 20 days left until this policy ends!
New rewards program
Starting June 24, the benefits of the loyalty program will change. Until now, customers who brought their own cup received 35 bonus stars. You will now receive a 10-cent discount, and you will receive 2 stars for every dollar you spend, compared to the 1 star you are receiving now. In addition, the minimum expenditure to benefit from the program has been increased; it is now $25. If you previously earned 3rd stars redeemable for a free drink or merchandising valid with only $5 spend now you will have to spend a minimum of $15 to get those benefits.
Why have these changes been made?
Various factors such as the exorbitant prices of the products, the limited variety of products in the menu, and the slowness to pick up the drinks (due to the shortage of staff), have made Starbucks not going through its best year. The number of sales has decreased and so has the traffic in the stores. The company’s CEO, Brian Niccol, is therefore taking a number of measures to try to reposition the company.
According to CNN, he wants the brand to be recognized as premium again and take pressure off employees’ shoulders. For this reason, it has taken steps such as adjusting the loyalty programme and its benefits. It has also opted to reduce almost a third the offer of the menu and that the use of service was aexcluded for customers who have consumed. He has changed the uniforms of the empeados by more sophisticated ones and , as good news, he is back to incorporate the self-service styles and baristas that personalize your drinks with drawings in the foam.
What now?
It is not clear whether the motivation is to return to its origins or simply implement measures that help get out of the crash, but the direction that has taken the brand seeks to be a company linked to premium products, with establishments and qualified personnel oriented towards this direction. If it was already expensive to buy a coffee at Starbucks, now it will be much more. But who knows, maybe this distinction that he pursues can offer you one of the best cafes you have ever tasted in your life!
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