Super-loyal customers who use Starbucks' membership program account for about 40% of sales at the company's US stores. Now Starbucks is taking steps it believes will make the program more attractive.
Starting on April 16, the coffee company's rewards members in the United States and Canada will start earning rewards sooner and have more options when redeeming points. For customers who use a Starbucks rewards credit or debit card, points won't expire. Digital rewards programs are a way for companies such as Starbucks to increase loyalty and learn more about their customers. The update is designed to bring even more people into the program by offering more choice.
"There are people who like to spend at very low levels, and there are people who like to hoard a lot of points," Ryan said."Right now, we have just the middle point of the range." Starbucks launched its rewards programs in 2009, but has changed how it works over the years. Notably, in 2016, Starbucks introduced the two stars per $1 structure — a replacement for the previous one star per visit system.
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