Today is the day. The day that Starbucks rolls out its new rewards program which bases loyalty points on how much customers spend, not on the frequency of purchases.
Starting today, My Starbucks rewards program customers will earn two stars for every dollar they spend at the coffee shops.
Changes to the loyalty program, which were confirmed by Starbucks in late February, were made based on customers’ feedback, the company said.
“The move will provide opportunities for our customers to earn more rewards each time they visit,” chief strategy officer Matt Ryan told investors and press in February.
Starbucks contends that the new loyalty rewards will see customers spending about the same amount of real money to reach a reward.
Under the previous program, customers get a star for every transaction, which at Gold Level averages about $5 per star. They then earn a reward at 12 stars, or after spending around $60.
With the new system, the threshold to earn a reward is raised to 125 stars, so you’ll earn enough to reach that level by spending $62.50. Of course, if you spend less than $5 a visit for a Gold member, the system won’t be as beneficial.
Customers were quick to share their dissatisfaction with the switch, specifically in the fact that they might have to spend more or visit more frequently to trigger rewards.
In addition to reconfiguring how points are earned, the new program removes the “Welcome” member status tier. New members will automatically achieve Green level status.
Starbucks says members won’t lose any value when the program switches today, as each star currently in their account will automatically convert to 11 stars.
Additionally, some customers will get a little something extra when they use the program in April. Any customer making a transaction at the first level will reach Gold member status for a full year. And anyone making a transaction at the Gold level will get it extended for a year.
by Ashlee Kieler via Consumerist
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