Starbucks introduced a Reward Loyalty Program in which customers collect stars to get exciting rewards. This program drives 40% of Starbucks total sales. By adapting the gamification method, Starbucks added a reward loyalty program to their already established app. This move drastically increased sales and digital traffic. They brought mobile payment, customer loyalty, and content partnership in one powerful app. Customers started registering for My Reward via their app. They are given stars (points) in exchange for their interaction in the app or purchase made. Question: Beside the customer retention and higher sales, what will be the advantage of Starbucks in the implementation of this rewards system?
Starbucks introduced a Reward Loyalty Program in which customers collect stars to get exciting rewards. This program drives 40% of Starbucks total sales. By adapting the gamification method, Starbucks added a reward loyalty program to their already established app. This move drastically increased sales and digital traffic. They brought mobile payment, customer loyalty, and content partnership in one powerful app. Customers started registering for My Reward via their app. They are given stars (points) in exchange for their interaction in the app or purchase made. Question: Beside the customer retention and higher sales, what will be the advantage of Starbucks in the implementation of this rewards system?
Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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Starbucks introduced a Reward Loyalty Program in which customers collect stars to get exciting rewards. This program drives 40% of Starbucks total sales.
By adapting the gamification method, Starbucks added a reward loyalty program to their already established app. This move drastically increased sales and digital traffic. They brought mobile payment, customer loyalty, and content partnership in one powerful app.
Customers started registering for My Reward via their app. They are given stars (points) in exchange for their interaction in the app or purchase made.
Question:
Beside the customer retention and higher sales, what will be the advantage of Starbucks in the implementation of this rewards system?
NOTE: please answer asap! Thank you
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