A new rewards program called Coffee Loop is being tested by Starbucks, aimed at enhancing customer loyalty through a familiar "buy nine, get one free" coffee offer. This pilot program is currently available only to select Starbucks Rewards members in the U.S. and is designed to encourage repeat visits to their stores. Customers earn a "dot" for each qualifying purchase of hot or iced coffee, and after collecting nine dots, they receive a coupon for a free drink. However, certain drinks like Nitro Cold Brews and promotional items do not count toward the offer.
• The program is a limited-time test, with invites sent via email to select members.
• Customers can still customize their drinks while earning points.
• Starbucks is seeking to address declining sales and improve engagement with its Rewards program.
• The company has seen a drop in active Rewards members recently, making this test crucial for future growth.
This initiative reflects Starbucks's effort to adapt its loyalty program to better meet customer preferences and combat recent sales declines. By returning to a simpler rewards structure, Starbucks hopes to regain customer interest and drive more frequent visits. The success of Coffee Loop could inform future enhancements to their Rewards program, which is vital for the company's revenue.
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