Starbucks is notoriously one of the most successful rewards programs in the world, and the metrics back this up. As recently as Q4 of 2021, Starbucks announced their rewards program had over 24 million active members. These members represent over 51% of all spend in their U.S. stores. And this isn’t slowing down anytime soon. Even amidst a global economic downturn, Starbucks has seen an 8 percent uplift from pre-pandemic levels.
So, how has this happened? By making strategic decisions over time, Starbucks has ensured their program can excel to the best of its abilities. From entering digital gaming in 2015 with its Starbucks for Life program, to announcing Bonus Star Bingo which enables loyalty members to accumulate points and prizes over a period of time, they are always putting the customer experience first in each of their decisions.
There are a few different ways you can earn "stars" to redeem for free items:
The Starbucks Reward Program has five tiers. As you earn stars and reach certain levels, your stars can be converted into rewards. You can choose to use a lower-level reward or save up your stars for a bigger reward:
Overall, Starbucks structured their program strategically to generate tremendous success. The great news is - you, too, can create this momentum by setting up a similar structure with Toki.
With Toki, you can set up your entry point to be as low as one token or one activity. We suggest setting up a program where the initial token entry amount gives your consumer free shipping as a reward. This is a more playful way to capture your consumers’ email than the typical ‘give email for 10% off’. Consumers are bored of this behavior.
Gifting is easy to set up in Toki. When you select gifting as a reward option, you can chose what gift you want to give and when you want to give it. We create a tag within your Shopify account so your 3PL knows to send a gift with said purchase.
We also suggest building out a five tier system within Toki. You can use our rewards builder to create all kinds of gamified challenges for your consumers. Plus, you can customize the look and feel on your website to fit your brand. We understand consistency among a branded feel is everything!
Toki also paints a full view of your customer via our audience and segmentation feature set. In here, you can see where your consumer has engaged throughout the Toki network, pull segments based on this activity, and subsequently create activities, airdops or challenges for this specific audience segment. You can even personalize what this looks like onsite with our designer!
We’re pleased to say, all of this and more are available with Toki.
Again, the Starbucks loyalty/rewards program is the crème de la crème of rewards/loyalty. The way they have nailed the five tiers, the personalization, the gamification, the gift card cross selling - it's all top notch execution. Toki was built to give brands, both large and small, the ability to create a rewards platform like Starbucks. Small brands struggle with loyalty activation because they simply don’t have enough customers coming back to their site to activate their points, which is why we built a web extension and mobile app for all brands in the Toki network to provide a global login. We believe these network affects will solve for the cold start problems most brands have.
With that said, Starbucks can see formidable benefits from Toki as well, as explained in our other blog article here. Launching a program on our blockchain network would result in a secure and immutable, program, could reduce costs, and can result in a much deeper customer connection.
This catapults Starbucks into the emerging web3 space, without straying too far from the web2 internet we all know and love. Doing so is a super easy 3-step process.
These would be unlocked by customers through the micro-activities determined by Starbucks. The Toki platform allows you to plug-and-play activities both onsite and offsite to rewards.
Similar to credit card points, the Starbucks customer has the power through Toki to use their tokens across thelikeminded brands Starbucks has agreed to partner with. This creates a win-win for both Starbucks and their customers - Starbucks has the opportunity to acquire new customers across the Toki network, and their customers’ experience skyrockets by not feeling limited or restricted in the way they use the rewards they’ve earned.
With Toki, Starbucks can collect feedback directly through the Toki app on anything from new products to in-person cafe experiences. These can even be collected from specific customer segments based on who they are, where they are, how many Starbucks Rewards tokens they have, and beyond.
Needless to say, the Starbucks Rewards program is a model worth praising. With over 24 million active users, they’re clearly doing something right! The benefit of working with Toki is that a successfully growing program like this one, or one that is just starting out, will only continue to grow. The added perk is that there now exists a program built within the secure, exciting, and ever-growing ecosystem of the blockchain.
Incentive infrastructure layer for brands and communities.Book a demo