Starbucks teases Web3 rewards program to attract new customers
Global coffee store giant Starbucks is looking to launch a new Web3 rewards program to attract and retain customers, according to interim CEO Howard Schultz.
Interim CEO Howard Schultz said: This will create an entirely new set of digital network effects that will attract new customers and be accretive to existing customers in our core retail stores
On Tuesday Schultz expressed that Starbucks will soon reveal a new Web3 digital initiative that will expand upon the company loyalty program.
“This new digital Web 3-enabled initiative will allow us to build on the current Starbucks Rewards engagement model with its powerful spend-to-earn Stars approach while also introducing new methods of emotionally engaging customers.”
The CEO kept his cards close to his chest but mentioned during the call that the firm is looking at integrating our digital Starbucks Rewards ecosystem with Starbucks branded digital collectibles as both a reward and a community-building element. the full reveal is set to occur during Starbucks investor Day on Sept 13.
"This will create an entirely new set of digital network effects that will attract new customers and be accretive to existing customers in our core retail stores," he said.
Starbucks' yearly results expressed analyst estimates with a 9% quarter over-yearly bump in global revenue to a record $8.2 billion.
During the call, Schuktz also expressed the Web3 move is part of a push to attract and retain the younger side of Starbucks' customer base.
"We don't to be in a business where our customers base is aging and we have a less relevant situation with younger people" he added that the company has never been in our history more relevant than we are today to Gen Z.
Starbucks declared its aim to jump on the NFT bandwagon back in April as Schultz noted that sometime before the end of the calendar year.
Starbucks may not be the only big brand to launch a Web3 loyalty program in the near future.
Hang Blockchain Startup raised $16 million in Series funding led by Paradigm the company is looking to help brands transition their current membership and loyalty programs over to the blockchain and incorporate NFTs.
Related: Starbucks to launch NFTs this year