Review: Starbucks Gold “Reward” Card

starbucks20gold20cardBack in November 2008, Starbucks launched a new “membership rewards” program called Starbucks Gold. Basically, it’s a card that costs $25 a year and gives you 10% off most everyday purchases as well as a free drink for registering and one on your birthday. Oh, and you get this nifty little black card with a gold cup in the middle (see image to the left).

Given that I do marketing for a living, I thought I would dive into the idea of the Starbucks card and see what impact it is having on Starbucks. Here’s what I found.

The idea is brilliant for Starbucks

Starbucks gets $25 a year for people to carry around a card that gives them 10% off. If you do the math, that means you need to spend $250/year to breakeven; which equates to 1.2 purchases a week at an average of $4, for an entire year. Unless you’re a die-hard fan, that is not likely. However, after doing some research for this post, apparently, I under estimate the number of people that really love Starbucks.  [Read more...]

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Starbucks bombs on their “Big Surprise”

Starbucks recently sent out a vague but intriguing email inviting me to attend an in-store event to “celebrate something big.” They used big statements like “We’re doing something big at Starbucks. Like Venti big.” and “We can’t tell you what’s going to happen because that’ll ruin the surprise.” Here’s a snapshot of the email they sent.

Yesterday, the day before the “big surprise,” I got another email from Starbucks.

Is anyone else wondering why they decided to take the surprise out of the surprise?

If you’re going to put a lot of effort into creating buzz and anticipation, don’t blow it by sending out emails, press releases and decorating your stores the day before with the “big surprise.” In the day and age of Apple‘s perfect “reveal” of products, we have come to expect a lot from big, household name companies.

I didn’t go to the store as I had planned because I figured, why should I? I got the “big surprise” without leaving my desk. Had they waited until the appointed time, I would have been at the store waiting with anticipation. I may have even bought a cup and enjoyed the camaraderie of my fellow Starbucks colleagues. Instead, I’m sitting in my chair, writing this story feeling like Starbucks robbed me from my 11am CST anticipation.

In my opinion, Starbucks missed this one.

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