Today, Starbucks announced big changes to their Starbucks Card program, known as MyStarbucksRewards. The new changes go into effect on October 16, 2012. Here’s the new Rewards program at a glance:
Here is the link describing the new My Starbucks Rewards perks when you pay using your registered Starbucks Card:
Some of the big changes are that customers will be able to select food as their “reward” and the free reward cards will be earned faster – it now takes 12 stars rather than 15 to earn a Starbucks reward! Welcome to your “lucky dozen,” as I’ve heard it called. That’s a catchy phrase! Right off the bat, I will say that I am happy to have the increased flexibility of being able to select a food item as a reward – and this includes a bistro box or a panani!
I. Brief Starbucks Card History: (Skip this part if you don’t like history lessons!)
Just briefly, a little history of the Starbucks card: In November 2001, the very first Starbucks card was launched. On September 17, 2002, a decade ago, Starbucks enabled the card to have the ability to have automatic reloads.
The first rewards of any kind were launched in April 2008, having been announced by Howard Schultz at the annual meeting of shareholders in March 2008. They were part of the “transformation agenda” announced by Howard during that March 2008 meeting. The first generation of Starbucks rewards had no “levels” – You just registered a card and earned free soy milk, free breve milk, free syrups, a free tall beverage with a pound of beans, and free refills.
In November 2008, Starbucks launched a gold card where customers paid a $25 annual fee, and got 10% off his or her purchases. Keep in mind, by the end of 2008, and through most of 2009, Starbucks offered two side by side programs. The free program earned free soy and breve milk, free syrups, free refills and a free tall beverage when buying a pound of beans. There were no “levels” to the free program – all you did was register a card and use it to pay for your purchases. The 10% off program (which had a $25 annual fee) did not include the free milk changes, free syrups, and all the free perks. The 10% off card was phased out, one year after its initial launch.
During 2009, Starbucks quickly discovered that having two non-overlapping rewards programs really didn’t work. In October 2009, Starbucks announced the current version of MyStarbucksRewards, which offered three levels of rewards: A “Welcome” level, a “Green” level, and a “Gold” level. This three level version of MyStarbucksRewards went into effect in January 2010. The new MyStarbucksRewards launching on October 16th is the first major overhaul of the program since its January 2010 launch.
In April 2012, Starbucks started testing digital rewards in Pittsburgh, Pennsylvania.
By the way, the previous free program where you registered a card and earned free soy and free syrups, and free tall beverage with a pound of beans was rolled into the “Green” level of benefits.
II. Discussion of New Rewards:
At a glance, here’s what the reward changes look like: (This is my own quick chart!)
| Before 10/16/2012 (Jan 2010 to 10/16/12) – “Sweet 16” | After: “Lucky Dozen” beginning 10/16 | |
| Free soy milk or breve milk at the “Green” level of rewards | Yes | No |
| Free food (pastries, bistro boxes, paninis, and the popcorn) | No | Yes |
| Electronic delivery of rewards | No | Yes |
| Free Tall Beverage when buying a pound of beans | Yes | No |
| Free syrups – Vanilla, Raspberry, Hazelnut, and standard syrups | Yes | No |
| Free Refills | Yes | Yes |
| Free Birthday Beverage | Yes | Yes |
I think lots of people are asking questions about these reward changes. Here’s what I know … I hope I got this right. This is new to me too! I do think that what I wrote below is correct.
Why are rewards going digital? Can I still receive a paper coupon in the mail?
Everyone will receive perks electronically. Starbucks was spending about a million dollars a month on mailing out free drink coupons. The paper rewards model just wasn’t a sustainable model. A million a month was a lot of money. It was expensive, and it used a lot of paper. It wasn’t “green” at all.
Is there any food that is excluded from the free food perk with my “Lucky Dozen” coupon?
As I understand it, all of the “Evenings” Starbucks food is NOT included, and is not eligible as a reward. Also, ready-to-drink beverages, such as the Evolution Fresh juices, are not eligible, as I understand it. A customer can grab a wide variety of food items – breakfast wraps, paninis, pastries, bistro boxes, bags of popcorn – all kinds of food items!
Can I bank my reward coupon and use it when I want to?
When you want to use a reward coupon, let the register barista know you have a reward to use. Your reward coupons do not automatically kick-in every 12 stars. It will appear electronically, but you should let the barista at the register know that you want to use it. This gives customer an added flexibility to use it on the beverage or food item of his or her choosing.
How will I know when I have a “lucky dozen” coupon to use?
You’ll get an email notifying you that you’ve received a free beverage/food coupon.
Will I be able to check my rewards, much like I can currently check my balance in the stores?
I inquired with Starbucks whether there will be a new functionality to the card of “check my reward coupons.” I imagine this new functionality as something akin to the current ability of a barista to swipe a registered card and tell the customer his or her balance. For customers who are very high users of the rewards, this seems like it would be a help in keeping track of rewards.
As I understand it, Starbucks is looking into this functionality, though it is not currently operational.
Why did Starbucks take away free soy milk (and free syrups) as an option?
I have actually heard baristas say that Starbucks got rid of free soy milk because it was just too expensive of a perk. I strongly do not think that is true.
About 25% of transactions at the register involve a registered Starbucks card. Out of those transactions involving a registered card, about 5% of them involve a free modifier such as free soy milk, free breve milk, or a free syrup. I am sure that there are some stores where it feels like a much higher average, but on the whole, it’s only about 5% of the registered transactions.
I think that as Starbucks re-evaluated their rewards programs, they found that it was cost-neutral to remove the free soy milk (and free syrups) option and then offer faster rewards with greater flexibility. In other words, the new version of the rewards will reach a much larger customer base. Those of us who do not use soy milk and syrups didn’t see that as the most useful benefit – and the numbers bear it out – only a small group of customers really used the free modifications.
III. Melody’s Perspective:
If I haven’t been clear up to this point, I resoundingly like these changes! I know that I’ve spent so long talking about the history of the rewards and the fine details, that it might not be obvious that I like these changes!
I can recall back in 2009, saying to myself, “After a while, to the heavy user, a free drink coupon is going to lose its surprise and delight … Oh yay, yet another free drink…” Early on, I saw the need for some variety in the Starbucks card rewards. Variety is the spice of life!
I definitely think that the added flexibility on how a customer can use his or her reward is, well, FABULOUS! I enjoy a few of the paninis, as well as some of the bistro boxes, especially the goat cheese bistro box. And my drink beverages are not really all that customized. Flexibility is a win win for me!
I like the overall simplification of the rewards. I think that it is possible that this new version of the rewards program will be easier for a barista to understand and explain. By the way, it is still true that a customer can use any card as his or her “gold” card, and is not tied to using the shiny gold card.
Only time will tell where the ambiguous and confusing moments are for this new program. The free refills aspect to the My Starbucks Rewards remains unchanged.
And I like being able to get my rewards faster. Once in a while, I handed a free beverage coupon to a friend, and I’ll miss that flexibility, but I like the idea of never having my rewards lost in the mail.
I understand that for the fans of soy milk and free syrups, it might feel like a sting, but I think over time people will readjust to the new “lucky dozen” Starbucks rewards. (As a reminder, a customer can save ten cents on his or her beverage by bringing in his or her own cup, mug, or tumbler.)
Now it is your turn to weigh in. I know this blog article is long and won’t quite look like some of the other articles in the news. Full disclosure: On Friday, September 7, 2012, I was able to ask a few questions of the Starbucks Sr. VP of Store Operations (Ms. Rossann Williams) about the changing My Starbucks Rewards. I didn’t receive anything at all – it was just a conversation where I got to ask questions about the My Starbucks Rewards. By the 5th of September I knew about the rewards revamp, and was glad to have a chance to ask a few direct questions. A big thank you and shout out to Linda Mills who made that happen. Thank you!
What do you think?
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@chgo:
In my opinion, while that’s awkward and annoying — and disappointing — no, you should not “fight this to hell and back” or “pursue this to the max”. An administrative screwup is not “illegal”. It’d be awfully nice for them to give you something to make up for it, but as you said, it’s hard to complain about something you never had anyway. Cecile has more than enough on her hands without threats coming her way, for goodness sake.
Glad to hear it was resolved Chgo and enjoy the machine. Give us a review.
@denise – it looks like there is not any mocha pods or cups. On the Starbucks website, they suggest making hot chocolate by using milk pods and a packet (as in Swiss Miss, etc.) of hot chocolate. Kinda weird as wouldn’t it just be easier to use milk and Swiss Miss and skip the machine altogether?
From: http://www.starbucksstore.com/verismo/verismo-recipes,default,pg.html
Hot Cocoa
Makes one 9-12 fluid oz. beverage
Pour one (1) envelope hot cocoa mix into a cup
Brew two (2) Verismo™ Milk Pods into the cup
Stir until fully mixed
@gobo: since you’re obviously quoting me, no one is threatening Cecile, or even suggesting such a thing. (I’ve personally had just the opposite experience with her, nothing but good.) I even wrote that I didn’t feel comfortable (nor would I do it) putting any email address for Cecile (or anyone) on here. I realize this is a BLOG but I was responding to chgo. I realize I come across, (just like chgo was saying about himself) as ‘passionate’, much more than I may realize at the time. maybe that’s a Chicago thing!
@chgo: I heard from Cecile that you guys had this resolved, am very glad for you!
@CD: I read that about the hot chocolate. and all those details. gotta run, want to write more on that later!
I hope everybody is calm and cool and over it now. I know I am. Thanks again for the help and advise from all that had given their input. Again….. I really appreciate it. Better to seek help and advise here then ask for it at msi. If Cecile happens to lurk on here, she was a real trooper about it and helpful.
@Denise – It’s always a Chicago thing. If somebody has never lived here, they’re never going to get it. : )
@Gobo – Chill brother. It’s like a Boston (Bah Stin) thing. : )
Time to move on to the latest: Sun Dried Sumatra / Panama Paso Acho thread.
Sorry to be so late responding to the questions regarding the Verismo email. I am still trying to get caught up with all the comments in this topic.
Yes, I did receive the email from Cecile and did not have to respond with an address as she said she has mine (she has sent me a few token gifts in the past). I sent Cecile a “thank you” email and some words of encouragement to help her and her team keep their wits in spite of the avalanche on MSI right now. One thing I can say for Cecile is that even though we have had our differences of opinion she has always dealt fairly with me.
Folks who were wary of the email regarding the Verismo were right to do so. Unfortunately if an email sounds too good to be true, it usually is. Also, unfortunately, most folks do not have the tools and experience to verify the validity of an email. Since computer security is a part of my business experience I was able to verify the source. This also points up the importance of keeping your profile complete and up to date.
@chgo: I was a bit concerned about giving Cecile more headaches to deal with. Guess I’m not used to, er, exuberance. Glad it worked out. Consider me chastised.
@Gobo – Don’t ever feel chastised. I’m sure Cecile is probably getting a headache at msi, but it comes with the job. I’m sure she knows how to deal with it. I’m staying away from the ruckus at msi about the changes coming. I can’t do anything about it. I’ve spoken my piece (or peace) about it on this thread and there really isn’t much more I could add to 100’s of similar threads at msi. : /
Chgo. – MSI is “soy overwhelming”! I am trying to contribute a little bit here and there where I think I can add something of value, but mostly I don’t have anything to say in the many soy threads. It’s overwhelming, and I am surprised at the outpouring over soy milk! I see that SirMark is back again too, and bumping up very old threads that I started eons ago. Such is life. It doesn’t change what I do: I’m still trying to just comment on a few things here and there – but every thread is about soy milk it seems! It’s hard to find anything else!
One thing I just read today and is important to note – The rewards expire 30 days after the date they’re earned.
I don’t think that’s been mentioned yet, sorry if it has.
@Melody: I too am totally surprised by the SOY response. I GET the overall negative response, but those soy-users??? totally surprise to me. Personally, I’m way more bummed about the syrups (altho I only use one, cinn dolce, on every winter day = alot now) AND the free tall ANY drink with the beans. I buy a lb or RESERVE every 10days, ~. I appreciate(d) that drink!
@Nathan: I consider the idea that these digital rewards expiring in 30 days HUGE! I assume that means Sbux controls totally if your “reward” expires…no more lee way…..they’ll just be ‘removed’ I assume, if not used in time. So, there’s their ‘slippage’ factor for the digital world! I had heard that (prior to your comment) about the 30days….I believe it’s also on Ideas in A. on MSI, in case anyone is going there. Assuming that maybe NOW I might start actually receiving ALL my ‘rewards’, maybe there would be alot to make sure I used in the time frame. I like nothing about it, period.
(they just got rid of my FAVORITE treat ever..the petite walnut brown sugar tarts…I’ve bought 2/day since they came out. on top of that, the ONE sandwich I got ~once/wk or if I happened to be really hungry, has been removed from some 400+ stores…the (non) veggie egg and cheese artisan sandwich. Gone from my area.)
@DadC…..I would’ve been much more doubtful of the Verismo giveaway IF I’d been sent to a “link”, which luckily I was not. (mine said same as you) I did however email Cecile right away to verify.
@Gobo: yes, exuberant would be one thing you could call …us. 😉
@DeniseR – I am overwhelmed. I read quite a bit on MSI but so much of it relates to soy milk, that I just don’t know what to say. I feel like I don’t want to get involved in 20-gazillion soy conversations. And I feel a sense of frustration, that Starbucks hasn’t really listened to my requests – For a long time now I’ve been asking for an interview of a certain person, for another chance to attend the wed monthly roast event at the ssc, and more coffee experiences, especially a chance to see the Kent roasting plant, and there’s nothing. I’d like to feel included by Starbucks (I’d like to see them even @ reply me and RT me) but mostly I feel excluded. I will get over it. The blog is not about the ssc. It’s about the dynamic experiences in the stores … like the coffee passionate events, and great things that Starbucks does.
I was at a Starbucks on Elliott yesterday, and ran into an ASM that I know and like a lot. I was telling her about volunteering at Food Lifeline, and she mentioned that she and a number of partners in her district have volunteered at the Ballard Food Bank. It was really great. A great company is all the great people in it, and I loved the ASM’s passion for Starbucks and for being involved in her community. I walked out of that Starbucks with a jolt of feeling good about Starbucks.
I am not too happy about this change. Now in reality my coffee is going to cost more which means in the end, I really do not save that much if anything. I always get the Soy Latte, Cinnamon Dolce and got those to add-ins free. Now i have to pay for them, but wow I get a free drink/food after onyl 12 purchases. Big woopee! How much is that Soy and Dolce going to cost me now each time I order my coffe and times that by 12 purchases and see how much more I am paying now. I would rather wait until I bought 3 more coffee’s and get the syrups and soy for free.
I am not a happy customer of Starbucks anymore!
@Sean – I am a bit at a loss what to say. If you’ve seen the comments at MyStarbucksIdea.com, you’ll see that lots of people are unhappy about losing the soy perk. I don’t know whether this is a small group of people with a big megaphone, or a real soy-charge protest. I tend to think that most people will ultimately be happier when they have flexible perks – the soy milk drinkers isn’t that huge of a group. And I’m puzzled just a little because there was a time before the rewards.
But at the end of the day,, I don’t know. We will just have to wait and see what happens on 10-16. I think some customers will go to independent shops, but those places charge for soy milk too. I hope you will come around.
@Sean: Don’t take this the wrong way, but my guess is that the small number of customers who frequently got both free syrups and free soymilk are exactly why they decided to simplify things. As Melody says, people who get soy daily are a relative minority, but when some people are getting $1.10 or more off of every drink, that adds up quickly. I think they wanted to streamline things so that more people get equal rewards. Just a theory. In the end of the day, it’s still a free program that gives you free food & drinks — and more than they did before — so it’s still a good “deal” 🙂
So now I have to pay say $12 more for my coffee to get a free item that costs much less then that? Where is the good deal? Starbucks is making a killing now from everyone, so that we can think we are getting a good deal. People just need to stop believing what corporate America says to the consumer is good news! They make the deal sound great, but people don’t really understand the consequences of it.
I would of rather kept the 15 stars until a free drink. what is 3 more stars really?? Well for me it would of been over $3 more in my pocket to spend at Starbucks.
It will probably take me longer now to get my 12 Stars (not faster like they say!) because I am not going to be going to Starbucks as much after the new program is in effect.
I am sure I am not alone.
@Sean: agree with you, you are not alone. (altho I don’t use soy, it will definitely be NOT a win-win for me) Of course, it’s true…at one time there were no ‘rewards’ but, they also didn’t have PPR 🙁 all day as their default coffee, for one thing and we were not paying (generally) ahead of time for our Sbux purchases by putting money on a card which belongs to Sbux until redeemed. They’re a business, of course they’re in it to make a profit. (as they are, obviously)
Most registered card holders, that I encounter, have no idea about these changes. Most of the stores I’ve been in told me that they have the new brochures, but…not out yet. (I did find them out at one store) We’re just a tiny tiny number here and also on MSI. We’ll see.
Denise the brochures are out on the counters here but I do not see partners sharing them with customers nor do I see any signs yet letting customers know of the new program. I did get a free drink card today and it said it might be my last one because of the new program launching on October 16. I also am still concerned about how partners are being trained and coached to help customers understand the new rewards program. Around here there seems to be no effort to get partners prepared.
@purple: (I got that same post card saying ‘possible last’ bla bla bla) It’s kind of ironic that I can NOT get SOOOO many of my earned “sweet15” cards but they got this one out! Last time I called cust. serv. they told me to call them after any *star* was 12 days old and they’d replace them…credit my card. ???? who knows.
There clearly is no effort around here (even in the one store where they did have the brochures out) to make any customers aware of the approaching change. The partners WILL talk about it if I do, but what’s there to say? I think it’ll be more simple for them than any of the other changes every yr)…..it’s just essentially 99.9% of previous ‘rewards’ have been removed and now your ’13th item’ will be auto.loaded onto your card. (and you can choose some food items instead of a drink) BUT, I think they’re nuts to wait too long to deal with the customer un-happiness that they’re sure to hear.
I’ve expressed my opinion to the sm that he put the brochures out, like some other stores have. He does have them…apparently just choosing not to put them out. I don’t know. very frustrated.
Here’s a link to Change.org regarding the soy milk perk if anyone is interested.
As an SM, I have to say, I don’t have the brochures out because 1) we were supposed to get them last week, but they just arrived today (that darn border delays sooo many things!!) and 2) I did receive enough to have them out for customers to take willy-nilly 🙂 I have them at the POS like I did the last ones, to hand out as a customer talking point, so that I can ensure that current gold card members are the ones who get the brochures 🙂
And in terms of talking to customers about it, I do so as I have time, and have coached my team to do the same. If I have a lineup out the door, not going to initiate the rewards conversation. At all other times, if someone pays with a registered card, I ask them if they received the email about the changes to the rewards program and if they have any questions about it. If their transaction has been one that used one of the perks going away, I make a special point to make sure they know about it. Interestingly, the response has not been the crazy negative landslide that MSI is right now. Not that there hasn’t been any pushback, but considerably less than I was prepared for anyways. A lot of my customers seem to have a bit of an ‘I’ll cross that bridge when I come to it’ kind of attitude, which makes me slightly nervous for the 16th, I gotta say…
Sorry, that should say *didn’t receive enough…not *did…proof reading not what it used to be 🙂
@Rebecca: you are apparently a much more caring/concerned sm than many.
I suppose some of the customer rxn will depend on the demographics. ??? maybe. Altho, the one store where I saw the brochures out last week, is in a fairly wealthy northshore (of Chicago) area and the few people I had time or opportunity to talk with were as totally unhappy as anything I’ve read. Unlike a few on this blog, I haven’t seen/heard one customer say: oh, that’ll be great, I can get food! not have I heard so much ‘soy rxn’….mostly the syrups and the loss of free tall with beans.
Looking back, since 2008, how many of these “plans” have lasted more than a yr? I think none…..even the current one, just added the free drink with RESERVE coffees last spring…little over a yr I guess. and none of this even takes into accnt the potential yrly regular price increases, sometimes which go un-announced.
Overall, I find most customers of…whatever…would rather have ONE maybe bigger increase/change and then leave it alone! I don’t think too many people like these yrly changes/increases.
(btw, the only thing I ever heard from other customers that’s positive is: glad the “reward” will go straight to their card, but, leery of the exp date and ‘reward’ just disappearing…even tho it’s 30days, and also leery of Sbux overall IT/digital abilities. )
@DeniseR – I have seen lots of the little pamphlets on the new rewards at my neighborhood Starbucks stores. What is interesting is that I’ve yet to overhear a conversation about them. I haven’t had much of any time to do more than grab and go at Starbucks lately, so maybe the conversations are happening ….
I do think there will be a wave of people on 10-16 who have a ‘surprise’ – For one reason or another, they didn’t read their email, and and didn’t notice the pamphlets. Of course, how many millions read the email, and think, ‘oh nice, I dont really care since I don’t use soy and syrups and then deleted the email, never to be heard from again?’
Starbucks has millions of registered card holders, one thing for sure, anything they do, no matter how small will impact many and sound big.
Denise R I so totally agree that Rebecca is an unusual SM and I am sure there are more like her. But, around here it just seems that the arrival of changes on October 16 will just be another day and maybe on some level it should be that way but on the other hand I again say the stores need to be better prepared. One partner already told me that people are voicing anger.
Well, if there was more than one of me, I’m pretty sure the people in my life would have a hard time handling it – ask my DM if he would like to have more than one of me 😀 But jokes aside, I do care very much for all three aspects of my job – partners, business and customers, and I try to keep all three of those in balance. Also key? I have a DM who expects me to as well.
And who knows? Perhaps the SMs in the stores you’ve been in have their own reasons for keeping the brochures behind the counter that are unique to their store demographics also?
And demographics will definitely influence customer reaction. My district is spread out over several different parts of the city. My store is in a mall, so I get a lot of random customers, who just happen to be shopping that day. So reactions vary from day to day , customer to customer. But most buy food, and are actually happy with the change. Our downtown stores a lot of 9-5 drip drinkers, so they won’t be heavily influenced by this change. They dont use their free postcards or syrup or anything, so their reaction is mostly ‘Meh!’ Our community stores are full of vibrant, *vocal* customers, who already feel free to tell us what they think 🙂 and they are our heaviest bean buyers, and soy users, so we are experiencing more negative reaction there. It’s one of the things I really love about our dsistrict – we cover such a wide variety of areas of town we get to see all kinds of nuances we wouldn’t otherwise…keeps us balanced 😉
I definitely understand everyone’s frustration with loosing the soy/syrup perk. I myself am lactose intolerant so I definitely appreciate the fact that I can enjoy my Salted Caramel Mocha without worrying about stomach aches later. I did notice however that with the decreased amount of stars needed to earn a free drink, we are actually saving a bit more money in the long run.
For example:
Lets say you spend exactly $5.00 per drink
Now add soy to the drink and it bumps the price up to $5.60 but with the old rewards, you only pay $5.00
With the old rewards, you needed 15 stars to earn one free drink.
$5.00 X 15 = $75.00
With the new rewards, you need only 12 stars to earn one free drink but will have to pay an extra $0.60 to add either syrup/soy to the drink or $1.20 if you add both
Only adding one modifier – $5.60 X 12 = $67.20
Adding both soy and syrup – $6.20 X 12 = $74.40
*Please keep in mind that Starbucks only charges you a flat $0.60 to add syrup regardless of how many pumps you add to your drink.*
Ex:
Latte with 1 pump vanilla = $5.60
Latte with 10 pumps vanilla = $5.60
So with the old program, you have to spend $75 to get a return of $5 (assuming that you use the free drink coupon to get the same item) giving you a 6.67% return on your spending.
With the new program, if you only get one modifier you have to spend $67.20 to get a return of $5.60 (assuming that you use the free drink coupon to get the same item) giving you a 8.30% return on your spending (the percentages are the same if you get both soy and syrup)
So yes, you do have to pay a bit more in order to enjoy your usual drink but in the long run we are saving a bit more.
@PhilDFilipino — good analysis for your example and I cannot fault your logic and calculations.
While I understand the uproar, it is good to see a sane comment. Some people will never be satisfied with the changes, even if they were to be returned (worst thing Starbucks could do from a business standpoint).
The most unfair result of these changes is the vitriol being flung at the Baristas. Folks, go find another outlet and stop unloading on the folks who had absolutely nothing to do with this.
@DadCooks – From the looks of the MSI forums, most people unhappy with the changes are divided into two groups.
The first group is mad because they have to spend more in order to get their normal drink. Now I do see where they are coming from but I do wish that they would sit down and do some accounting before slamming the changes.
The second group does not really care about the price increase. I notice that it is the thought that Starbucks is “discriminating” against people who cannot partake in dairy. I definitely can relate to this group of people because I am one of them.
Overall, I agree with you in regards to not take this out on the poor baristas in the front lines. People should understand that yelling at them won’t really help with the changes they want to see. If anything, MSI exists for that exact reason.
BTW.
@Melody – I was a big fan of your article regarding the pins. I have a bunch that I would like to share with everyone but I cannot bring myself to part with them. Is there any way I can send you a few pics instead?
@PhilDFilipino – Thanks for being such a loyal blog reader. My last pin article (or Starbucks flare ;)) has been quite a while. You must be subscribed or liked?? In any case, I often share pics that people send me. Love it. I don’t use every thing that is sent to me, but I too enjoy Starbucks pins! Email me at Melody @StarbucksMelody dot com
@Melody – Actually, I just started reading your blog less than a year ago. I enjoyed it soo much that I started coming here for my daily dose of Starbucks news. I do have to admit that not only is your blog interesting, I also find your followers to be a very colorful bunch 😛
Unfortunately, I usually read the blog while I’m at work so I never had the time to post comments up till recently. I will go ahead and take some pics for you when I get home and should be able to send them out by either tonight or tomorrow 🙂
@PhilDFilipino – Your logic doesn’t sit well with me. Yesterday I went and purchsed a Soy Lattee Cinnamon Dolce. The Soy and Syrup up here in the Great White North costs $1.40 (.60 & .80). So for me to get a “free” item, I have to purchase 12 drinks, which will cost me now $16.80 more to get a free item. I think that is a lot more money being spent to get back something that is only worth maybe at most $8.
I really do not care about how many stars until I get a free drink. I want the discount of the Gold card. The free item is just a perk of the card, for the customers who purchase a lot of items.
@Sean – I definitely agree that you are spending a bit more per transaction in order to get your normal drink. A great part of the old rewards program was the instant gratification when making a purchase. With the new program, unfortunately, you will have to wait until you get your free drink post card in order to get that gratification. And with most people, the idea that “right now” is better than later.
I also love that our rewards are directly loaded onto the cards. Unfortunately, a lot of the post cards never make it to the proper recipients. With this change, Starbucks is able to get those free drinks out faster and save money on paper/postage. I also have seen some great feedback regarding the new food option when redeeming your coupon. For those people who don’t enjoy lattes, mochas, and frappuccinos, it would seem like a waste of a coupon to get a coffee, tea, or lemonade that only costs a couple bucks so the added flexibility is definitely appreciated.
The one thing that sucks about this change is that “Green Level” is basically useless now for those who don’t get free refills on coffee or tea. The way I see it, the rewards program no longer pays off until you are at the “Gold Level”. For those who have just signed up, the cost of earning Gold has jumped up significantly.
$1.40 is not a bit more per transaction. There is no gratification on spending more to get less. For me to spend $16.80 more to get a reward that doesn’t make up for the loss, just doesn’t make sense anytime anywhere. Starbucks could easily go paper less with the old rewards. They try to pull the wool over our eyes, to make things sound great and exciting, but just think for a minute and see, that all is not well. During winter months, I would get my Latte probably more often, but not anymore. I have a Keurig at home that makes great Starbucks coffee, for cheap. The treat of Starbucks is not going to happen much, if anymore. With the food rewards, why is Starbucks eliminating items from it? Like I said, even after spending almore $17 more for my coffee, to just get a muffin or some pastry for free, does not make up for the lose of money.
@Sean – I do see where you are coming from regarding having to spend an extra $16.80 to get your coupon. Please don’t take it personal, I do definitely see how the numbers add up from your end.
Based on my previous calculations, you would spend $75 to get a free drink coupon assuming that you speand a flat $5 per drink.
With the new program you would spend $76.80 to get a free drink coupon even with the decreased star requirement.
So the new rewards program for you is an increase of $1.80 in order to get a free drink. With that in mind, that translates to an extra $0.15 increase per drink in order to earn a free drink.
I do realize that the math differs for each person due to the pricing differences and some people will save while other may experience a slight increase. But I am happy to pay a little bit more and have that guarantee that I will receive my rewards every time.
Sean, I see your side but I also see starbucks (I’m a gold cardholder and also a shareholder). Let’s assume your drink is $5 before discounts. That means you’ve been getting 28% off every time, every time. I know of no retailers who offer customers a 28% discount on their core products, every time. Plus free ones.
You could certainly argue that if it made no sense, they shouldn’t have done it. Valid. But the other way to look at is to think about how much you saved, and be happy for those savings. Yes, going away soon, but that doesn’t reduce how much you’ve saved as a member by even a penny.
As to pulling the wool over your eyes, I don’t buy it. I’m sure they were happy to deliver some good news with the bad. And perhaps most importantly, for many of us, likely most members, the news was in fact all good, once you do the math. And for those like me who use no soy or syrups, the math was unnecessary; the new program is clearly better.
Good luck.
Very much agreed with Jotaylor and Phil. If you figure 4-5 million people (at most) have the Rewards Card, and a small percentage of those are Gold members, and a small percentage of those are people who understood and used the perks consistently, and a small percentage of those are people who got a daily soy latte with an added syrup — that’s a very small number of customers. But those customers were, frankly, making out like bandits, and good for them. Taking their huge discount away is like ripping off a bandage. Painful but needed to be done eventually to fix things.
I really bristle at people using the term “discrimination”. That’s a loaded word with heavy connotations. Let’s not use it to refer to being charged sixty cents for soymilk (like virtually every coffeeshop does due to the cost of the stuff).
I just came from my local SB where I had a brief conversation with the DM and the SM about this new launch. I asked them if they were ready for October 16 and they both sort of said yes and the DM told me what a great new program it will be and how much money I will save. I said I have mixed feelings about the new program and am not sure if I will be saving money but I did like that they are adding food to the rewards program. It just seemed and I suppose their responses were what they should be – support the new program and do the corporate line, that I felt they were not really interested in my viewpoint. As I was leaving, I said to the SM so are you ready for the the people here that will be irate because he knows that some of the regulars at this store can surely be quite difficult.
well, here’s ONE of my new ‘rewards’ scenarios: In cold weather (so, every day in a normal fall and winter…. most of the yr here), I would generally get a 4 shot tall cinnn. dolce. That (pre-tax) costs $5.80. The cinn dolce syrup is .70cents. So, if I buy ONLY one of these a day, and nothing else, in 10 days, I put out $7.00 more than I have been in those short-lived (relatively) reward program. There’s no food at Sbux that cost $7.00 that I would buy, I’d almost always get a drink. and that’s only with my (at this time) usual drink, and nothing else.
Not to mention the free tall with the lb of beans or half/pd of Reserve. and that’s in 10 days…ten days for ME would = $7.00. just in that one scenario. Spin it any way you want; .70cents/day x 10 = $7.00. I generally don’t want their food….I did enjoy some of the pastries that have been discontinued. (loved the walnut brown sugar tart. gone, along with almost all the petites) I went for the coffee yrs ago and I still go for the coffee, or some espresso drink. (also loved the veggie egg and cheese sandwich, also gone from many areas, mine included)
Denise, reduce that quad to a triple, you’re whole again and you won’t miss that shot.
@JoT……. I think I know how 4shots/vs 3 shots tastes to me. Since Sbux went to the push-button shots (~2000?) vs manually pulled, I remember clearly realizing that it takes 2 of these new (at that time) shots to equal one manual.
Actually, I don’t even know why you wrote such a response? The extra shots are costly, which is just one more reason the “free” syrup was appreciated. why didn’t you just suggest I leave off the cinn. dolce syrup….then I wouldn’t be ‘losing’ anything…just changing my entire drink!
Why would i suggest that? Apparently to make you more pissy. Couldn’t have been because a) for most people 4 shots in a tall is off the scales or b) to help you.
My bad, how dare I.
First it was the death of 10% on the gold card. They just keep cutting away until the rewards card is just another debit card. It was the late hours and add ons that kept me coming. I spend $10 plus a day there as I usually write a few hours every day and have some client meetings. There are so many great local places with far superior coffee and better ambiance that justify paying for soy, unlike Starbucks. Nice discriminatory move for lactose intolerant people though, shows how much Starbucks cares about the health of its clients.
Also, came for the baristas. If not for them telling me about the new policy (my Starbucks email goes to my over spammed email), I wouldn’t know about the change and have been pissed come Oct. 16. Time to support local businesses I guess.
@Jamie: The most popular benefit of the Rewards Card, by a longshot, are the free drinks (and now free food). A relatively small percentage of people use the free syrups and even less use the free soymilk.
You are NOT being discriminated against by being asked to pay the same sixty cents for soymilk that all customers pay. That’s a disgusting use of the term and offensive to people who actually have to deal with real-life discrimination, not sixty cents of soy milk.
Jamie I understand being upset about soy, although gobo is right, discrimination it’s not.
But I don’t get the whine about the 10% gold card. I had one, right from the start it was good for 12 months; for whatever reason I actually got about 14 months of discounts. Cost me $25 and I probably saved at least $100 over that 14 months. Whinable, also not.
I definitely agree with Jotaylor and Gobo. I realize that the 60 cents was a nice touch. I myself cant handle most dairy products so I prefer soy. I honestly feel like some people take this way too far and just make themselves feel “victimized by this” Now I do understand that soy costs money, and giving this away for free costs Starbucks money. Starbucks is NOT DISCRIMINATING against lactose intolerant people. If you feel discriminated, please ask yourself the following questions:
1. Is Starbucks choosing not to serve you due to your condition or choice to partake in a dairy substitute.
2. Since you feel like you should receive special treatment, should Starbucks also offer gluten free products for free? If they don’t then they would be “discriminating” against those with celiac’s disease?
3. On that note, how about for those who are vegan or those who are diabetic? Should Starbucks provide them with vegan friendly options or sugar free options for free?
4. Do you think that Starbucks should start catering to every special need out there and start offering free alternatives to every single food allergy, nutritional need, or health choice?
5. Did you ever consider that Starbucks is a business whose main goal is to make a profit in order to grow and reward their investors and share holders?
6. Did you look up the definition of discrimination? Does the meaning of the word relate to your dilemma in any way shape or form?
I hear people saying that they will no longer go to starbucks because they are spending too much on coffee if they are being charged an extra 60 cents per cup. I think that if you can afford to pay almost 4-6 bucks on a cup of coffee, you should not be complaining about 60 cents. If you are really that concerned about your spending, I heard that McDonalds offers a McCaffe for about a buck or two.
Hi, I have a question regarding the rewards card change and free drink perk. If one currently has 15 stars and waits until 10/16, would the free drink kick in and give the difference of the 3 stars leftover? Thoughts?
@Janet: supposedly, any drinks (rewards?) that have not been mailed out (whether you ever receive them or not), will go onto your card. It’s a good question…..I assume the old rewards are the old rewards until the 16th. (If you have 15 *stars* on the 16th, and the card has not been mailed yet, then I assume 15 becomes 12 plus 3. ???)
Whew?????????what I had to go through to get my e-mail changed from
billcarter1@windstream.net TO billcarter1@roadrunner.com
Just wondering if any of the folks on here who’d been contacted by MSI about getting a free Verismo machine actually received their coffeemakers. Mine’s never arrived and Cecile hasn’t responded to my email thus far.