Starbucks Rewards didn't start in 2008. And it's more than a discount.
My Starbucks Rewards launched on December 26, 2009, merging two 2008 card programs. By December 2023, Starbucks held $2,199.8 million in stored value and deferred revenue.
Transcript
You will often read that Starbucks Rewards began in 2008. The record says otherwise, and the real story is more interesting.
In 2008, Starbucks ran two separate card programs. My Starbucks Rewards launched on December 26, 2009, merging them into one Stars program with no annual fee.
Members load money onto cards and earn Stars, and Starbucks holds that money until they spend it. At the end of December 2023, the balance was $2,199.8 million.
Some of it is never spent. Starbucks booked $196.1 million of breakage from its company-operated stores in fiscal 2023.
A loyalty program can be a source of interest-free funding, not just a discount. And check the dates before you copy a famous playbook.
The records behind this video
Every figure in the video comes from this Decision Record, each with its sources.
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