Starbucks teases Web3 rewards program to attract new customers



International espresso retailer franchise large Starbucks is seeking to launch a brand new Web3 rewards program to draw and retain prospects, in keeping with its interim CEO Howard Schultz.

Talking throughout the agency’s fiscal Q3 earnings name on Tuesday, Schultz famous that Starbucks will quickly reveal a brand new Web3 “digital initiative” that may increase upon the corporate’s loyalty program:

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“This new digital Internet 3-enabled initiative will enable us to construct on the present Starbucks Rewards engagement mannequin with its highly effective spend-to-earn Stars strategy whereas additionally introducing new strategies of emotionally partaking prospects.”

The CEO saved his playing cards near his chest, however briefly talked about in the course of the name that the agency is “integrating our digital Starbucks Rewards ecosystem with Starbucks-branded digital collectibles as each a reward and a group constructing ingredient.” The total reveal is about to happen throughout Starbucks’ Investor Day on Sept. 13.

“It will create a completely new set of digital community results that may appeal to new prospects and be accretive to current prospects in our core retail shops,” he mentioned.

The corporate’s quarterly outcomes reportedly beat analyst estimates, with a 9% quarter-over-quarter bump in world income to a report $8.2 billion.

Throughout the name, Schultz additionally mentioned that the Web3 transfer is a part of a push to draw and retain the youthful facet of Starbucks’ buyer base.

“We don’t wish to be in a enterprise the place our buyer base is getting old and now we have a much less related scenario with youthful individuals,” he mentioned, including that the corporate has “by no means been, in our historical past, extra related than we’re right now to Gen Z.”

Starbucks initially introduced plans to leap on the nonfungible token (NFT) bandwagon again in April, as Schultz famous that “someday earlier than the tip of the calendar 12 months, we’re going to be within the NFT enterprise.”

Associated: Canadian taco franchise makes use of NFTs for buyer loyalty program

Starbucks might not be the one main model to launch a Web3 loyalty program within the close to future.

Final month business-to-business blockchain startup Cling raised $16 million in Sequence A funding led by Paradigm. The corporate is seeking to assist manufacturers transition their present membership and loyalty applications over to the blockchain and incorporate NFTs.

The agency is reported to have beer producer Budweiser, sports activities media outlet Bleacher Report and well-liked music pageant teams Bonnaroo and Superfly as a few of its early shoppers.