- International coffee store franchise giant Starbucks is eyeing launching a new Web3 rewards program.
- Interim CEO Howard Schultz emphasized the revelation of the Web3 digital initiative will allow the company’s loyalty programs to expand.
- The move is aimed at creating an entirely new set of digital network effects for attracting new customers.
In the company’s fiscal Q3 earnings call on Tuesday, the interim CEO of the coffee giant Starbucks, Howard Schultz, revealed the firm’s plans for a new Web3 digital initiative. As per the reports, the coffee store franchise is looking forward to launching a new Web3 rewards program to attract new customers.
Though much information was not revealed surrounding the digital initiative of the firm as the interim CEO kept the news close to him, he did slip some pieces out.
As per him, the current digital Starbucks Rewards ecosystem is going to be integrated with the Starbucks-branded digital collectibles. They will reportedly be serving as both a reward and an element contributing to building the community.
Schultz released a statement focused on enhancing the current Starbucks Rewards engagement model:
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 complete details about the new Web3 Digital Initiative are set to be revealed on the occasion of Starbucks’ Investor Day, September 13. He revealed:
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.
The company’s move in the Web3 space is aligned with Starbucks’ push to allure and retain the younger side of the customer base of Starbucks. Schultz clearly mentioned that Starbucks has no intentions of sustaining a business where the customer base is getting old.
Digitization is inevitable, and to thrive in the industry, the firm is taking measures to be more relevant to GenZ than ever.