The chain’s renowned rewards program adds a buzzy new value-grab, potentially laying a course for other marketers to follow.
Starbucks’ loyalty program is an extremely successful part of its business, with over half its sales coming from its rewards members. Tying the program to the virtual world and blockchain technology underpinning NFTs could paint the way for future programs.
NFTs could make sense for loyalty programs because it is another way to interact with consumers. With the depreciation of cookies, getting access to that first-party data [in other ways] is going to be critical.
Taco Bell and Domino’s are reportedly considering ways to tie NFTs to their loyalty programs, though, to date, the brands’ NFT promotions have involved generating donations to their charitable arms.
Heavy betting on NFTs could help business for a few reasons, but at the core is the potential to market to younger consumers who have yet to get in on Starbucks’ rewards program. If the strategy proves successful, other marketers looking to engage Gen Z could follow suit.
As data privacy and access become a bigger issue, NFTs are also a way for consumers to get something of value for the information they share with brands. An NFT tied to loyalty rewards offers a tangible value exchange that could make the transaction feel worthwhile for both parties.