Starbucks Aims for Comeback with Focus on Customer Service
TL;DR
- Starbucks' multi-year turnaround plan is prioritizing an improved customer experience with its new Green Apron Service program. Product innovations, like protein cold foam, are successfully increasing visit frequency for rewards members. The company is also testing new loyalty perks such as Coffee Loop, aiming to boost its already growing member base.
Starbucks' Turnaround Plan
Starbucks is focusing on improving customer experience as part of its multi-year turnaround plan. Starbucks says it will continue its focus on improving the customer experience as part of its multi-year turnaround plan. The company rolled out its new Green Apron Service program in July as part of CEO Brian Niccol’s “Back to Starbucks” turnaround plan. Brian Niccol said that customers have already noticed a shift in the cafes’ atmosphere.
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Customer Service Improvements
Starbucks is aiming to become the "world’s best customer service company". Niccol mentioned they would "double down on Green Apron’s service by empowering our leaders in and above the coffee house.” Starbucks is focusing on reframing its value perception to loyalty members.
Impact of Product Innovation
Product innovation is a key factor in improving Starbucks’s value proposition. Offerings like protein cold foam are helping boost traffic. According to Niccol, the company is seeing low-frequency rewards customers show up with more frequency because of the protein options.
Starbucks Rewards Program
Starbucks is testing a new rewards perk called Coffee Loop. The Coffee Loop prompts customers to “buy nine coffees, get one free.” Starbucks Rewards member base grew 1% to 34.2 million members.
Holiday Marketing
Starbucks holiday ads feature animated drawings from Geoff McFetridge.
