Starbucks Rewards Program Expands Grocery Store Eligibility

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Starbucks Corporation (NASDAQ:SBUX) announced that its Starbucks Rewards Program will be expanded.

Starbucks Rewards Program
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The amount of items that help you rack up Rewards with the company is now triple the amount it was yesterday, as buying K-Cups and ready-to-drink coffees will net you points that can later be redeemed at a cafe.

In fact, the company has tripled the items that help you get Starbucks for less, including a ton of items at grocery stores and supermarkets. These Rewards can be redeemed for coffee, food or other merchandise at one of its locations.

The company’s loyalty membership program has surged 11% year-over-year, now reaching 13.3 million members overall, according to Starbucks’ earnings call last week.

Starbucks Rewards program made up 36% of its U.S.-operated sales in the U.S., while mobile payments made up 29% of the company’s transactions.

“When you take 13-point-some million members and you multiply it by an 8 percent increase year-on-year, that turns out to be one enormous number, and that’s been a major contribution to our business,” Matthew Ryan, global chief strategy officer for Starbucks, said on the earnings call.

Same-store sales growth were weaker than expected for the company throughout the course of its first quarter due to bottlenecking, but the CEO claims the company is changing its ways.

SBUX stock is up 0.2% Thursday.


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