The last few months of the year are a popular time for coffee chain Starbucks, thanks to its famous pumpkin spice drinks and a variety of peppermint and gingerbread-flavored holiday offerings. But don't expect any discounts on your order as the weather gets cooler this year and you're more likely to stop by for a hot beverage.
According to a new report Wall StreetJournalStarbucks is reducing promotional offers through its mobile app to ensure customers pay full price for in-store coffees and teas. It's the latest move in a companywide effort to boost revenue as part of new CEO Brian Niccol's strategy to build a premium image around the brand. It could also be a welcome choice for front-line Starbucks workers who are inundated with work during big promotions.
For example, consider the offers available to Starbucks app users in September compared to earlier this year. Last month, customers earned extra loyalty points on Tuesdays and discounts on various drinks on Saturdays. This is a notable retreat from larger discounts such as buy-one-get-one-free deals and 50 percent off promotions earlier this year.
Niccol said in a letter to employees and customers last month that his goal was to revive Starbucks' “community coffeehouse” image at a time when sales are mostly online and app-driven and fewer customers are seated inside.
“There's a common feeling that we've strayed from our core,” Niccol told CNN. “We are committed to elevating the in-store experience, ensuring our spaces reflect the sights, smells and sounds that define Starbucks.”
So when you stop by for a holiday drink this year, don't expect to get it cheap.