Starbucks to cut back on app promotions

Coffee chain Starbucks will be making changes to its in-app promotions according to several reports.

The Wall Street Journal was the first to report the reduction of discounts the cafe chain had been offering this year.

The move was led by new Starbucks CEO Brian Niccol, according to the newspaper. He was selected in August to take over the company. Niccol was the CEO of Chipotle.

Just last month, Starbucks gave extra loyalty points on Tuesdays and drink deals on Saturdays. Earlier it had buy one, get one for 50% off promotions.

Employees said the promotions would cause spikes in customers but also impacted the stores’ accuracy and timeliness when it came to fulfilling orders, Today.com reported.

Starbucks North America President Sara Trilling said, “the broad Starbucks Rewards offers that we’ve been doing previously had been hard.”

A company spokesperson confirmed the changes to the “Today” show but did not give any additional details.

The Wall Street Journal said there will not be major offers during the holiday season. Instead, they will advertise their seasonal drinks to get the word out and people into the stores.

Starbucks did not offer many promotions in the past but used them this year to bring customers back to the cafes at a time when people cut back on eating out, CNN reported.

Niccol had said “We will be the community coffeehouse known for great coffee.”

“There’s a shared sense that we have drifted from our core,” Niccol told employees in a letter, CNN reported. “We’re committed to elevating the in-store experience — ensuring our spaces reflect the sights, smells and sounds that define Starbucks.”

© 2024 Cox Media Group