Starbucks: More In Every Cup
Helping markets increase customer engagement and loyalty, sharing data and communication best practice to increase membership of the Starbucks Rewards loyalty programme and the myStarbucks app.
Working with Starbucks across the EMEA region, we are helping to drive customer engagement for one of the most iconic global brands, across one of the most culturally diverse regions in the world. Our challenge is to identify what Starbucks means in each of their 43 EMEA markets, and turn that into a set of optimised, efficient customer experiences that drives business value.
Initial analysis of the brand challenge across the region showed that people don’t really get what Starbucks is truly about – ultimately it’s seen as a very transactional brand. Our aim is to therefore re-position Starbucks as the most meaningful coffee retailer in the region, reclaiming their crown as the true innovator.
We are making a difference to Starbucks in EMEA by enabling each market to understand their growth opportunities and then deploy bespoke and effective customer communications, relevant to their audience and business targets.
A strategic approach for a diverse region
First, we focused on making sense of the EMEA region. Due to the diversity in customer and business needs across the region, a one-size-fits all approach would not work. On the other hand, delivering individual approaches for each of the 43 market would not be practical or cost effective. We therefore applied business modelling and research-based techniques to organise the large number of markets into more manageable clusters.
We then developed customer experiences specific to each of the clusters identified by producing a range of cluster-specific toolkits. This has enabled markets to plan and deploy the central strategy, but suitable to their individual market needs. Toolkits cover a range of subjects from acquisition and onboarding of new members, to launching new products and limited time offers.
A shift in messaging
We’ve helped markets in these clusters to deploy communications with different messages, across different platforms – less about just the coffee, more about the brand, its stories and the story behind the coffee.
We’re already seeing significant developments:
Customer communications – continual optimisation of engagement with existing members. The email open rates are strong – averaging 39% in the UK for active members.
Customer journey – improving the activity of new members (increase in activation rate from 27% to 40%). Members that activate go on to contribute 12% more revenue for the business than non-members.
Digital and tech capabilities across EMEA – supporting client to launch an improved app, which will deliver a more rewarding and personalised customer experience in key regions.
Testing and innovation - A new delivery platform (UberEats) tested in key markets, now rolling out nationally in the UK and being piloted in wider markets.
Developed and tested a revenue driving tactical campaign (Star Dash) to increase frequency of purchase amongst members. Gross Incremental Sales of £171,585 within a 2-week campaign window (significantly outperforming previous campaigns)