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Question: The loyalty program that stands the test of time and which I am pleased as beneficial is the Starbucks reward program. The program influences consumer behaviors in diverse prospects entailing increased frequency of visits and enhanced loyalty. The program incentivizes customers to visit Starbucks more frequently to gain stars which consequently get redeemed for free drinks and food items. Accordingly, the loyalty program influenced my discretion for Starbucks since accumulating rewards culminates in maximizing the value of my purchases which will get redeemed for free drinks and food items (Xin et al., 2018). Equally significant, the Starbucks reward program enhances my loyalty as participating in the program invokes a sense of loyalty towards Starbucks, and the rewards and personalized offers contribute to significantly getting embraced as a valued customer and fostering a stronger connection with the brand.
Important, the Starbucks rewards program benefited the company by increasing sales and revenue, disseminating ideal customer data and insights, enhancing customer retention, and playing a significant role in brand differentiation. The program increased sales and revenue by incentivizing customers to frequent Starbucks to gain stars and unlock rewards, culminating in sales volume and higher revenue for the company as customers chose to order more to attain more redeemable stars. Nonetheless, the program benefited the company by tracking customers' purchases and preferences, which is vital for gathering ideal data and insights about consumer behavior crucial for the company to refine its marketing strategies, personalized offers, and tailor products befitting customer needs (Xin et al., 2018). Nonetheless, the program was a brand differentiation stratagem as it enhanced the brand image and created a competitive advantage, attracting and retaining customers who value the rewards and benefits offered by the company. Therefore, I embrace the Starbucks rewards program as a beneficial loyalty program since it acts as an incentive to visit Starbucks more frequently to gain stars redeemable for free drinks and food items.
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