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Starbucks Investigates Grocery Rewards

SEATTLE — Starbucks is exploring ways to extend its My Starbucks Rewards program to the grocery channel, the company confirmed for SN.

The loyalty program rewards cafe visitors who pay with a Starbucks Card one star per transaction. The more stars they earn, the bigger the benefits. With five stars visitors get free flavored syrups and milk options like soy; free refills on brewed coffee and tea; and special exclusive offers.

The extension of My Starbucks Rewards is part of a larger plan to drive consumers from Starbucks stores to the company’s grocery offerings in supermarkets, and vice versa. It’s unclear how the program might work in a grocery setting. Starbucks said it's too soon to share details.

The company plans to demo new grocery products in licensed Starbucks cafes located inside food retail locations like Target.

This isn’t the first time Starbucks has gotten behind cross-channel efforts.

Last year it distributed coupons to coffee house visitors for savings on grocery products like Starbucks Ice Cream, Bottled Frappuccinos, Doubleshot espresso drinks and packaged coffee.

Starbucks also tested products like its $100 million Starbucks Via Ready Brew instant coffee brand in retail and foodservice locations before rolling it out to 25,000 supermarkets, drug stores and mass merchants in June.

TAGS: Marketing