Starbucks Corp announced that it is expanding its loyalty rewards program at grocery stores to include more products in an effort to win more customers in the United States.
According to Reuters, the Seattle-based coffee chain’s plan to add more than triple the number of products it sells under the rewards program comes after customer backlash when Starbucks overhauled an existing program last year.
The company launched its rewards program in 2009, where customers would receive one star per purchase and could redeem 12 stars for an item. Under changes made last year, customers earned two “stars” for every $1 spent and needed 125 stars to get a free food or drink item, meaning some would have to spend more money to get free items. This caused customer backlash and a furor on social media.
With the new expansion, U.S. customers could now earn stars on a wider range of products, sold mainly at grocery stores, including its K-Cup packs, packaged roast and ground coffee and multi-serve chilled coffee.
The move also comes after the company’s warning last month that full-year revenue growth would be at the lower end of a previously forecast range amid stalling growth in its U.S. business.
