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Starbucks offering fewer discounts to boost sales, brand [Video]

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Brand Strategy

NEW YORK  Expect to see fewer promotions at Starbucks.

The coffee chain is scaling back promotional offers through its mobile app to get customers to pay full price for its coffees and teas, the Wall Street Journal first reported Monday and confirmed by CNN. The move is part of new CEO Brian Niccol’s strategy to reposition Starbucks as a premium brand while also reducing the strain on employees, who get flooded with work when promotions are high.

The home screen for the Starbucks app is displayed on a smartphone in an arranged photograph taken in the Brooklyn borough of New York on June 10, 2020.

The company in September offered extra loyalty points on Tuesdays and deals on several drink purchases on Saturdays. This was a shift from deeper discounts that spanned many months earlier this year, like “buy one, get one free” and 50% off.

Starbucks also isn’t planning to run broad offers during the holiday season, and …

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