Posted by & filed under Marketing & Strategy, Student life.

Description: If you’re a Starbucks’ rewards points regular, you may have noticed that the company has raised the bar, now requiring twice as many points for some of the free treat options. Hot coffee, tea, and bakery selections that used to cost you 50 stars (or points) will now cost you double that amount. If you like to make your Starbucks coffee at home though, these changes will benefit you. The package of ground coffee or coffee beans that used to drain 400 stars from your account now will only cost you 300.

Date:  February 10, 2023; updated February 13, 2023



Discussion points:

1) How many of your classmates are Starbucks Rewards collectors? How do they react to this points change?

2) Why do you think Starbucks raised the bar on some items and lowered it on others?

3) On page 10-10 of Wiley’s Financial Accounting: Tools for Business Decision-Making you will find a discussion of loyalty programs like those offered by Starbucks. How are they accounted for?

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