Marketing analysis, opinion, and links by Marian Burk Wood, author of Pearson Education's "The Marketing Plan Handbook."
Showing posts with label gift cards. Show all posts
Showing posts with label gift cards. Show all posts
Thursday, December 26, 2013
Strolling Down the Starbucks Signature Aisle
Now that Starbucks stores are everywhere, the company that brought coffee culture to America is seeking growth through branded packaged products sold in other stores.
The biggest battleground is in supermarkets. Above, a Starbucks Signature Aisle located inside a Safeway supermarket, showing the special holiday blend and the loyalty program Starbucks is offering to reward frequent buyers, an extension of its highly successful cafe rewards program. Don't forget Evolution Fresh juices (acquired in 2011) and the new yogurt to be cobranded with Danone.
To prepare for this latest growth strategy, Starbucks ended its long-time deal with Kraft, which was its original partner for packaged-coffee sold in supermarkets. Even though the divorce cost Starbucks more than $2.7 billion, the company viewed it as a necessary step toward further expansion.
Knowing what customers buy in a cafe and in a store will help Starbucks do a better job of targeting and promoting all of its foods and beverages.
Meanwhile, watch for more Starbucks cafes with localized decor as 2014 arrives. And if you're the one of the one in 10 Americans who (according to company estimates) receives a Starbucks gift card this holiday season, enjoy!
Friday, August 20, 2010
Gift Cards: Big Business, New Rules
There's a gift card for almost everything, from flu shots to charitable donations to Major League Baseball seats and merchandise. Now the rules of the gift-card game are changing.
In the past, marketers set various expiration dates and fees for their gift cards. Effective August 22nd, however, gift cards must comply with a number of new federal rules. The biggest change is the expiration date: gift cards must be valid for at least 5 years. Where issuers charge a fee (for lack of activity, for example), only one fee may be assessed per month (not counting any fee charged at the time of purchase). And for transparency, issuers must provide clear disclosure of terms and conditions on each gift card.
Some of these rules don't apply to gift cards produced before April 1, 2010, but all gift cards will have to be in compliance by January 31, 2011. Until then, retailers and other gift-card issuers will be posting in-store signs or links on their web pages to appropriate disclosures.
In the past, marketers set various expiration dates and fees for their gift cards. Effective August 22nd, however, gift cards must comply with a number of new federal rules. The biggest change is the expiration date: gift cards must be valid for at least 5 years. Where issuers charge a fee (for lack of activity, for example), only one fee may be assessed per month (not counting any fee charged at the time of purchase). And for transparency, issuers must provide clear disclosure of terms and conditions on each gift card.
Some of these rules don't apply to gift cards produced before April 1, 2010, but all gift cards will have to be in compliance by January 31, 2011. Until then, retailers and other gift-card issuers will be posting in-store signs or links on their web pages to appropriate disclosures.