Starbucks Global Brand Chief on AI Ordering, Rewards Overhaul, and Future Trends

Transforming the Starbucks Brand Experience

• 💡 Trese Lieberman, Global Chief Brand Officer, discusses integrating marketing, menu, digital experience, merchandising, and CPG to present a unified global brand.
• 🚀 This integration has led to growing both non-rewards and rewards members for the first time in four years, with customer loyalty reaching a five-year high.

Marketing, Rewards, and Customer Value

• 🎯 Starbucks is increasing visibility and relevance through marketing, including partnerships like the Winter Olympics and Mr. Beast.
• 💰 Marketing budgets are being right-sized by adjusting discounts, focusing on delivering bigger value and the right offers at the right time.
• 🌟 The rewards program has been overhauled with new tiers (Green, Gold, Reserve) to better reward frequent customers, alongside everyday perks like Free Mod Monday.

Menu Innovation and Digital Future

• 📅 Upcoming menu innovations include a new matcha menu, ube coconut macchiato, and energy refreshers, with a focus on winning the afternoon.
• 🤖 An AI ordering companion is in development, aiming to allow customers to express their mood or desired drink, with AI making recommendations and facilitating orders.
• 🧩 The company is balancing order complexity with innovation by optimizing the core menu, reducing SKUs by 25%, and building new items on existing structures.

Engaging Younger Consumers and Cultural Trends

• 💬 Starbucks is leveraging culture to engage customers, particularly Gen Z, by responding to trends like the Dubai chocolate matcha latte and viral merchandise.
• 📈 A trending menu allows for rapid incorporation of new creations, such as the Cannonball drink developed with Mr. Beast.

Key Trends Shaping the Future

• 🌱 Health and wellness remain a leading trend, with Starbucks adding protein and exploring new innovations.
• ✨ Customers desire beautiful drinks and new flavor experiences, with upcoming innovations including mango chai, blended refreshers, and sparkling beverages.
• 🛠️ The focus is on creating a personalized experience, allowing customers to be their own barista and customize drinks, while maintaining clean ingredients and unique Starbucks flavors.