Starbucks, the popular coffee company, recently pledged not to increase menu prices notwithstanding a substantial pay raise for its staff. This decision comes in line with a series of significant transformations the company is planning to implement.
Wage Increases for Starbucks Employees
The coffee giant recently announced a significant wage increase as part of its new strategic plan. A Starbucks spokesperson verified that some workers would see an increase in their salary by as much as five percent. Despite these changes, the company has vowed not to increase menu prices, which contrasts with its three price hikes since October 2021.
New Range of Grab-and-go Foods
Starbucks is planning to introduce a new assortment of grab-and-go foods. The company's CMO, Brady Brewer, noted that snacks are currently a rapidly growing trend among consumers in the US. Without revealing specific products, the company indicated the focus would be on premium, healthy options in this new selection.
Changes to Starbucks Rewards Program
Starbucks plans to enlarge its rewards program, which will incorporate partnerships with a major bank and a hotel company. Unlike the past where points could only be redeemed for coffee, loyalty program members will now have the chance to use their points on a wider variety of rewards.
Last year, Starbucks collaborated with Delta to allow members to exchange Stars for SkyMiles. However, this change in February led to some customers feeling short-changed as the number of Stars required for a hot coffee or tea was doubled. This has led some customers to explore alternatives due to high drink prices, with many items costing over .
Customers Using Menu Ordering Hacks
Some innovative customers have found ways to reduce their costs through savvy menu ordering hacks. There is even a campaign by Starbucks consumers for the removal of a milk upcharge, showing increasing customer ingenuity in the face of higher prices.