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Non-fungible tokens (NFTs) have become commonplace over the last two years. Brands across industry verticals have been tying the NFTs to exclusive experiences, digital perks, and merchandise. While the market seems to have lost its steam in 2022, due to the growing inflation concerns and the overall dropdown in the crypto market, the upcoming push by Starbucks, the multinational chain of coffee houses, to tie NFTs into its renowned loyalty program can further drive the popularity of NFTs.
Over the last few years, Starbucks has been exploring the blockchain ecosystem. However, it has only been involved in technology for the last few months. In May 2022, the firm hinted at developing a Web3 experience when it announced the launch of a series of NFT collections for offering unique experiences, community building, and customer engagement. Unlike many other players - which have also explored the NFT space - Starbucks is using blockchain technology to enhance its business and expand its loyalty program and not just as a side stunt project. This shows that the firm is betting big on the NFT ecosystem and is ready to make a significant investment in the sector from the short to medium-term perspective.
To engage with Starbucks Odyssey, Rewards members can log into the app using their existing loyalty program credentials. Once they have access to the platform, Rewards members can engage with different activities, which has been named as journeys by Starbucks. Some of the activities that members can interact with include playing games or taking on challenges to further deepen their knowledge of the coffee brand. As the members complete their journeys, they become eligible to collect NFTs that are termed journey stamps by Starbucks.
Initially, members only have access to a limited-edition NFT collection in the Starbucks Odyssey web and mobile app. While the NFTs are hosted on the Polygon blockchain, members can purchase the NFTs using credit and debit cards. They are not required to have a crypto wallet. Notably, the lower barrier to entry is part of the firm’s strategy to garner more interest from Rewards members, as it becomes easier for them to engage with the Web3 experience.
By collecting the stamps or NFTs, Rewards members will be able to gain more points, thereby allowing them to unlock exclusive benefits. Notably, these perks unlocked by the members will go beyond the traditional rewards offered by Starbucks. For instance,
As of September 12, 2022, Starbucks has opened up the waitlist on its web3 platform, which is expected to launch later in 2022. However, the firm is expected to conduct a broad rollout of the platform sometime in 2023.
Notably, the foray of Starbucks into the Web3 ecosystem and tying the NFTs with the most widely used loyalty program speaks volumes about how these big players across industries are looking at blockchain technology.
To know more and gain a deeper understanding of the NFT market in the United States, click here.
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