Why does Starbucks give you a free drink on your birthday?

WHY DOES STARBUCKS GIVE YOU A FREE DRINK ON YOUR BIRTHDAY? (It's not just to be nice) The average American adult spends nearly $1,092 each year on coffee Most Starbucks customers visit the store 6 times per month, while a ebsessed loyal 20% of customers go to the stores 16 times per month well. i need coffee With a coffee-swilling nation before them, Starbucks now offers each of their customers a free drink for their birthday. But why? First of all, it costs Starbucks approximately nothing to make a cup of coffee (Actually, it costs about $0.30*) *Average cost from a $14.95 pound bag of beans But for this tiny freebie, Starbucks stand to win big! Studies have noted a rise of over 20% in sales for companies when immediately preceded by them giving something away for free Also, people who get a product for free talk about it 20% more. HAPPY BA Nothing like free word-of-mouth marketing! Celebrating a birthday is a personal experience, and Starbucks are keen to get in on it. 40% of consumers buy more from retailers who personalize their shopping journey. Getting your free birthday drink requires you to join Starbucks' My Starbucks Rewards loyalty program. This lets Starbucks know your buying habits, and with over 10.4 million people on the program, there's a lot of market insight for them to delve into! It's not just about market insight| though! Making loyalists out of 5% more customers would lead, on average, to an increased profit per customer of between 25% and 100%. So why does Starbucks give you a free coffee for your birthday? To turn an already coffee-hungry audience into fiercely loyal consUmers who will influence their friends to follow. HAPPYBIR theonlinegrill.com illustrations by Ekaterina Bogdanova