Starbucks found a way to earn billions before serving a single cup. This case study breaks down the overlooked feature powering their most profitable behavioural loop — and what PMs can learn from it.
Gift cards are such an efficient way of delivering value if it's defined the right way. Earning through breakage/pilfrage, is good. Every product manager should sit with a GC industry veteran atleast once in their career to understand customer acquisition and retention strategies.
One thing I think that was missed is how gift card balance works like or even better than Credit cards/plastic money. Since money is already there, the tendency to spend money and buy products is also much higher. A transaction which could've been lost during consideration stage is now guaranteed as no one wants to waste money
Gift cards are such an efficient way of delivering value if it's defined the right way. Earning through breakage/pilfrage, is good. Every product manager should sit with a GC industry veteran atleast once in their career to understand customer acquisition and retention strategies.
One thing I think that was missed is how gift card balance works like or even better than Credit cards/plastic money. Since money is already there, the tendency to spend money and buy products is also much higher. A transaction which could've been lost during consideration stage is now guaranteed as no one wants to waste money