When Luckin Coffee conquered the Chinese market at a “blitz” speed, people once asserted that the status of traditional coffee giant Starbucks was in jeopardy. But a set of data has surprised industry observers: As of 2023, Starbucks has more than 60 million WeChat mini-program members in China, and the orders generated through mini-programs account for 42%, and has achieved positive growth in same-store sales for eight consecutive quarters during the epidemic. Behind this counterattack is the “Chinese-style growth password” that deeply links WeChat ecosystem and physical business.
Digital transformation from “not adapting to the environment” to “hyperlocalization”
In 2017, Starbucks faced double challenges in the Chinese market: on the one hand, local coffee brands snatch young consumers with low prices + takeaway model; on the other hand, the Chinese market, where the mobile payment penetration rate exceeds 86%, put forward an urgent need for digital transformation for Starbucks, which relies on line tests.
The timely appearance of WeChat mini programs has become the key to breaking the deadlock. Instead of simply copying the US App strategy, Starbucks chose to deeply bind to WeChat, which has 1.2 billion monthly active users. The “Starbucks Use Stars” mini program launched in 2017 converts traditional stored value cards into electronic gift vouchers that can be given socially. This seemingly simple function implies the underlying logic of social fission: when a user gives a coffee coupon, the mini program will automatically generate a dynamic card with Starbucks classic visual elements, and the receiver needs to click to enter the mini program to redeem it – Single social behavior can bring at least two user reachs.
Build a digital moat of “Tripe”
1. Social fission engine: Make coffee a social currency
Starbucks has designed a three-level communication mechanism in the mini program:
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First-level communication: After users purchase electronic coupons, they can give them directly through WeChat chat or Moments
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Second Level Communication: The “Giveaback” button will automatically pop up when the recipient redeems, stimulating the closed-loop consumption
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Level 3 Communication: Seasonal limited gift vouchers (such as Mid-Autumn Jade Rabbit Cup Set) stimulate users to actively share their desires
This design has enabled the average annual share of mini program users to reach 17.3 times, far exceeding the industry average of 5.8 times. During the Mid-Autumn Festival in 2022, the “Jade Rabbit Chasing the Moon” theme gift voucher set a sales record of 500,000 copies per day in the mini program.
2. Data-driven membership system reconstruction
The traditional membership system relies on the cumulative consumption amount, and the Starbucks mini program will deeply bind member rights and user behavior:
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Sign in and give away stars (points)
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Participate in new product research to unlock exclusive offers
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Birthday and month double star reward
More importantly, after the mini program and WeChat payment data are connected, Starbucks can accurately identify office workers with “high frequency and low customer orders” and business people with “low frequency and high customer orders”. The former pushes breakfast package discounts, while the latter recommends high-end hand-brewed coffee coupons. This refined operation has increased the frequency of member consumption by 34% and the average customer price has increased by 22%.3. The experience revolution of O2O fusion
When other brands are still debating “whether online will impact offline”, Starbucks has completed the scene reconstruction through a mini program:
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“Click on mobile phone, pick up in the store” function shortens the average waiting time from 7 minutes to 90 seconds
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“Fei Kuai” store navigation combined with LBS technology, it automatically recommends stores with the smallest traffic within 3 kilometers
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“Coffee Workshop” Live Realizes the closed loop of “watching teaching – buying raw materials – making appointments for experience classes” in the mini program
This seamless online and offline model has enabled Starbucks mini-program users to store conversion rate to 73%, 41 percentage points higher than non-mini-program users.The “Invisible Battlefield” in the WeChat ecosystem
Starbucks’ success is by no means accidental, behind it is a profound insight into China’s mobile Internet ecology:
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Lightweight entry thinking: Compared to apps that need to be downloaded, the characteristics of mini programs that are ready to use are more in line with the habits of Chinese users
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Social relationship chain monetization: Transform WeChat’s strong social attributes into brand communication potential energy
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Scenario-based service embedding: From “post-payment recommendation mini program” to “direct connection of public account menu”, build multi-channel contacts
According to Tencent’s financial report, Starbucks mini-program has become a “benchmark case” for catering categories in the WeChat ecosystem, and its user retention rate reaches 58% the next day, more than 2 times the industry average. This high viscosity not only brings direct sales conversion, but also allows Starbucks to continue to cultivate brand loyalty in the private domain traffic pool.Business Inspiration Behind Numbers
When Starbucks moved the concept of “third space” to WeChat mini-program, it actually created a virtual store that is “open for 24 hours”. From giving away coffee coupons in the early morning to online ordering at midday, from redemption of membership points in the afternoon to pushing coffee culture content in the late night, each touchpoint has been carefully designed.
The success of this strategy confirms a trend: In the Chinese market, those who win the private domain will win the world. Through the WeChat mini-program, Starbucks not only resisted the impact of local brands, but also established digital assets with more than 60 million users – this number is equivalent to 7 times the national population of Switzerland.
As Starbucks China CEO Tsai Tsai said, “We are no longer just companies selling coffee, but rather provide emotionally connected service platforms through digital technology.” This change that began with WeChat mini-programs is redefining the Chinese survival rules of global brands.
