Dive Brief:
- Eligible loyalty members who link their Starbucks Rewards and Delta SkyMiles accounts will start earning one SkyMile per dollar spent at participating Starbucks stores on Aug. 5, the companies announced Monday.
- Linked members are eligible for miles per dollar spent if they have flown with Delta within the prior 12 months. All members will be granted a grace period on eligibility to earn through Oct. 5.
- Prior to the update, members earned Delta miles by loading money onto their Starbucks Rewards account. This option will be eliminated after Aug. 5. Members will continue to earn double points on Starbucks purchases made the same day as a scheduled Delta flight.
Dive Insight:
Starbucks’ ubiquity, especially at airports, made it a natural loyalty partner for Delta. The new way to earn miles makes the partnership easier to understand and potentially more attractive — though coffee drinkers won’t be earning free flights anytime soon.
The partnership, which launched in 2022, fits in perfectly as part of the pattern of major airlines looking to either attract new customers or maintain old customers, according to Katy Nastro, a travel expert with Going.
“People who love Starbucks are diehard fans,” Nastro told CX Dive. “And if you look, there is literally a Starbucks in every single major, large airport, and I would say to some extent every medium airport, in the country.”
Members of both problems initially earned one mile per dollar spent at a Starbucks location, but that structure ended in June 2024. Since then, customers have had to reload at least $25 onto their Starbucks loyalty membership to earn miles.
The current approach is “an odd way of earning,” Nastro said. Not only do you get points for adding money to an account, rather than spending it, if you don’t add enough you fail to receive any miles at all.
“I think that this new one to one is much better for redeeming or for even just getting the miles in general, and it's less complicated while miles are a complicated ecosystem in general,” Nastro said. “The easier you can make it, the less friction there is for travelers who want to even participate.”
Simplicity is a key factor in a great loyalty program, according to experts. Most consumers only use a few loyalty programs, and they will gravitate towards options that are easy to use while providing a clear benefit.
Even though the Delta/Starbucks partnership is easier from a convenience perspective, that doesn’t make it the next great mile earner, according to Nastro. The miles per dollar ratio is still low enough that it can help customers squeeze out a few hundred miles at the end of the year, but it’s unlikely to earn them an entire extra flight.
The changes likely won’t turn many newcomers into big Delta fans either, according to Nastro. Travelers value price and convenience above all else, so while easier points could make a difference at the margins, it will mainly serve as an extra incentive for flyers who already love Delta and Starbucks.
