The primary challenge was to overcome the stagnation in pod velocities, indicating a lack of consumer interest or awareness regarding the new Starbucks Nespresso pods available at Target locations.
To address the challenge, Starbucks implemented a cutting-edge and highly interactive marketing campaign. The centerpiece of this strategy was the development of an innovative mobile application, known as APP>LESS. This app was designed to guarantee real human engagement with hyper-targeted coffee-loving shoppers around selected Target locations.
The APP>LESS platform leveraged advanced targeting algorithms to identify potential customers based on their proximity to specific Target stores and their demonstrated interest in coffee-related content. The app engaged users by allowing them to explore and experience the new coffee flavor variants in a personalized way, tailoring the presentation of the products based on the consumer's mood.
The interactive features of the app included mood-based quizzes, augmented reality experiences, and exclusive promotions accessible only through the mobile platform. This approach aimed to create a memorable and personalized connection between the brand and the consumer.
The execution of the APP>LESS campaign yielded impressive results for Starbucks.
The targeted and engaging approach led to a remarkable 15% sales lift across the four new coffee flavor variants. The return on investment (ROI) for the campaign was an outstanding 3.33, highlighting the effectiveness of the strategy in driving both consumer interest and purchase behavior.