Starbucks Refill Policy is Now Worse!

Part of my daily routine is a cup of delicious coffee at Starbucks. I pick one up on my way to work and then get a refill a couple of hours later for 50 cents (or free if you have a registered starbucks card). The staff by our office is extremely friendly and the experience is great.

Unfortunately, as of March 25, 2009, Starbucks is eliminating free refills (and 50 cent refills) unless you consume the coffee within 1 hours while at the store. The Staff at my local Starbucks broke the news to me last week.

I guess the company is trying to come up with ways to penalize its best customers. I was calculating that because of their prior refill policy I would go to a Starbucks about 50 times a month (2x per day, 25 days a month). Generally I would just buy a coffee (or get a refill) - but about 1/3 of the time I'd upgrade to a higher margin item like food or an espresso based drink.

Under the new policy, I have no incentive to come back in the store for a second time during a day, so I'll probably start going to Peet's in the afternoon. My visits to Starbucks will drop from 50 times a week to probably about 25 times a week. Starbucks will have 1/2 has many touchpoints and opportunities to sell me things.

Looking at these numbers I'm struck by two things. 1) Starbucks is penalizing their best customers who often evangelize about their brand. 2) I go to Starbucks way too often. I should cut back. Seriously.