General
December 14, 2018
6 minutes read

Starbucks is Launching a First-Of-Its-Kind Virtual Store in China

image : Starbucks Starbucks is launching what it dubs a “first-of-its-kind” virtual store in partnership with Alibaba which it says…

image : Starbucks

Starbucks is launching what it dubs a “first-of-its-kind” virtual store in partnership with Alibaba which it says “unlocks new levels of engagement unseen in the marketplace today with customers”. The new store will provide a one-stop digital experience cross the Starbucks app and mobile apps within the Alibaba ecosystem, including Tmall, Taobao and Alipay.

Alibaba has developed an online management hub specially for Starbucks for this that integrates its digital services including the delivery partnership between both powered by its Ele.me delivery arm, social gifting and the Starbucks’ Tmall flagship store into a single interface for Starbucks customers and the over 600 million mobile monthly active users on Alibaba’s China retail marketplaces.

The “Starbucks Delivers” program, powered by Alibaba’s Ele.me, now covers more than 2,000 Starbucks stores across 30 Chinese cities

image : Starbucks

Customers making use of the social gifting feature will be able to add physical gifts from the Starbucks Tmall flagship store in addition to purchasing a digital beverage gift card for the first time ever. They can also choose to make use of the “Starbucks Delivers” feature and get their beverages delivered within 30 minutes by an Ele.me rider.

The virtual store also provides more ways for customers to earn Stars in the Starbucks Rewards program for their purchases. Starbucks says it expects the strong membership referral pipeline from Alibaba to lead to exponential growth of its Rewards membership in China.

An Ele.me rider sets to deliver a Starbucks order

image : Starbucks

“Enabled by the unprecedented access to Alibaba’s ecosystem, a first for one of the most dynamic and inclusive digital ecosystem in China, the virtual Starbucks store sets a new standard in ‘New Retail’ experience for the Chinese consumer,” Alibaba vice president Xu Hong said. “Alibaba’s cutting-edge New Retail infrastructure and digital power, coupled with Starbucks distinctive customer experience philosophies, will undoubtedly push the boundaries for our ‘New Retail’ strategy.”

“Leveraging the strengths of our transformative strategic partnership with Alibaba Group, this new milestone in the Starbucks digital strategy will significantly fuel our capabilities to provide an even more personalized and enticing one-touch digital experience for the Chinese consumer, while extending the accessibility of our digital innovations into the everyday lifestyle rituals of our customers, regardless of time or place.” Starbucks China Digital Venture vice president Molly Liu also added.