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What is weekly or monthly retention for small coffee shops as well as big ones in the US?
Hello! Thanks for your question about the weekly and monthly retention for small coffee shops as well as bigs ones in the United States. The short version is that after searching extensively through industry reports, trusted media sites, user forums, and review sites, we've determined that the information you requested is not publicly available because new customer growth rates are not reported by either industry or brand. However, we were able to learn general information about customer retention numbers, as well as industry data from Starbucks specifically. Below you will find a deep dive of our research and methodology.
METHODOLOGY
Although we were able to develop an equation for calculating consumer retention rates, vital information was not publicly available - notably data for new customers over a specific time period. The most useful sources we found to tackle your question were the 2016 customer retention benchmarks, as well as information about Starbucks on Adweek.com. Loyalty brands offer a way to track consumer retention numbers, but specific data is not available to provide concrete numbers.
HELPFUL FINDINGS
The average American drinks three cups of coffee every day, and only 17% of people in the United States don't drink coffee at all. There are more than 24,000 coffee shops in the United States bringing in $12 billion every year in sales. Over three-quarters of consumers drink several different coffee brands, with 61% of coffee-drinkers looking for the best possible price.
According to Adweek.com, Starbucks "amassed nearly 12 million active monthly mobile users" in North America by 2014. Approximately 5 million coffee transactions are conducted via the Starbucks app weekly. 51% of Millennials specifically want to use mobile apps and loyalty programs at businesses that include coffee shops. The My Starbucks Rewards app is location-based and features a point-system to earn various "perks". The appeal of loyal programs is that they secure repeat patronage; typically, between 60% and 70% of customers only try a business once.
Consumer data from the 2016 Customer Loyalty Benchmarks report includes coffee shops in addition to fine dining, casual, and quick service restaurants: 3% are "super loyal customers;" 28% are regulars; 69% are "at risk;" 70% visit once or twice per year. Additional statistics include repeat patronage by day: 15% of consumers offer repeat business Monday through Friday; 48% visit multiple times on weekends only; and 37% visit several times all week long. Location-focused data states that 82% visit a single location versus 18% visiting more than one business.
Coffee-giant Starbucks serves a whopping 40 million consumers weekly, with its "most loyal customers visit[ing]... 16 times per month." Smaller business Barracuda Coffee "serves between 9,000 and 10,000 customers per month."
POSSIBLE CONTINUED RESEARCH
Loyalty programs offer insight into consumer buying patterns and businesses' customer retention numbers. The Starbucks app is one example, but by no means unique: An Escher Group case study conducted in Ireland focused on a coffee loyalty program similar to Starbucks' called "Insomnia" and found that the company reached over a million transactions in 2015.
The U.S. Chamber of Commerce and Small Business Administration reports that "the average business in the U.S. loses around 50% of its customer base every five years." Repeat patronage makes up four times more of a companies transactions, making loyalty programs a good way to secure consumer business.
CONCLUSION
The information you requested is not publicly available, but loyalty programs and mobile applications offer insight into general consumer retention numbers. Thank you for using Wonder! Let us know if we can help you answer anything else.