New Starbucks credit card

Starbucks has introduced an affinity credit card. I was hoping for something a little bit more rewarding.

This no annual fee Visa earns 1% of your spending back as Starbucks credit. In their marketing terms (“Two remarkable cards in one!”), your Visa doubles as a Starbucks Card. 1% of your total purchases are deposited onto the Starbucks card each month, and you hand over your Visa as though it were such a card to pay for lattes, etc.

Sounds good, no? The concept is good but the rewards are on the low side. You get $10 in Starbucks for every $1000 you put on the card. I’ll take 1000 Starwood points for $1000 over this any day. To me, that’s at least three times as rewarding.

While many folks consume a whole lot of Starbucks, and thus Starbucks credits may displace cash purchases, Starbucks points aren’t quite as worthwhile or liquid as cash. And several cards offer real cash rebates on at least as good a return basis.

About Gary Leff

Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel - a topic he has covered since 2002. Co-founder of frequent flyer community, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »

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