Starbucks claims $181M in revenue from unused gift cards (2022) • Hacker News Board

Re: Starbucks claims $181M in revenue from unused gift cards (2022)

#101

Post by JohnFen » Thu, Apr 27, 2023, 5:11 PM UTC

ProAm wrote: post #99

triceratops wrote: post #98

Earlier quoted context omitted.

"Lug them around" they're not lead bricks. Put them in your wallet. When you pay at a restaurant or coffee shop, they're right there next to your cash or credit card, ready to be used. Throwing out literal money is just absurd elitism and waste.

My wallet has spots for a total of 5 cards. Between ID, bank card, credit, medical and building I literally dont have space for it. (Im not buying a new wallet to lug around gift cards). But even historically when I had a bigger wallet that could carry more card I would never remember the off chance I went to one of these stores that I had a card. I go to starbucks maybe once a year (its just not my coffee place). >…

> Its not wasted, Starbucks still gets the money

That counts as "wasted" to me.

Re: Starbucks claims $181M in revenue from unused gift cards (2022)

#102

Post by NoZebra120vClip » Thu, Apr 27, 2023, 5:16 PM UTC

osigurdson wrote: post #97

NoZebra120vClip wrote: post #90

Earlier quoted context omitted.

Think about it this way: many people derive peace-of-mind from giving a gift whose purpose is known. Now, I can hand someone $20 and hope they don't spend it on booze, drugs, or prostitutes. Or I can hand someone a gift card, knowing they will spend it on Starbucks (not that expensive coffee isn't on a spectrum of vices anyway.) I can't put my finger on it, but as someone who has wholeheartedly embraced a "cashless s…

>> I don't drive Suggest learning how to drive if you can. Being dependent on others isn't great.

I didn't say that I can't drive. And I don't think that you can show me a human being who is not interdependent on others for something. Do you grow all your own food?

Re: Starbucks claims $181M in revenue from unused gift cards (2022)

#103

Post by BenjiWiebe » Thu, Apr 27, 2023, 7:41 PM UTC

olliej wrote: post #87

xwdv wrote: post #72

Earlier quoted context omitted.

If you can pause for reflection to go check your past history of purchases to determine if you should make another purchase, then you could probably just remember if you’ve been on a recent spending spree.

Most people being hit repeatedly by overdraft fees and the like aren't on spending sprees. They're people who have little to no money, and earn little to nothing. They get hit by overdraft fees whenever any bill is larger than expected, or they get a parking fine, etc. I really don't think people understand that if you're commenting on HN you are unlikely to be in the same financial ballpark as someone who is actuall…

Oh and if anyone knows anyone is suffering this, have them look into fee-free banks such as Discover bank. 0 fees.

Re: Starbucks claims $181M in revenue from unused gift cards (2022)

#104

Post by gffrd » Fri, Apr 28, 2023, 12:01 AM UTC

papercrane wrote: post #13

gffrd wrote: post #6

What a nice little interest-free loan for them!

The interest free loan is more like $1B dollars. This $181M is the breakage, the left over gift card balances that are unlikely to be redeemed and they are recognizing as revenue. e.g. The $2 left on a $20 gift card that someone doesn't bother redeeming. They also get another $1B of deposits from people loading money onto their app to pay for drinks. Starbucks is basically sitting on the equivalent of a small banks d…

Right, I guess it's really "nice little effortless profit!"

This is why gift cards / loyalty balances are just crazy to me.

For a little convenience, you turn money into feudal coinage that only ever goes down in value: you see no interest, no adjustment for inflation. $100 on a gift card today is $97 (and probably less!) a year from now, ignoring completely the benefit the financial upside to the company for it.

Now I'm all worked up …

Re: Starbucks claims $181M in revenue from unused gift cards (2022)

#105

Post by osigurdson » Fri, Apr 28, 2023, 12:50 AM UTC

NoZebra120vClip wrote: post #102

osigurdson wrote: post #97

Earlier quoted context omitted.

>> I don't drive Suggest learning how to drive if you can. Being dependent on others isn't great.

I didn't say that I can't drive. And I don't think that you can show me a human being who is not interdependent on others for something. Do you grow all your own food?

Apologies, not sure why I made that comment. Drive, don’t drive, whatever, do what you want. Not sure why I thought it would be a good idea to pass judgement on such things.

Re: Starbucks claims $181M in revenue from unused gift cards (2022)

#106

Post by NoZebra120vClip » Fri, Apr 28, 2023, 4:07 AM UTC

osigurdson wrote: post #105

NoZebra120vClip wrote: post #102

Earlier quoted context omitted.

I didn't say that I can't drive. And I don't think that you can show me a human being who is not interdependent on others for something. Do you grow all your own food?

Apologies, not sure why I made that comment. Drive, don’t drive, whatever, do what you want. Not sure why I thought it would be a good idea to pass judgement on such things.

Thank you, and apology is accepted. No harm, no foul.

Re: Starbucks claims $181M in revenue from unused gift cards (2022)

#107

Post by triceratops » Fri, Apr 28, 2023, 1:47 PM UTC

ProAm wrote: post #99

triceratops wrote: post #98

Earlier quoted context omitted.

"Lug them around" they're not lead bricks. Put them in your wallet. When you pay at a restaurant or coffee shop, they're right there next to your cash or credit card, ready to be used. Throwing out literal money is just absurd elitism and waste.

My wallet has spots for a total of 5 cards. Between ID, bank card, credit, medical and building I literally dont have space for it. (Im not buying a new wallet to lug around gift cards). But even historically when I had a bigger wallet that could carry more card I would never remember the off chance I went to one of these stores that I had a card. I go to starbucks maybe once a year (its just not my coffee place). >…

If you really think gift cards are pointless, stop accepting them. Tell people it's a personal policy. They will respect that.

I don't know how you figure it isn't wasted money. Not only did you not receive the good or service that they spent their hard-earned money on - which is fine, you don't have to use it for yourself - you didn't even pass on the gift card and receive some smaller benefit. That's thoughtless and disrespectful - not the act of someone giving you a gift card, but you accepting and throwing it out.