What is the Starbucks and American Airlines partnership?

  • Jul 30, 2024
What is the Starbucks and American Airlines partnership?

CBL and Starbucks Partnership

There was a corporate partnership between Starbucks and American Airlines in early 2015, and the goal of this partnership was to make flying with American Airlines a positive experience. The partnership made Starbucks products available on flights and in airport lounges of select American Airlines, giving customers Starbucks products that were consistent with the company’s Code of satisfactory experience and customer comfort as it sought to inspire and nurture the human spirit.

Of the total, 53 percent are snacks, and the rest are beverages, including those offered to passengers on American Airlines flights and Starbucks products.

Starbucks and American Airlines enter a partnership.

Starbucks started supplying flying coffee, teas, and some foods for passengers traveling in early 2016 with American Airlines. This was when American Airlines partnered with Starbucks to have Starbucks coffee, hot tea, and some packaged foods served on all American Airlines domestic and international economy class, premium economy, business class, and first-class flights.

In August 2010, Starbucks signed an agreement with American Airlines to offer its products on more than 80 percent of the flights departing in the United States, which could be Starbucks’ biggest deal with an airline provider at the time. Currently, the following Starbucks products are available onboard: freshly brewed coffee with and without milk, espresso, cappuccino, latte, hot tea, drip coffee bags, Starbucks VIA Instant and Starbucks gourmet bakery items, paninis, parfaits, and snack boxes.

This relationship helps American Airlines tap into Starbucks's knowledge to deliver a Starbucks experience to customers on the airline. Starbucks had nearly five decades of experience in sourcing and roasting quality arabica coffee across the globe, coupled with a wealth of customer knowledge on product improvement to help elevate America’s in-flight offering.

To Starbucks, this was in line with its strategy for expansion and helping customers access the Starbucks Experience anywhere in the world. American Airlines also offered Starbucks exposure to millions of new customers due to its stature as one of the world’s biggest airlines, with 6,778 flights daily to over 348 locations in over 50 countries.

Access to Starbucks Lounges in American Airlines Admirals Club

Other than the food services, Starbucks and American Airlines also jointly opened Starbucks cafes within American airports’ lounges, the Admirals Club. Under the alliance, Starbucks intended to open more cafes and provide food and drinks at several other Fresh Admirals Club sites in the United States.

The very first check-in airport Starbucks lounge by American Airlines was opened in February 2018 in the Dallas/Fort Worth International Airport, where the airline is headquartered and has one of its largest operational centers. Starbucks later evolved to open cafes in Admirals Club lounges in Chicago O’Hare and Miami International Airport, as well as in Seattle-Tacoma International Airport.

Starbucks created the lounges as exclusive to Admirals Club customers, and the menu boards, aprons, mugs, and merchandise that are in the picture below are aimed at recreating the coffeehouse experience for customers in the airport lounge setting. The Starbucks lounges offer the Starbucks brand of quality coffees, the regular collection of espresso-based beverages, Tazo teas, and Starbucks’ food menu and other pastries for their clients to enjoy as they wait for their flights.

The partnership benefits American Airlines by creating a competitive advantage for the company’s premium airport lounge spaces, as Starbucks’ pr***ng offers passengers Starbucks’ trademark beverages as well as quality food to enhance the travel experience. For Starbucks, establishing cafes in American lounges also enables the brand to expand its café retail further into superior and active airport terminals.

Integrating Loyalty Programs

To ensure that consumers remain loyal to the brands, Starbucks and American Airlines agreed to integrate their branded loyalty systems in 2021. Starbucks’ customers who are also AAdvantage members of American Airlines could start earning miles and Elite Qualifying Dollars while purchasing their Starbucks products at outlets that accept Starbucks gift cards.

Similarly, purchases made by travelers who were Starbucks Rewards members could also start earning Stars to redeem for free food and beverages on qualifying American Airlines flights. The integration of the two loyalty programs enables the customers of the two brands to harvest and redeem loyalty points across partners with a high level of relevance. This creates more value and, therefore, the reason for customers to continue patronizing Starbucks or American when they want their coffee or airline needs, respectively.

An Elevated Partnership

The massive strategic alliance between Starbucks and American Airlines involved linking the most loved specialty coffee with the world’s largest airline company. This was possible and enabled Starbucks to get related and be close to America’s more than 100 million passengers per year while at the same time enhancing its brand awareness and extending its reach and coverage to airports across the United States and internationally.

In the same manner, American Airlines leveraged Starbucks’ brand reputation and experience in providing quality products and excellent service to passengers by improving its food and drink service and even airport lounges. The alliance offered a good chance for both legendary American companies to reach out to new customers and establish a mutual interlinkage with the customers’ experience and rewards. Finally, the collaboration with Blacklane was to create a sense of loyalty to the brand by making the moments that count for customers on the go even better.

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