MugBuds

An in-store loyalty program that rewards patrons of independent coffee shops with a personalized in-store experience centered around handmade creature mugs, paired with member perks and events, intended to boost business by building customer loyalty and belonging.

Year
Fall 2025
Research Methods

Group Project with
Micah Shannon & Francesca Voyten

Problem Framing

Problem Space

Independent coffee shops are struggling to stand out from large coffee chains.

Context

The issue takes place within growing cafes in urban and suburban areas, especially universities, creative districts and neighborhood where people gather to socialize, study or work remotely.

Local cafes are used as social hubs yet compete against larger chains that have bigger budgets and more locations.

Merch Mockup Created by Micah Shannon

Who is Affected?

Direct stakeholders:
Local cafes & employees, coffee shop patrons

Indirect stakeholders:
Big chain cafes

Interview Findings

MugBuds is an independent system that gets installed at local coffee shops.

Members pay an annual fee to adopt a “Mug Bud”—a one-of-a-kind creature mug made by a local artist.

Members get to use their mug each time they visit and get exclusive perks ($1 off each pour, free drinks, and access to member-only nights.)

Brand Identity

Starbucks Customer

Values friendly baristas, taste, and convenience. Goes daily, spending about $30/week. Chooses chains for convenience, picks locals when accessible or unique, and isn’t influenced by normal community-focused initiatives.

Starbucks Barista

Customers choose Starbucks for its speed, convenience, and consistent drinks, often returning multiple times a day. Its strong rewards app—with perks like challenges, freebies, and seasonal promotions—keeps people loyal.

However, while it excels in efficiency and digital incentives, Starbucks lacks the authentic, community-focused “third space” feel that many local cafés offer.