Starbucks CEO Brian Niccol speaks with FOX Enterprise’ Liz Claman from the corporate’s management convention, the place he weighs in on prime priorities and progress methods, in addition to including protein chilly foam to drinks in menu innovation.
Starbucks is closing its pickup-only grab-and-go shops subsequent yr to higher align with CEO Brian Niccol’s strategic coffeehouse portfolio overhaul geared toward revitalizing visitors and restoring in-store experiences.
Starbucks determined to sundown its cell order and pickup-only idea in fiscal 2026 following an analysis of its North American portfolio to make sure it has “the right coffeehouses in the right locations to drive profitability and deliver the Starbucks experience,” Niccol mentioned on the corporate’s earnings name Tuesday.
Niccol mentioned the seize and go mannequin was “overly transactional and lacking the warmth and human connection that defines our brand.” Niccol, who took over almost a yr in the past, believes the corporate’s digital providing is powerful sufficient to ship the identical stage of comfort for patrons.
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His purpose is to revitalize the espresso home aesthetic to maintain clients in shops longer whereas offering a “superior” cell order expertise, adjustments he believes will “improve and transform the foundations of our North American business.”
Since taking on as CEO within the fall of 2024, Niccol has been attempting to rebuild the corporate’s tradition via his “Back to Starbucks” technique.
An individual drinks Starbucks ice espresso in Krakow, Poland on June 7, 2025. (Beata Zawrzel/NurPhoto by way of Getty Photos / Getty Photos)
Niccoli isn’t solely working to spice up profitability, but in addition to enhance the work atmosphere to create the “unrivaled best job in retail” after the corporate confronted years of rising strain from unionization campaigns nationwide and consecutive disappointing fiscal quarters as visitors declined.
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Starbucks CEO Brian Niccol appears to be like on in the course of the Golden Bear Professional-Am previous to the Memorial Event offered by Workday 2025 at Muirfield Village Golf Membership on Might 28, 2025 in Dublin, Ohio. (Michael Reaves/Getty Photos / Getty Photos)
He has been working to streamline operations, together with slicing 1,100 assist companion roles and shutting a number of hundred open, unfilled positions earlier this yr to construct extra agile groups. Staff are additionally now required to return to the workplace 4 days per week to “eestablish our in-office culture,” Niccol mentioned.
He additionally simplified the corporate’s menu, slicing greater than a dozen under-performing drinks to foster innovation and scale back wait instances. He additionally mentioned the corporate is within the midst of working to make the value of meals and drinks on its app extra clear.
Ticker Safety Final Change Change % SBUX STARBUCKS CORP. 92.76 -0.20
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To return the shops to their former aesthetic, it introduced again the condiment bar and re-introduced “personal touches” like providing mugs for patrons that ordered “for here” in addition to providing free refills on sizzling brewed or iced espresso and tea. The purpose is to maintain clients in its shops for longer.
An worker fingers a drink to a buyer on the drive-thru of a Starbucks espresso store in Hercules, California, on Thursday, July 28, 2022. (Photographer: David Paul Morris/Bloomberg by way of Getty Photos / Getty Photos)
The corporate has additionally been boosting advantages, like doubling parental depart, for staff.