New Starbucks CEO Brian Niccol, formerly of Chipotle and Taco Bell, is laying out a plan to bring the coffee giant back to its roots, acknowledging that the brand has lost its way. Under pressure to revitalize Starbucks, which has been struggling with declining sales and supply chain issues, Niccol is eager to implement changes during his first 100 days in the role.
In a letter addressed to employees, customers, and stakeholders, Niccol wrote, “Today, I’m making a commitment: We’re getting back to Starbucks,” emphasizing the importance of creating a welcoming coffeehouse experience where customers can enjoy expertly crafted beverages. He acknowledged the challenges the company faces, particularly in the U.S., noting that service in some locations feels “transactional,” with long wait times, inconsistent products, and overwhelming menus.
Niccol, celebrated for successfully turning around Chipotle during a food safety crisis, outlined his priorities for Starbucks. He aims to empower baristas to provide more personalized service, improve morning operations to ensure timely service, and elevate the overall in-store experience by enhancing ambiance and focusing on customer comfort. Niccol also plans to remind the public of Starbucks’ expertise in coffee through a new marketing campaign.
Technology and supply chain improvements are also central to Niccol’s strategy. He plans to invest in technological upgrades to improve both the customer and employee experience, as well as optimize mobile ordering.
As Niccol leads these changes in the U.S., Starbucks is also expanding globally. Construction has started on a new Starbucks in Bellefonte, Pennsylvania, set to open in November inside a Weis Markets store. This will be the ninth Starbucks in Centre County, continuing the brand’s U.S. expansion.
Meanwhile, Starbucks Peru, operated by its licensed partner Delosi, has opened its first store in Iquitos, a significant city in Peru’s Amazon region. This new store is part of Starbucks’ broader growth strategy in Peru, following recent openings in Juliaca and Puno. The Iquitos store aligns with the brand’s “Greener Store” initiative, incorporating energy-efficient technologies and environmentally friendly practices. The opening also includes Starbucks’ “Grounds for Your Garden” program, which encourages composting by offering used coffee grounds to customers.
Starbucks Peru brand manager Cristel Delgado expressed excitement over the expansion into Iquitos, calling it a milestone in the company’s growth. Starbucks’ presence in Peru continues to expand with innovative formats and a commitment to sustainable practices.
Niccol’s leadership, combined with Starbucks’ global expansion, positions the company to navigate its challenges and reconnect with its customers, both in the U.S. and internationally.