Starbucks CEO Brian Niccol outlines priorities for revamping the chain
Starbucks CEO Brian Niccol said the coffeehouse chain is moving into the next phase of its Back to Starbucks turnaround program. He named restoring the coffeehouse atmosphere, modernizing locations, updating the menu and attracting customers at different times of the day as its priorities.
As CNBC reports, the company has renovated more than 1,000 locations over the past nine months. By the end of fiscal year 2026, Starbucks expects to complete the modernization of at least 1,500 coffeehouses, and renovate thousands more locations in the following fiscal year.
Menu and service
Niccol said the company aims to make the brand and menu more relevant to current cultural trends. To achieve this, Starbucks plans to use digital menus that should make it possible to offer different products more flexibly throughout the day.
Among the new offerings, the CEO named protein beverages, refreshers and seasonal products, including fall pumpkin spice drinks. The company also seeks to restore coffeehouses' role as a traditional “third place” for socializing outside home and work.
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The Back to Starbucks program includes reducing wait times, simplifying the menu and improving the visitor experience at locations. Its foundation is the Green Apron service model, designed to provide employees with the equipment, tools and conditions needed to work with customers.
China and union negotiations
Work in China, Starbucks' second-largest market, is part of the strategy. The company sold 60% of its Chinese business to Boyu Capital, which will manage this direction. According to Niccol, Starbucks and Boyu Capital share a common vision for developing the business in China.
There are currently 8,000 Starbucks coffeehouses operating in the country. Niccol said Boyu Capital aims to eventually open between 15,000 and 20,000 locations there.
At the same time, Starbucks has still not reached an agreement with workers represented by unions. Niccol said management would continue negotiations to identify areas where the sides can reach agreements.
