Brian Niccol, the newly appointed Chairman and CEO of Starbucks, has admitted that in some U.S. stores, the retailer isn’t “always delivering” the great coffee and sterling customer service that it prides itself on. In a letter to employees, customers and stakeholders, Niccol wrote: “It can feel transactional, menus can feel overwhelming, product is inconsistent, the wait too long or the handoff too hectic. These moments are opportunities for us to do better.”
Niccol, who comes to the coffee retailer after nearly seven years as CEO of Chipotle Mexican Grill, has identified key areas for improvement, including addressing a common complaint: that customers ordering in the store, rather than pre-ordering through the mobile app, can feel overlooked. Niccol has promised to focus on service in the mornings and on creating a clear distinction between “to-go” and “for-here” service, as well as better empowering baristas to take care of customers, ensuring they have the “tools and time to craft great drinks every time, delivered personally to each customer.”
Additionally, Niccol wants to reestablish Starbucks as a welcoming place for customers to linger. “Today, I’m making a commitment: We’re getting back to Starbucks,” he wrote. “We’re refocusing on what has always set Starbucks apart — a welcoming coffeehouse where people gather, and where we serve the finest coffee, handcrafted by our skilled baristas.”
While he will be focusing on the U.S. customer experience to start, Niccol is not ignoring Starbucks’ role as a global retailer, noting that the company operates in 87 markets around the world. “In China, we need to understand the potential path to capture growth and capitalize on our strengths in this dynamic market,” said Niccol. “Internationally, we see enormous potential for growth, especially in regions like the Middle East, where we’ll work to dispel misconceptions about our brand, and in Asia Pacific, Europe and Latin America, where the love for Starbucks is strong.”
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Starbucks has recently been criticized by both pro-Israel and pro-Palestinian groups claiming the retailer has taken sides in the Israel-Gaza conflict, according to the Wall Street Journal, although Starbucks executives have pushed back, with former CEO Laxman Narasimhan saying in a statement that “We see protestors influenced by misrepresentation on social media of what we stand for.”
