Starbucks CEO Brian Niccol found evidence of the turnaround plan working in a Reddit thread



Starbucks CEO Brian Niccol found evidence that his efforts to turn around the coffee chain’s fortunes are working while scrolling through Reddit.

During a interviews at the Wall Street Journal Leadership Institute earlier this month and published Monday, Niccol said he was reading a Reddit thread of people going through the interview process at Starbucks, with some users asking what interview questions they should prepare. Some users, supposedly those working in the coffee chain, responded that candidates should be prepared to talk about their value in customer service.

“If you don’t like customer service, you probably don’t like working at Starbucks. We’re on the move to make people understand that,” Niccol said. “When I saw that in the Reddit thread, I said, ‘OK, we’re making progress on what’s the basis of the services we want.'”

Customer service is the core of “niccol”Back to Starbucks” plan that he implemented when he took the help of the company in September 2024. Niccol emphasized the hope of returning Starbucks to a cozy third space, away from the image of a hurried pitstop to get an espresso in the morning, and the 1990s nostalgia of staying for a latte. WSJ He wanted the Starbucks experience to return to the fictional coffee shop Central Perk, beloved in the sitcom Friends characters.

To achieve this relaxing effect, the coffee chain implemented several changes in its stores, including install comfier seating and returning seats to thousands of locations where most of the furniture has been moved to accommodate more mobile ordering, as well write the names of the customers in Sharpie in every to-go cup. It has cut the size of its menu in hopes of speeding up orders and introduced trendy items such as protein drinks to attract customers.

“There is great value in being a world-class, customer service company combined with great craft, great quality food,” Niccol said in Fast Company Innovation Festival in September. “When you look at the combination of those two things for the price we have to pay for it, I think it’s going to be worth it.”

Early signs show that Niccol’s efforts to revive the brand are working. In October, the company reported Global sales of stores open for at least a year rose for the first time in two years.

Customer service challenges for mobile order crowd

One complication of Niccol’s vision of a Starbucks filled with lingering patrons is that 70% of the store’s orders—including 40% drive-thru and 30% mobile, according to the CEO—come from customers looking for coffee and to-go. He said that store employees are expected to greet and serve customers the same way, no matter how long they have been in the store.

“When the ticket comes out…it doesn’t matter to (baristas) whether they make a mobile order or a cafe order,” said Niccol. “What’s important, though, for the customer is the expectation of mobile ordering, you have to be on time and accurate. The in-cafe customer, they want a little connection, and then they also want to know you’re on time.”

Mobile ordering has been a challenge for Starbucks, with baristas struggling to keep up with the busy flow of orders on a weekday morning. Former CEO Laxman Narasimhan said last year Loyal customers are even canceling orders.

In addition to cutting the size of its menu, Starbucks has also implemented AI-powered technology behind the counter to help streamline baristas’ workflow and improve efficiency in order to complete orders four minutes or less. Niccol said he doesn’t know how technology will affect the number of employees working in a store. However, making the beverage-making process fully automated would, in his view, undermine the warm reputation for customer service that Starbucks is trying to build.

“It’s still a craft business,” Niccol said. “I think it’s important for you to see the espresso shot being pulled, the milk being steamed, the actual handcrafting of the drink. I know there are a lot of people who believe you can make a robot.



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