At the 2025 Annual Meeting of Shareholders, Starbucks CEO Brian Niccol made significant announcements regarding improving the customer and staff experience, particularly focusing on reducing wait times at US stores.
Niccol’s “Back to Starbucks” strategy is already in motion. He had previously promised to cut down customer wait times by simplifying the menu and decreasing the frequency of discount – driven offers. He shared that early feedback indicated these were the right moves for partners (employees), customers, and the business. Simplifying the menu likely streamlines the preparation process, allowing baristas to make drinks more quickly. Fewer discount – driven offers might reduce the influx of customers during certain times, which could otherwise create long queues.
As part of his efforts, Niccol has increased staff hours at 3,000 company – owned US stores. Additionally, he is testing a new staffing model aimed at efficiently handling mobile orders. Mobile orders account for over 30% of transactions at US stores, and as Niccol pointed out in October 2024, they can be challenging to sequence and deliver promptly during peak hours. The new staffing model may involve reallocating staff responsibilities or having specific team members dedicated to mobile order preparation.
In terms of store layout, Starbucks plans to remodel its outlets. There will be a greater separation between in – store transactions and mobile order collection areas. This includes the addition of dedicated pick – up shelves. This change should reduce in – store congestion caused by customers waiting for their mobile orders, which often leads to delays. By having a distinct area for mobile order pick – up, baristas can better manage the flow of orders and customers can easily retrieve their drinks without getting in the way of in – store transactions.
Niccol also revealed new espresso bars. These are designed not only to improve customer engagement but also to “add a sense of theatre” for dine – in customers. This could potentially enhance the overall in – store experience, making it more appealing for customers to sit and enjoy their coffee at the store.
Niccol emphasized that Starbucks aims to be a solution for both connection – seeking customers and those looking for quick and convenient service. The company believes it has the capacity to fulfill both these needs.
During the meeting on 12 March 2025, shareholders voted on various proposals. One of the significant changes was the appointment of former LEGO Group CEO Jørgen Vig Knudstorp as the new Lead Independent Director, replacing Mellody Hobson. This change in leadership at the board level may bring new perspectives and strategies to the company.
Starbucks, based in Seattle, has an extensive global presence. It operates over 17,000 US stores and 23,500 outlets in 87 international markets. Financially, for the fiscal year ending 29 September 2024, it reported annual revenues of $36.2 billion. In January 2025, it announced first – quarter sales of $9.4 billion. These numbers show the company’s financial strength and the importance of initiatives like those announced by Niccol to maintain and improve its market position and customer satisfaction. Overall, Niccol’s announcements seem to be a comprehensive approach to addressing current challenges and enhancing the Starbucks experience for all stakeholders.
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