Starbucks getting rid of an ordering option as CEO pushes turnaround

Core Insights - Starbucks is closing its pickup-only grab-and-go stores in fiscal 2026 to realign its coffeehouse portfolio and enhance in-store experiences [1][2] - CEO Brian Niccol emphasizes the need for a more engaging customer experience, moving away from overly transactional models [3][4] - The company is implementing a "Back to Starbucks" strategy to rebuild its culture and improve profitability while addressing unionization pressures [6][8] Strategic Changes - The decision to sunset the mobile order and pickup-only concept is part of a broader evaluation of the North American portfolio to ensure optimal locations for profitability [2] - Niccol aims to revitalize the coffeehouse aesthetic to encourage longer customer visits and enhance the mobile ordering experience [4][9] - The company is streamlining operations by cutting 1,100 support partner roles and closing unfilled positions to create more agile teams [8] Employee and Customer Experience - Starbucks is enhancing employee benefits, including doubling parental leave, to improve the work environment [11] - The company is simplifying its menu by removing under-performing drinks to foster innovation and reduce wait times [9] - To improve customer retention, Starbucks is reintroducing personal touches like condiment bars and offering free refills on brewed coffee and tea [9]