- Starbucks is introducing premium features, including comfortable couches, warm lighting, and revamped wall art in redesigned stores starting in New York and Southern California. The changes align with CEO Brian Niccol’s Back to Starbucks plan, which aims to get customers to stick around locations longer, by adding ceramic mugs for some in-house orders and bringing back the condiment bar at U.S. locations.
CEO Brian Niccol has pushed for Starbucks to be more inviting to customers, and now some of its locations are seeing major changes aligned with his vision.
Starting in New York and Southern California, Starbucks is enhancing its stores with premium features aimed at cultivating a “coffeehouse vibe,” as part of Niccol’s Back to Starbucks plan. Among the changes, Starbucks is adding cozier seating, warmer lighting, and locally inspired art to try to give each redesigned location more of a unique feel.
At a Bridgehampton, N.Y., location that is among the first to be remodeled, cozy chairs and couches, accentuated by dark, Starbucks-themed green walls and hardwood floors give the location a distinct look. A redesigned store in East Hampton, N.Y., also stands out for its wall art paying homage to the town’s seaside location and nautical roots.
The redesigned locations are part of Niccol’s plan to make Starbucks a place where customers want to spend time. Apart from the redesigns, some of the changes include offering ceramic mugs for some in-house orders, as well as bringing back the condiment bar for customers to add their own milk and sugar to drinks. The company is also instructing its baristas to warmly acknowledge customers, making them feel welcome.
Starbucks has made big strategic changes to improve efficiency, including cutting down on its extensive food and drinks menu and doing away with some options for drink customizations. A new order-sequencing algorithm piloted during the first quarter has also helped the company reduce wait times, with three-quarters of orders at test locations arriving in under four minutes at peak.
The big changes Niccol has spearheaded have drawn praise from Starbucks founder Howard Schultz, who said he “did a cartwheel” after hearing about the CEO’s Back to Starbucks plan.
Still, the changes have yet to yield much in terms of financials, with the company reporting $8.76 billion in revenue for the second quarter, just below analyst expectations. Niccol said in an April note, however, that he was confident in his turnaround plan.
“We have a lot of work ahead, but we are on the right track and moving quickly,” Niccol said.