Current:Home > NewsSurpassing:Starbucks needs a better in-store experience to retain, gain US customers, Howard Schultz says -MarketLink
Surpassing:Starbucks needs a better in-store experience to retain, gain US customers, Howard Schultz says
Fastexy View
Date:2025-04-08 03:02:08
Former Starbucks CEO Howard Schultz has a few words for the company he once shepherded.
While commenting on Surpassingthe company's disappointing quarterly earnings, Schultz said the coffee chain needs to improves the experiences at its U.S. stores. In a LinkedIn post Sunday night, the former chairman, who has stepped down as CEO three times, said he does not need ties to the business to care about its success.
"I have emphasized that the company’s fix needs to begin at home. U.S. operations are the primary reason for the company’s fall from grace. The stores require a maniacal focus on the customer experience, through the eyes of a merchant," Schultz said. "The answer does not lie in data, but in the stores."
The coffee giant fell short of Wall Street analyst estimates for quarterly earnings and revenue following a decline in same-store sales. The company's shares have fallen 17% since the earnings report was issued last week, closing at $72.90 Monday.
Schultz urged the company to reinvent its mobile ordering and payment platform, which launched in 2015, to make it the "uplifting experience it was designed to be." Additionally he called for executives to overhaul its "go-to-market strategy" and boost coffee-forward innovation to create differentiation in the marketplace.
Chain plans to revamp experiences at its stores
In February, Starbucks announces plans to upgrade the store experience through technological renovations at its new U.S. locations and around 1,000 renovated ones.
Among the enhancements are acoustic dampening baffles in the ceilings that reduce noise inside its stores. These foams will minimize noise and reverberations improving service for guests with assisted listening devices, the chain said.
The company will also add adjustable lighting in the form of dimmers and power screens on exterior windows to reduce daytime glare and shadows.
"New acoustics and lighting features help create a more enjoyable and inclusive auditory and visual experience for customers and partners," the chain said in a statement to USA TODAY last month.
Related:Starbucks labor fight: Supreme Court poised to back company in 'Memphis 7' union case
Schultz left Board of Directors in 2023
Schultz joined Starbucks as director of operations and marketing in 1982. He first became CEO in 1987 after temporarily leaving the company.
In 2000, he retired as CEO for the first time and became the company's chairman. He later returned as CEO in 2008 amid the recession and left the position a second time in 2017. In 2018, he rejoined as interim CEO and was named a member of the Board of Directors in 2022.
Last year, he stepped down from the board and as CEO once again.
More:On the heels of historic Volkswagen union vote, Starbucks asks Supreme Court to curb labor's power
"I have had no formal role within the company since April 2023. But my love of the company and all those who wear 'the cloth of the company'—the iconic green apron—knows no bounds," Schultz wrote.
veryGood! (5)
Related
- Charges tied to China weigh on GM in Q4, but profit and revenue top expectations
- This Congressman-elect swears by (and on) vintage Superman
- A man killed women he deemed 'immoral' — an Iranian film fictionalizes the story
- Bronny James, LeBron James' son, suffers cardiac arrest during USC practice. Here's what we know so far.
- The FTC says 'gamified' online job scams by WhatsApp and text on the rise. What to know.
- More than fame and success, Rosie Perez found what she always wanted — a stable home
- Mega Millions jackpot grows to $820M ahead of Tuesday's drawing
- How to share your favorites with loved ones — and have everyone go home happy
- US wholesale inflation accelerated in November in sign that some price pressures remain elevated
- Judge in Parkland school shooting trial reprimanded for showing bias against shooter's defense team
Ranking
- Opinion: Gianni Infantino, FIFA sell souls and 2034 World Cup for Saudi Arabia's billions
- Brian Flores' racial discrimination lawsuit against NFL can go to trial, judge says
- Wisconsin drops lawsuit challenging Trump-era border wall funding
- Twitter is now X. Here's what that means.
- Paris Hilton, Nicole Richie return for an 'Encore,' reminisce about 'The Simple Life'
- Lionel Messi, Sergio Busquets expected to start for Inter Miami Tuesday vs. Atlanta United
- Germany returns looted artifacts to Nigeria to rectify a 'dark colonial history'
- Gangsta Boo, a former member of Three 6 Mafia, dies at 43
Recommendation
'No Good Deed': Who's the killer in the Netflix comedy? And will there be a Season 2?
America's gender pay gap has shrunk to an all-time low, data shows
Iran releases a top actress who was held for criticizing the crackdown on protests
Cara Delevingne Reflects on Girlfriend Leah Mason's Support Amid Sobriety Journey
Why we love Bear Pond Books, a ski town bookstore with a French bulldog 'Staff Pup'
'Reservation Dogs' co-creator says the show gives audiences permission to laugh
Baltimore Won’t Expand a Program to Help Residents Clean up After Sewage Backups
How to be a better movie watcher, according to film critics (plus a handy brochure!)