Current:Home > InvestRekubit Exchange:Starbucks needs a better in-store experience to retain, gain US customers, Howard Schultz says -ChatGPT
Rekubit Exchange:Starbucks needs a better in-store experience to retain, gain US customers, Howard Schultz says
Algosensey Quantitative Think Tank Center View
Date:2025-04-08 23:42:34
Former Starbucks CEO Howard Schultz has a few words for the company he once shepherded.
While commenting on Rekubit Exchangethe 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! (25)
Related
- A South Texas lawmaker’s 15
- Las Vegas police arrest couple on murder charges in killings of homeless people
- Wander Franco released while Dominican probe continues into alleged relationship with 14-year-old
- Podcasters who targeted Prince Harry and his son Archie sent to prison on terror charges
- Nevada attorney general revives 2020 fake electors case
- B-1 bomber crashes while trying to land at its base in South Dakota, Air Force says
- As South Carolina population booms, governor wants to fix aging bridges with extra budget money
- After 16-year restoration, Greece unveils palace where Alexander the Great became king
- South Korea's acting president moves to reassure allies, calm markets after Yoon impeachment
- From Week 1 to 18, see how NFL power rankings have changed and this weekend's schedule
Ranking
- Paige Bueckers vs. Hannah Hidalgo highlights women's basketball games to watch
- Pedro Pascal, Melanie Lynskey, the Obamas among nominees at creative arts Emmy Awards
- Ryan and Trista Sutter's 2 Kids Are All Grown Up in Rare Appearance at Golden Bachelor Wedding
- Two strangers grapple with hazy 'Memory' in this unsettling film
- Israel lets Palestinians go back to northern Gaza for first time in over a year as cease
- Top 1-and-done NBA prospects have made a big impact in the AP Top 25 college basketball poll
- Carnival begins in New Orleans with Phunny Phorty Phellows, king cakes, Joan of Arc parade
- Carnival begins in New Orleans with Phunny Phorty Phellows, king cakes, Joan of Arc parade
Recommendation
Arkansas State Police probe death of woman found after officer
US biotech company halts sales of DNA kits in Tibet, as lawmakers mull more export controls on China
Cosabella, Lounge & More Lingerie Deals Sure to Get Your Heart Racing for Valentine’s Day
Massachusetts voters become latest to try and keep Trump off ballot over Jan. 6 attack
The White House is cracking down on overdraft fees
The Bachelorette's Tyler Cameron Wants You To Reject Restrictive New Year’s Resolutions
Actor Christian Oliver Shared Photo From Paradise 3 Days Before Fatal Plane Crash
Suit challenges required minority appointments to Louisiana medical licensing board