Coffee giant Starbucks said on Monday it is removing several drinks from its menu in an effort to reduce wait times.
Newsweek reached out to Starbucks via email for comment on Monday.
Why It Matters
Starbucks, founded in 1971 in Seattle, Washington, is the world’s largest coffeehouse chain. The removal of drinks comes as new CEO Brian Niccol aims to make huge savings at the brand by cutting the number of deals and promotions. The company has encountered recent difficulties, including lingering effects of the COVID-19 pandemic on its operations, worker strikes and decreased foot traffic in some locations.
What To Know
Starbucks announced on Monday that starting March 4, it will remove a “selection of less popular beverages” from its menu to reduce wait times and improve quality and consistency.
Explaining the decision in a press release, the company noted that the removed drinks aren’t commonly purchased and can be complex to make or are similar to other drinks on its menu.
“We’re simplifying our menu to focus on fewer, more popular items, executed with excellence. This will make way for innovation, help reduce wait times, improve quality and consistency, and align with our core identity as a coffee company,” Starbucks said.
The drinks being removed include several Frappuccino blended beverages, the Royal English Breakfast Latte and the White Hot Chocolate.
These are the drinks getting cut:
- Iced Matcha Lemonade
- Espresso Frappuccino
- Caffè Vanilla Frappuccino
- White Chocolate Mocha Frappuccino
- Java Chip Frappuccino
- Chai Crème Frappuccino
- Caramel Ribbon Crunch Crème Frappuccino
- Double Chocolaty Chip Crème Frappuccino
- Chocolate Cookie Crumble Crème Frappuccino
- White Chocolate Crème Frappuccino
- White Hot Chocolate
- Royal English Breakfast Latte
- Honey Almondmilk Flat White
Starbucks Layoffs
Niccol, who became Starbucks’ CEO in September, said in a separate announcement on Monday that the company is laying off over 1,000 corporate employees to simplify operations.
“We are simplifying our structure, removing layers and duplication and creating smaller, more nimble teams,” Niccol said in a letter to employees. “Our intent is to operate more efficiently, increase accountability, reduce complexity and drive better integration. All with the goal of being more focused and able to drive greater impact on our priorities.”
The layoffs are part of the company’s “Back to Starbucks” strategy, a broader plan unveiled in January to refocus on the in-store customer experience and operational efficiency.
Niccol has been working to restore profitability and enhance the workplace culture after a turbulent period marked by unionization efforts and consecutive quarters of declining customer traffic. Since taking over, he has introduced several measures to reverse lagging sales, including reintroducing a more traditional coffeehouse ambiance and reducing café wait times to under four minutes.
Despite the job cuts, Niccol said that Starbucks will continue to hire for roles aligned with the company’s new organizational structure, according to Fox News.
What People Are Saying
Starbucks chairman and CEO Brian Niccol, in a letter to employees: “Our size and structure can slow us down, with too many layers, managers of small teams and roles focused primarily on coordinating work.”
Starbucks Chief Financial Officer Rachel Ruggeri, in a statement last year: “Despite our heightened investments, we were unable to change the trajectory of our traffic decline, resulting in pressures in both our top-line and bottom-line. While our efficiency efforts continued to produce according to plan, they were not enough to outpace the impact of the decline in traffic.”
“We are developing a plan to turn around our business, but it will take time. We want to amplify our confidence in the business, and provide some certainty as we drive our turnaround. For that reason, we have increased our dividend,” Ruggeri added.
What Happens Next
The beverages will be removed from the menu starting March 4.
Meanwhile, employees affected by the layoffs will be notified by Tuesday, and additional role and structural changes will be communicated by the end of the week.
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