Introduction to Starbucks’ New Strategy
Starbucks is moving away from the concept of grab-and-go stores. As part of the chain’s ongoing “back to Starbucks” initiative, the company plans to “sunset” stores that only offer mobile order pickups during the 2026 fiscal year. Starbucks CEO Brian Niccol made the announcement during the company’s July 29 earnings call, describing the grab-and-go store model — which was introduced in New York in 2019 in an attempt to speed up coffee runs — as “overly transactional and lacking the warmth and human connection that defines our brand.”
Rationale Behind the Shift
“We have a strong digital offering and believe we can deliver the same level of convenience through our community coffeehouses with a superior mobile order and pay experience,” the CEO continued. Niccol said he expects the ongoing changes to Starbucks operations will “improve and transform the foundations” of the company’s North American business while “reestablishing that moment of connection between a barista and their customer.”
Clarification on Mobile Ordering
To clarify the shift, a Starbucks spokesperson shared that the company is not moving away from mobile ordering, as it remains a critical part of their business, accounting for 31% of transactions. What they are doing is sunsetting the concept of mobile order and pickup-only locations.
Recent Changes Under New Leadership
Since Niccol took over as CEO in September 2024, he has rolled out several major changes in an effort to return Starbucks to what he calls its “coffeehouse community roots.” Updates include the removal of 13 drinks from the menu, a trimmed-down menu, updated pricing to syrups and sauces, app ordering limits, and changes to the loyalty program. In addition, Starbucks has scaled back discounts for customers, tightened up its employee dress code, reversed its open-door policy, and altered its refill policy.
Stores Affected by the Change
During the earnings call, Niccol revealed that Starbucks currently has “roughly” 80 or 90 mobile pickup stores. This shift doesn’t mean all of them will close; where it makes sense, some will be converted into traditional coffeehouses with seating to better serve customers and communities. The company didn’t provide specific timing for the closures or reveal which locations will be converted into regular Starbucks stores.
List of Current Grab-and-Go Locations
Below is a list of current grab-and-go locations listed on Starbucks’ website, categorized by state:
- Airport locations:
- IAH Pick Up Terminal E Gate 1
- IAH Term. E Gate 5 in Houston, Texas
- IAH Term. E Gate 18 in Houston, Texas
- Arizona:
- 55th St & Broadway in Tempe
- Central Ave & Buena Vista
- Speedway & N Park Ave in Tucson
- Arizona Ave & Loop 202 in Chandler
- California:
- Artesia & Flagler in Redondo Bch.
- Base Line Rd & Day Creek Blvd, Rancho Cucamonga
- Brand & Milford in Glendale
- Broadway & 8th in Los Angeles
- Broadway Ave & Curtis St, Salida
- Broadway & Front in San Diego
- California St & Drumm St in San Francisco
- Hwy 1 & Belleville in Half Moon Bay
- Main & Ashland in Santa Monica
- Mountain & Hawthorne in Ontario
- National and Overland in Los Angeles
- N Pepper Ave & W Valley Blvd, Colton
- S Santa Fe Ave & E 3rd St, Los Angeles
- Sierra & Marygold in Fontana
- Union Station East Portal in Los Angeles
- Verdugo and Cañada in Glendale
- S Western Ave & Venice Blvd., Los Angeles
- Wilshire & Western Ave in Los Angeles
- Yorba Linda & Lakeview in Yorba Linda
- Gilroy Town Place
- Colorado:
- Laurel & College in Fort Collins
- Connecticut:
- Georgia:
- Piedmont & Auburn, Atlanta
- Hawaii:
- King St & Alakea in Honolulu
- Florida:
- Biscayne & NE 3rd St, Miami
- FSU Azalea Hall
- Illinois:
- 55th & Woodlawn in Hyde Park
- 227 W. Monroe in Chicago
- 555 S. Dearborn in Chicago
- 2063 N. Clark in Dickens
- Addison and Sheffield in Chicago
- Golf & Higgins in Schaumburg
- Lake & Waukegan in Glenview
- Lima & Ludwig in Fort Wayne
- Plainfield-127th & Route 59 in Plainfield
- Prentice Women’s Hospital in Chicago
- Wrightwood & Racine in Chicago
- Maryland:
- Towson Armory Building in Towson
- Dulaney Plaza in Towson
- JHH Weinberg Bldg — Secure Access
- Massachusetts:
- Lechmere in Cambridge
- Tufts Medford in Medford
- Beth Israel Deaconess Medical Center
- Michigan:
- Ionia & Oakes in Grand Rapids
- Minnesota:
- 33 S 6th St — City Center — Skyway in Minneapolis
- Nicollet and 26th St in Minneapolis
- New York:
- 13th & University in Manhattan
- 40th & 8th w/Amazon Go in Manhattan
- 42nd & Park in Manhattan (TD Bank)
- 52nd & 7th in Manhattan
- 56th & 2nd in Manhattan
- 59th — Park & Lex w/Amazon Go in Manhattan
- 5th Ave between 41st & 42nd in Manhattan
- 67th St & Columbus Ave in Manhattan
- 76th & Second in Manhattan
- Broadway between 36th & 37th in Manhattan
- Carmine & Varick in Manhattan
- Deer Park Ave & Woods Rd in North Babylon
- Pace University in New York
- Yonkers, Sawyer Place in Yonkers
- North Carolina:
- 601 Tryon, Ally CLT Center in Charlotte
- 9th Street Duke in Durham
- Hillsborough & Pogue St in Raleigh
- Ohio:
- Miami University — Bell Tower
- Ohio State University — Neil Ave & 11th in Columbus
- Princeton Glendale Road in Hamilton
- Oklahoma:
- 12th Street & Moore Ave in Moore
- Pennsylvania:
- 17th & Chestnut in Philadelphia
- Springfield in Baltimore Pike
- South Carolina:
- Camperdown Plaza in Greenville
- Tennessee:
- Amazon Tower 1 in Nashville
- Broadwest in Nashville
- Fifth Third Center in Nashville
- Texas:
- 22nd & Rio Grande in Austin
- 2401 Victory Park Lane in Dallas
- 2nd & Commerce in Fort Worth
- City Centre in Houston
- Hillcroft & US 59 in Houston
- Hwy 59 & Hwy 762 in Rosenberg
- I-35 & Valley Mills in Waco
- W Rancier Ave & N 2nd in Killeen
- Virginia:
- VCU — Main and Harrison in Richmond
- 1001 W Main St in Charlottesville
- Washington:
- 1st & Denny in Seattle
- 1st & University in Seattle
- 4th & Bellevue Way in Bellevue
- Downtown Redmond in Redmond
- U Village North in Seattle
Conclusion
The decision by Starbucks to move away from grab-and-go stores and towards a more traditional, community-focused coffeehouse experience marks a significant shift in the company’s strategy. By sunsetting mobile order and pickup-only locations, Starbucks aims to reestablish the human connection that has been a cornerstone of its brand. This change, along with other recent updates such as menu simplification and alterations to loyalty programs, reflects the company’s effort to return to its roots and enhance customer experience.
FAQs
Q: Why is Starbucks moving away from grab-and-go stores?
A: Starbucks is moving away from grab-and-go stores because it finds the model to be overly transactional and lacking the warmth and human connection that defines its brand. The company aims to enhance customer experience by focusing on community coffeehouses.
Q: What will happen to the current grab-and-go locations?
A: Some of the current grab-and-go locations will be converted into traditional coffeehouses with seating, while others may close. The exact timing and locations for these changes have not been specified.
Q: Is Starbucks getting rid of mobile ordering?
A: No, Starbucks is not getting rid of mobile ordering. Mobile ordering remains a critical part of their business, accounting for 31% of transactions. The company is sunsetting the concept of mobile order and pickup-only locations, not the mobile ordering service itself.
Q: What other changes has Starbucks made recently?
A: Recently, Starbucks has made several changes, including removing drinks from the menu, updating pricing, limiting app ordering, changing the loyalty program, scaling back discounts, tightening the employee dress code, reversing the open-door policy, and altering the refill policy.
Q: What is the goal of these changes for Starbucks?
A: The goal of these changes is
