Starbucks hires Brian Niccol as new CEO as it struggles to define itself

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Starbucks hires Brian Niccol as new CEO as it struggles to define itself
Howard SchultzChicagoWA State Wire
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Fifty-three years after its founding, Starbucks is unhappy with what it’s become – and trying to figure out how to meet customers’ changing needs without losing its coffeehouse roots.

FILE - Brian Niccol, named the chairman and chief executive officer of Starbucks on Aug. 13, 2024, is shown during an interview on June 9, 2015, in New York. FILE - Cars drive through the pick-up window at a Starbucks store on May 29, 2024, in Salem, N.H. FILE - Brian Niccol, named the chairman and chief executive officer of Starbucks on Aug. 13, 2024, is shown during an interview on June 9, 2015, in New York.

Since he was named Starbucks’ incoming CEO on Aug. 13, Niccol has been visiting U.S. stores, listening to baristas and observing the challenges the brand is facing, Starbucks said. Because of the many ways patrons can customize their drinks, Starbucks baristas are tasked with making around 100,000 different variations on a consistent basis, Schultz said in the June podcast. Drinks are iced, blended, foamed, shaken and flavored. Starbucks lists 11 different kinds of creamers and milks on its U.S. website.

Michelle Eisen, a Starbucks barista and union organizer, said her Buffalo, New York, store no longer has the chill coffeehouse vibe it had when she started in 2010. Eisen said Starbucks recently added new brewing machines and workstations to help baristas prepare drinks, but the number of workers has remained stagnant or fallen at many stores.

At Chipotle, Niccol streamlined store operations to shorten wait times, beefed up marketing and lured customers back with limited-time menu items. Remaking Starbucks could be much more difficult. It has many more stores and varying challenges around the world, including low-cost competitors in China and, Niccol could make well in excess of $100 million in his first year at Starbucks.

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