Starbucks CEO tackles long wait times at airport locations

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Global Industry News

Starbucks CEO tackles long wait times at airport locations

Policy

Simple Flying | Simple Flying

By Sky Industry News

Nov 29, 2024

Starbucks is taking steps to address the long wait times at its airport locations. The company's newly appointed CEO, Brian Niccol, aims to improve customer experience by reducing service times and increasing sales. During a recent investor call, Niccol outlined several strategies to achieve this goal.

Niccol has a history of success in leadership roles. He previously served as CEO of Chipotle and Taco Bell, where he significantly boosted business performance. At Starbucks, his focus includes reducing store wait times and enhancing customer satisfaction.

Airport Starbucks locations present unique challenges due to their licensing agreements with other companies. These licensed stores carry the Starbucks brand but are not directly owned by the corporation. Kevin Schimpf from Technomic pointed out that sudden influxes of passengers can lead to overwhelming demand at these sites.

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To combat these issues, Niccol announced several initiatives: organizing pickup areas for mobile orders, simplifying menus, personalizing cafes, reintroducing condiment bars, improving staffing levels, altering marketing approaches, and removing extra charges for dairy alternatives.

The company is also working on improving its app's accuracy for order timing and plans to separate mobile orders from in-store purchases. A mobile-only ordering system was first introduced at George Bush Intercontinental Airport in Houston and may expand further.

Niccol acknowledges that menu reductions might initially disappoint some customers but believes it will ultimately enhance efficiency. Although staffing remains under the control of licensees at airport locations, Starbucks benefits from avoiding bureaucratic complexities and costs associated with direct management.