# Revamping Starbucks: Brian Niccol's Vision for Coffee Culture
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Chapter 1: A New Era for Starbucks
With Brian Niccol stepping into the role of CEO at Starbucks on September 9, 2024, the coffee giant may be on the brink of a significant transformation. There are concerns among customers reminiscent of the backlash Chipotle faced when patrons felt their portion sizes were cut under Niccol's leadership. As he embarks on this new journey, he may draw on the strategies that led to Chipotle’s remarkable stock performance, which soared approximately 733% during his tenure from 2018 to 2024, following a previous dip of around 21%.
While shareholders might have thrived, customer sentiment has not always aligned with these successes, a challenge Niccol will likely confront at Starbucks, where loyal coffee aficionados have high expectations.
This exploration will delve into Niccol’s past achievements at Chipotle and how these experiences could reshape Starbucks.
How Niccol Turned Chipotle Around
Before Niccol took charge, Chipotle faced issues similar to those currently seen at Starbucks, particularly with mobile ordering. Customers utilizing the Chipotle app were often left waiting alongside in-store diners, which proved inefficient. To remedy this, Niccol introduced a grab-and-go shelf near cash registers and established a separate kitchen for mobile orders, streamlining the pick-up experience.
Additionally, a rewards program launched in 2019 encouraged customer loyalty, attracting over 22 million members. While Niccol maintained the focus on Chipotle’s core offerings—fresh ingredients and quick service—his emphasis on improving customer service proved crucial. He shared his insights in a Harvard Business Review article, noting, "A business can be revitalized through a renewed focus on its original core values—culinary excellence and exceptional customer service."
It's clear that Niccol's strategy for Starbucks will likely mirror his approach at Chipotle.
Chapter 2: Strategies for Starbucks
Shortly after taking the helm, Niccol released a message titled "Back to Starbucks," indicating his intent to return to the brand’s foundational principles. Below are three strategies he might implement based on his Chipotle experience and his vision for Starbucks in the initial 100 days.
Optimizing Ordering Processes
At Chipotle, Niccol discovered that mobile and in-store orders were often at odds, leading to unnecessary delays. Implementing a separate system for mobile orders could enhance efficiency at Starbucks. Customers ordering in-store frequently face long waits as mobile orders dominate the baristas' attention. By dedicating specific staff to mobile orders, the overall experience could improve significantly.
Reviving the “Third Place” Concept
When Howard Schultz founded Starbucks, he envisioned it as a community hub inspired by Italian café culture. Over the years, however, the brand has somewhat strayed from this ideal. Many locations now lack sufficient seating, and the atmosphere can feel uninviting.
Niccol's challenge will be to revive this cherished "third place" identity, transforming Starbucks into a welcoming space where customers feel comfortable spending time. If he succeeds, it could lead to increased foot traffic and customer loyalty.