WASHINGTON — Starbucks is shutting down its “Pick Up” store format, phasing out the mobile-order-only model by fiscal year 2026, CEO Brian Niccol announced during an earnings call this week .
Niccol said the locations were no longer compatible with the Seattle-based coffee chain's plan to get "back to Starbucks."
"We found this format to be overly transactional and lacking the warmth and human connection that defines our brand," he added.
The "Back to Starbucks" initiative seeks to reignite sales as customer interest in specialty coffee drinks wanes and tariffs from the Trump administration cast an uncertain shadow over the U.S. economy. The plan has also included simplifying the menu by cutting 30% of items and introducing newer products.
Launched in 2019, the “Pick Up” concept