Starbucks CEO’s biggest challenge is fixing the bad vibes

Starbucks has had four different CEOs since 2022, but board members are banking on former Chipotle CEO Brian Niccol to turn things around.

Transcript

00:00Starbucks baristas are overworked, wait times are longer, and drinks are more expensive.

00:04America's biggest coffee chain is just not what it used to be, and customers have noticed.

00:08The company released a painful 4th quarter earnings report,

00:11revealing a 3% drop in revenues and a 7% drop in store sales.

00:15But new CEO Brian Nickel plans to get the brand back to its core identity

00:19through a strategic plan called Back to Starbucks.

00:21Nickel was offered a $113 million payday for the job,

00:25and has outlined a list of measures to return to the old Starbucks,

00:28including slimming down its menu and working on completing orders within 4 minutes.

00:32He also wants to separate the in-store experience from the mobile order pickup experience,

00:36since mobile purchases now make up more than 30% of all orders.

00:40They'll also prioritize more workers and better scheduling to fix Starbucks' atmosphere.