Delish reports that Starbucks plans to close 100 stores in addition to 400 units that already were announced as shutting down.
The company says that the closures will "reflect changing consumer habits," and are expected to be largely in "dense metro trade areas."
According to the story, "These closures will also be part of 'clearing the way for the development of new, more efficient retail store formats that cater the customers' increasing desire for convenience, while also improving trade area profitability,' said executive vice president and Starbucks CFO Patrick Grismer. Those new stores, as we previously reported, will be more focused on to-go orders, and were already planned before the COVID-19 pandemic, but have now been sped up."
- KC's View:
When you calculate in the number of stores that Starbucks plans to open in the coming year, there's actually a net 50 store increase in its US fleet. That seems pretty small for Starbucks - there are neighborhoods in Seattle where it seems like there are 50 stores in a six-block radius.