Starbucks to permanently add a new operating model

During the C-19 pandemic Starbucks quickly modified its offer to “curbside pick-up only”. This was linked to its mobile app, which customers were already adopting, so that they could order ahead to pick up a coffee from outside the coffee shop.  As a result of the crisis, the company has announced that the economic impact is such that it is closing some outlets and halving its expansion plans.  But more interestingly, it is permanently adopting the curbside approach.

In a press release Starbucks said: “Curbside pickup is an experience accelerated due to the COVID crisis as well as customers’ increasing need for convenience in on-the-go occasions. Over the coming months, Starbucks will increase the number of stores that offer Curbside pickup as well as pilot a select number of locations to exclusively offer this format.”

So the business model has changed, as in addition to its coffee shop operating model, it is adding a takeaway only operating model.

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