Starbucks shuts down hundreds of U.S. Stores

It’s been a year of major change at Starbucks. Some good, some bad, and all under new CEO Brian Niccols’ leadership.

And while we knew that part of his <Back to Starbucks Profit Narrative> initiative included shuttering all 96 of its Pick Up-only shops, we had no idea that regular stores would be closing too. But news flash! They are!

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• Starbucks has closed 450 store locations within the last week alone in what CEO Brian Niccol is calling good progress.
• 900 corporate staffers were also laid off as part of a $1 billion restructuring following six straight quarters of sales decline.
• Customers appear to be largely unbothered by the news, given the number of Starbucks locations still open for employment in many towns.

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ICYMI, over 450 Starbucks locations closed their doors for good (!!!) last week, and more are expected in chaotic downsizing.

The news should hardly come as a surprise, considering 900 corporate staffers were let go as part of a $1 billion restructuring plan, The New York Post reports. The reason? Six straight quarters of unprecedented sales declines.

While it might seem like a lot of stores—I mean, TBH, it is—in the grand scheme of Starbucks’ portfolio, the mass closures amount to just 1% of chains nationwide.

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According to Niccol, the stores weren’t up to par—both financially and in terms of customer and staff satisfaction.

During the review, we identified coffeehouses where we’re unable to create the physical environment our customers and partners expect, or where we don’t see a path to financial performance, and these locations will be closed, Niccol said in a statement.

He called it good progress and added that there is much more to do to build a better, stronger, and more resilient Starbucks.

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He’s not off base either. Customers seem entirely unbothered (if not excited) about the mass closures. Not only do we have 2 actual stores in our town.

But the grocery stores, Target, and other stores have a Starbucks inside, one person wrote. Overkill. Don’t need more than one in a town.

We literally have two not even a mile apart, another chimed in. We didn’t need Starbucks in every corner to begin with! a third person wrote. Others argued that it’s the perfect opportunity to support local businesses instead.

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Now people can support their local coffee shops i guess, a commenter wrote. Go support local coffee shops yall, someone else added.

Niccol added that the closures are a way to reinforce what we see is working and prioritize our income resources against them. Let’s just hope my very conveniently located chain isn’t next to go—I’m not nice when I’m under caffeinated!

Delish / ABC Flash Point News 2025.