Is Starbucks Closing Stores In 2022? (All You Need To Know)
Starbucks has closed hundreds of stores across North America and opened new ones because of its perseverance.
Is Starbucks Closing Stores In 2022?
Starbucks stated in 2020 that 600 North American stores would be closed by the end of the year. This will take place as early 2022. The closings won’t be the last. New stores that perform well will open. The new locations reflect a shift in customer behavior and will be primarily drive-thrus and to-go stores and counters.
Starbucks Is Closing Stores in North America
Starbucks declared in June 2020 it was closing 400 stores in America and Canada in the next 18-months.
This announcement was followed up by 100 stores closing in the US and 100 Canada. The total closures now stands at 600.
Starbucks, however, will continue to open new stores in North America, so the closures will not affect the overall number of locations.
Starbucks has announced that it is closing all stores within dense urban areas. These locations already boast a lot of Starbucks outlets.
The precise locations of which they will close are not yet known, but these will still include popular areas like shopping malls and campus.
These areas have also seen decreased traffic as a result of changing customer habits and the pandemic.
Before the pandemic the trend favors pick-up and delivery, which has only increased since.
Why Is Starbucks Closing Locations?
Starbucks will close hundreds of stores across North America. However, this is not because they are closing down or going under.
Starbucks’ closings won’t be replaced by opening new stores, mostly in drive-thrus, and to-go locations.
Thus, these stores are closing and will be replaced in a better location by models that perform at a higher level.
This shift is essentially due to two factors. First, Starbucks expects the new store formats to be more efficient and more profitable.
Second, closings indicate changes in customer preferences regarding delivery services and takeaway.
As an example, up to 80% of sales at the 15,000 Starbucks stores in the US come from orders-to-go.
This trend will be the determining factor in the placement of Starbucks new locations.
However, the new store formats will preserve the fundamental Starbucks values of convenience and quality.
Where are the New Starbucks Stores Going?
Starbucks closings of stores is not a new phenomenon. Each year about 100 stores close based upon performance.
But recent closings have been on an even larger scale, and they are due to changing customer behavior and sales patterns.
The closing and opening of stores shows a change away from Starbucks’ cafe model and towards take-out and delivery.
However, people adjust to changing pandemic conditions by continuing their work at home and change their shopping preferences.
Since the number of morning commuters has declined, Starbucks stores have seen a corresponding reduction in morning traffic.
However, this decline in morning numbers at Starbucks is compensated by mid-morning, afternoon, and weekend customers.
The shift from the urban to the suburbs has seen a change in sales. Additionally, the typical café patrons who would rather have their coffee at home than drive-thrus are also changing.
The shift in customer preferences towards delivery and to-go is also due to the mobile ordering option and Starbucks delivery via Uber Eats.
Where will Starbucks be opening new locations?
The new Starbucks stores consider these changes in customer behavior, and the new locations will take them into account.
Starbucks will add more double-lane drive thrus to its new stores, as well as curbside pick-up and walk-up windows for urban centers.
Also, the new locations will include new Starbucks pick-up stores where customers can only order and pay only through the Starbucks app.
This could also be due to Starbucks’ increased online customer engagement and millions of mobile app users during the pandemic.
The mobile app allows you to order and pay for your products and services much faster and easier.
A Starbucks Pick-up Store is also available at Penn Station, New York City.
Starbucks has also experimented with curbside pickup, which is very successful. These are just a few of the many new formats that you will see in Starbucks.
Read our blog posts to learn more on Starbucks statistics & data, the hours Starbucks open, and how you can get there in 24 hour.
Starbucks will shut down 600 North American Starbucks stores by 2022, according to the announcement.
Starbucks will also open additional locations in equal or greater numbers, so there will be an increase in Starbucks stores during this period.
That said, the new stores will be in locations and formats that reflect changing customer behavior and sales trends.
This trend shows a shifting away from the urban center to the suburbs, and cafes are being replaced by take-out and delivery.
Starbucks will still be present at the new Starbucks locations, emphasizing its values of quality as well as convenience.
Starbucks to Close in 2022
Starbucks has announced that it will be closing 600 stores across North America by 2022. Starbucks will still open a similar or greater number of locations during the period, which will mean that there will actually be more Starbucks stores.
Why are so many Starbucks stores closing?
A Starbucks representative tells KTVU the move to close or reduce hours at stores around the Bay Area is a way to keep workers and customers safe. SAN FRANCISCO – Finding a cup of coffee to start the day is getting a little harder for Starbucks fans. According to Starbucks, the cause is COVID. February 4, 2022
Why Are Starbucks Closing In Vancouver?
Coffee giant Starbucks is closing down some stores in Burnaby, Canada’s Lower Mainland, and other areas. It reduces its footprint by focusing on high-traffic spots. And more and more Burnaby Starbucks lovers are speaking out about how displeased they are.Sep 7, 2021
Starbucks is closing its Canadian business?
Many Starbucks cafés in Canada have also closed their doors. Starbucks announced that it will close 144 locations by March 2021. The move is part of a larger plan to shut down as many 200 Canadian locations in the coming 18 months.
.Is Starbucks Closing Stores In 2022? (All You Need To Know)