The country’s economic turmoil and consumer behavior caused by COVID-19 have hit some retail staples like JCPenney, Neiman Marcus, and more. That is now turning to Starbucks who has announced the closure of 400 stores in North America.
The coffee giant not only closed stores but has shifted into a “to go” model, The USA Today reports.
“As we navigate through the COVID-19 crisis, we are accelerating our store transformation plans to address the realities of the current situation, while still providing a safe, familiar and convenient experience for our customers,” said CEO Kevin Johnson.
Whiel Starbucks is aiming to close 400 locations, they wil simultaneously open 300 new stores in the fiscal year, but that is half of the target goal of 600.
The new pick up stores will first hit in Seattle, New York City, Chicago and San Francisco. Additional stores will see an upgrade to their locations.
The pandemic is a confirmation of Starbucks’ consumer trends as they note 80% of their orders come through the app and are for carryout.
