Starbucks CEO says company will fix 'overly complex menu' to reverse sales slump

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Starbucks CEO Brian Niccol announced that the coffee giant plans to fix its menu and pricing as it seeks to boost traffic and turn around sagging sales.

Starbucks CEO Brian Niccol said the company is planning to simplify its menu and fix its pricing strategy as it attempts to win back customers and reverse its sagging sales. Niccol, who left Chipotle in August for the coffee giant, said in a video message Tuesday that customers are visiting less often and its fourth-quarter results "tell that story.

In the three-month period ending Sept. 29, the company reported that stores open for at least a year declined 7%. The company said in its preliminary earnings release that its results were "driven by softness in North America’s revenues in the quarter." The U.S. in particular saw a 6% decline in comparable store sales and a 10% decline in comparable transactions. Niccol announced last month that he plans to first fix the company's U.S.

 

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