on Wednesday reported a 7% drop in global comparable sales for the fourth quarter as the coffee chain struggles to revive demand for its pricey lattes in the key U.S. and China markets.
The Seattle-based company’s strategy to drive demand through promotions and improved loyalty program offers fell flat in the face of muted spending from cost-conscious consumers. Comparable sales in China, the company’s second-largest market after the U.S., declined for three straight quarters, falling 14% in the fourth quarter.
Shares of the company have risen about 26% since Niccol replaced Laxman Narasimhan as CEO in a surprise announcement in August. They were down about 1% in extended trading on Wednesday.
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