Starbucks to Refocus on Coffee Amid Sales Slump, Schultz Urges

Starbucks to Refocus on Coffee Amid Sales Slump, Schultz Urges

Howard Schultz, founder and chairman emeritus of Starbucks, has voiced concerns about the company's current performance following a 2% drop in revenue for the January-March quarter, marking the first quarterly decline since 2020. Schultz argues that Starbucks should refocus on its core product, coffee, to bolster its premium image and improve customer experiences. He emphasized the importance of senior leaders engaging more directly with baristas and suggested that the company should update its mobile ordering and payment systems. Schultz's comments come as CEO Laxman Narasimhan introduces new products like boba drinks and energy beverages, aiming to drive future traffic. Starbucks has acknowledged the challenges and expressed confidence in their long-term strategy.

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