Starbucks CEO Sees U.S. Sales at Pre-Covid Levels by March 2021

The transcript discusses Starbucks' response to the COVID-19 pandemic, focusing on health and safety, recovery strategies, and adapting to changing customer behaviors. It highlights the company's efforts to maintain trust and ensure safety while introducing new services like curbside pickup. The discussion also covers global recovery efforts, challenges, and the adaptation of store formats to meet evolving customer needs.

What were the three principles Starbucks set to guide their decisions during the pandemic?

• Prioritize health, support government, and maintain community trust

• Increase profits, expand globally, and reduce costs

• Focus on online sales, reduce staff, and close stores

• Launch new products, increase marketing, and cut prices

By when does Starbucks expect to be substantially recovered in the US?

• End of 2020

• First half of fiscal year 2021

• End of 2021

• First quarter of 2022

How does Starbucks plan to handle regional COVID-19 flare-ups?

• Close all stores in affected areas

• Implement flexible store protocols to adjust operations

• Ignore the flare-ups and continue business as usual

• Switch to online-only services

What is Starbucks' approach to the 'third place' experience post-COVID?

• Focus solely on drive-through and delivery

• Only offer outdoor seating

• Complement the third place with new formats like Starbucks Pickup

• Completely abandon the third place concept

How has customer behavior changed in terms of visit patterns during the pandemic?

• Customers visit less frequently and only in the mornings

• Visits have shifted to later in the morning with multiple visits per day

• There is no change in visit patterns

• Customers only visit in the evenings

What type of products is Starbucks focusing on to align with their environmental sustainability agenda?

• Fast food items

• Dairy-based products

• Plant-based food and beverages

• High-sugar drinks

What trend has Starbucks observed in transaction sizes during the pandemic?

• Only small transactions are occurring

• Increase in transaction sizes due to family purchases

• No change in transaction sizes

• Decrease in transaction sizes