Starbucks Announces Next Phase of Store Transformation in Canada

The company is expanding more convenience-led store formats and delivering choice for customers

Starbucks Canada today shared plans for the next phase of its store transformation to serve rapidly evolving customer needs for convenience, connection and personalization.

Last summer, global CEO Kevin Johnson shared the company’s intention to accelerate a five-year store transformation strategy into 18 months. In Canada that includes accelerating the number of Drive-Thru locations in 2021 – the first of which is a unique responsibly-constructed store, set to open this month in Abbotsford B.C – expanding Mobile Order and Pay and Starbucks® Delivers services; a curbside pickup pilot, and exploring other new convenience formats. This work also included a review of up to 300 stores most impacted by changing customer preferences, some of which the company permanently closed last fall, with the remaining planned for closure by the end of its second quarter in fiscal 2021.

The overwhelming majority of stores will remain open in Canada and in addition to repositioning its store portfolio, Starbucks continues to lean into its strong digital relationships with customers via the Starbucks app. With recent enhancements including a new pay-as-you-go option and a new relationship with leading Canadian financial institution, TD Bank, the Starbucks app aligns with customer preferences for convenience and on-the-go experiences, while still enabling Starbucks to connect with customers and serve communities safely.

Starbucks ability to innovate rapidly continues to fuel the company’s recovery as it navigates out of the COVID-19 pandemic. In addition to its digital platform, Starbucks continues to create exciting new beverage offerings to meet customer preferences and provide more options for customization and dairy alternatives. The latest to be launched in Canada include the Pistachio Latte, a seasonal pick-me-up, and the new Honey Oat Latte, a new non-dairy delight.

With these accelerated growth strategies and rapid innovation, Starbucks is building a new level of resilience for the future.