Starbucks' Coffee tastes bitter: 100 store closed and 900 layoffs

The famous coffee chain Starbucks, a global symbol of the coffee break, is experiencing one of the toughest moments in its recent history. After years of almost unstoppable growth and expansion, the Seattle-based company has announced the closure of 100 stores and the layoff of 900 employees. A warning bell that cannot be ignored.

The crisis, in fact, is not sudden. Already at the beginning of 2025, significant layoffs had been announced, signaling a company in difficulty searching for a way to find its course again. Over the past ten years, Starbucks enjoyed steady growth, with revenues steadily increasing until 2019. Then came the COVID-19 pandemic, which severely impacted the retail sector and caused a drastic drop in profits.

Despite a significant rebound in 2021 and a return to solid revenue levels, the latest data reveal a worrying decline: six consecutive quarters of falling sales in the United States, partly due to inflation that has changed consumer habits, pushing customers towards cheaper or local alternatives.

Leading the delicate restructuring phase is Niccol, former CEO of the Chipotle chain, brought in to renew Starbucks’ brand and commercial strategy. However, the “treatment” seems to require time and deeper adjustments. The decision to close underperforming stores and reduce staff is part of a $1 billion plan to cut costs and revitalize the customer experience.

Starbucks faces a dual challenge: maintaining the appeal that made it a global giant and innovating to stay competitive in an increasingly fragmented market sensitive to socio-economic changes. The coffee giant must prove it can listen to new consumer tastes and adapt its business model to remain a key player.

In an industry where competition is fiercer than ever and customers are more demanding, Starbucks’ future will depend on its ability to turn the crisis into an opportunity for revival.