When Starbucks announced that it would phase out its mobile-order pickup-only locations beginning in 2026, it raised a question: Why abandon a format seemingly built for speed and efficiency?
As Starbucks CEO Brian Niccol explained the decision in an earnings call, the pickup-only stores had a “transactional” feel, lacking “the warmth and human connection that defines our brand.”
While Niccol also touted the mobile-order options at its traditional coffee shops, I see Starbucks’ move as an attempt to return to its roots as a “third place” – a destination between home and work where people can gather and connect.