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Starbucks Percolates With Upscale Roastery Stores

By Raymond Pucci
December 19, 2019
in Analysts Coverage, Merchant
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Starbucks Percolates With Upscale Roastery Stores

Starbucks Percolates With Upscale Roastery Stores

Sorry—no mobile order and pay with your smartphone at this Starbucks on Chicago’s Magnificent Mile. But you probably won’t hear many complaints from Starbucks loyalists who come to this cathedral of coffee.

Most QSRs and fast casual cafes have turned to mobile orders to fulfill customer orders quickly and accurately. Starbucks excels at its mobile ordering app, but decided to go upscale with its Roastery stores that are all about the in-store customer experience, all 35,000 square feet of it.

Perhaps some department stores with sluggish sales can take a cue and see what it takes to get consumers to go to brick-and-mortar stores. It’s about more than just the merchandise.

A Forbes article, excerpted below, discusses more on the topic:

There are 31,000 Starbucks cafes in the world. The six Roasteries, including the 35,000-square-foot Michigan Avenue location, are temples to coffee. And they may be the only Starbucks locations where the company intentionally serves its customers…. slowly.

The wait stands in stark contrast to the Starbucks Pick-Up concept at Penn Station, the first-of-its kind Starbucks location designed solely for customers that are on the go in the New York transit hub. Both locations opened in November.

As a multibillion-dollar retailer, Starbucks has the luxury of operating multiple formats to serve its customer. Pick-Up may become standard in many locations where the customer wants to grab and go. But the Roasteries are the ultimate brand-building arm of the company’s physical location and concept strategy.

Overview by Raymond Pucci, Director, Merchant Services at Mercator Advisory Group

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Tags: QSRStarbucks

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