Last Updated on May 22, 2020 by kristina
Starbucks is planning to reopen its stores starting next week, and the company plans to have 90% of its US company-owned locations working by June.
The company’s executive leadership team made the announcement during its quarterly earnings call. As stated by Starbucks Chief Financial Officer Patrick Grismer, about half of Starbucks’ American stores remain temporarily closed during the COVID-19 pandemic.
Starbucks will take a phased approach to reopen, at first with modified operations and shorter working hours, Grismer told during the call. The company said it is making changes to act in accordance with coronavirus social distancing rules.
Grismer stated that drive-through would be modified to become more efficient. Further changes involve modifications to the company’s delivery channels and a new “entryway hand-off solution.” Starbucks is also considering adding curbside service at stores where parking is available.
Starbucks expects the financial destruction from Covid-19 will be significantly higher in the current quarter than it was in the previous one. He forecast the economic downturn from coronavirus will extend into the fall. Grismer also said that Starbucks expects the impacts to persist for a more extended period as the company moves through the monitor-and-adapt phase.
Starbucks closed its stores in March and reduced the services only to drive-through and delivery.