Dive Brief:
- Starbucks customers will now have to make a purchase if they want to hang out in Starbucks coffee shops or use its bathrooms, the company told CX Dive Tuesday. The coffee chain sent a letter to store managers and above Monday announcing that it would reverse its open-door policy, which allows non-paying customers access to its bathrooms and seating area.
- The reversal of the policy, which goes into effect Jan. 27, is meant to prioritize paying customers and improve the environment of coffee shops.
- “We want everyone to feel welcome and comfortable in our stores,” Starbucks spokesperson Sam Jefferies told CX Dive in an email. “By setting clear expectations for behavior and use of our spaces, we can create a better environment for everyone. These updates are part of a broader set of changes we are making to enhance the cafe experience as we work to get back to Starbucks.”
Dive Insight:
The open-door policy changes come just months after Brian Niccol took the helm as CEO.
Niccol has emphasized the need to make the in-store experience more inviting. In September, he outlined a four-part strategy to revitalize the brand and reestablish Starbucks as “the community coffeehouse.”
“Our stores will be inviting places to linger, with comfortable seating, thoughtful design and a clear distinction between ‘to-go’ and ‘for-here’ service,” Niccol wrote in an open letter.
As part of the changes announced Monday, the coffee chain is going to start offering free refills for hot or iced coffee for “customers who have purchased a drink and want to stay a little longer,” Sara Trilling, EVP and president of Starbucks North America, said in the letter Monday.
The coffee chain is also posting a new store code of conduct in North American stores that bans discrimination or harassment in addition to smoking, vaping, alcohol, drug use and panhandling. Employees will be provided training for the new initiatives.
“Together we’ll deliver the coffeehouse experience that consistently creates a bright spot in our customers’ days,” Trilling said.
The coffee shop implemented the open-door policy in 2018 after two Black men were arrested at a Philadelphia Starbucks. The two men were having a business meeting but had not yet bought a drink as they waited for a third to arrive.
But in recent years, Starbucks has said its employees have struggled to cope with loitering and crime in some locations. In 2022, shortly after then CEO Howard Schultz suggested it might have to change its policy, the coffee chain announced the closure of 16 stores due to safety issues.
Since Niccol’s arrival, Starbucks has been collecting feedback from employees about how to improve the customer and employee experience. Employees want “their cafe dining room back,” Niccol said on an October earnings call.
“I think there's a moment of pride, of saying, this is my place,” he said. “They know our customers by name. They have their regulars. They want to have a great seat for them. They want to have a great environment for them to enjoy, whether it's a moment for themselves or whether it's sharing a moment with others. And so I couldn't agree more, frankly, with a lot of their feedback.”