Monday, September 21 2026

Starbucks launches $1 billion restructuring: the world's first Seattle Roastery permanently closes, with layoffs and store closures spreading across Europe and America.

Starbucks recently announced the launch of a restructuring plan totaling US$1 billion, involving the closure of underperforming company-operated stores and a new round of layoffs. According to a filing submitted to the U.S. Securities and Exchange Commission, most of the store closures will be completed before the end of fiscal 2025, with US$150 million for employee severance and US$85 million covering lease termination and asset disposal costs. CEO Niccol said in an open letter to employees that some stores failed to meet financial targets or create the environment customers expect, so the decision was made to immediately close some stores in North America. Foreign media reports say the restructuring will affect hundreds of coffee shops in the United States and Canada, including the world's first Roastery in Seattle's Capitol Hill and the SODO Reserve store in the company's headquarters building. This Roastery, which opened in 2014, is not only a pilgrimage site for Starbucks fans but also one of the first unionized stores in the brand's history, and its permanent closure without warning has sparked employee speculation about union suppression. At the same time, about 900 non-retail employees will receive layoff notices, marking the second round of layoffs since Niccol took office. Although the Europe, Middle East and Africa business is proceeding as planned, some stores in the UK, Switzerland and Austria will also close due to a portfolio review. [more…]

A cafe next to Xi'an's Big Wild Goose Pagoda was demolished because its exterior style did not match the district's character, and it announced permanent closure just over ten days after opening.

The decor of a coffee shop is often an important factor in attracting young consumers, and many community-oriented stores have also adopted influencer-style designs to cater to the market. However, when the appearance of a storefront conflicts with the overall style of the neighborhood it is located in, contradictions arise. A coffee shop near the Big Wild Goose Pagoda scenic area in Xi'an was asked by the urban management department to make rectifications just over ten days after opening because the color of its facade was incompatible with the surrounding Tang-style architecture. In the end, it chose to permanently close due to failure to reach an agreement. The incident sparked heated discussion among netizens: some believed that urban management should not be uniform, while others felt that areas around scenic spots should comply with unified planning. This article will recount the course of the incident and compare it with the successful case of Starbucks in Qingguo Lane, Changzhou, to explore how coffee shops and historic districts can coexist harmoniously. [more…]

After nearly eight years in operation, Starbucks' first Reserve flagship store in South China has announced its permanent closure, and the standalone store in Shenzhen MixC World will change hands.

Starbucks' first Reserve flagship store in South China—the two-story standalone store at Shenzhen MixC World—will officially close permanently after business hours on October 12. This iconic store, which had been open for nearly eight years, was once the largest standalone Starbucks in Shenzhen, and it now comes to an end due to the expiration of its contract and adjustments in the business district's tenant mix. After the news spread, many regular customers felt deep regret. At the same time, Starbucks has also been closing stores at multiple locations in Shenzhen, sparking speculation about adjustments to its market layout. This article will review the store's history, customer reactions, the reasons for its closure, and Starbucks' response, along with related recommendations from Front Street Coffee. [more…]

Starbucks' $1 billion restructuring, store closures and layoffs: barista union protests and demonstrations at Seattle headquarters

Starbucks recently implemented a $1 billion restructuring plan, closing hundreds of underperforming company-operated stores in North America, which triggered a wave of mass layoffs. In front of the global headquarters in Seattle's SoDo district, baristas and union members gathered to protest, holding up signs to express strong dissatisfaction with the company's decisions. Laid-off employees said they only learned of their job losses through prerecorded phone calls and social media, without being offered any opportunity to transfer. Union data shows that 59 unionized stores across the United States were permanently closed in this round of adjustments, with 369 people in Washington State facing permanent layoffs. Meanwhile, New York City regulators also pointed out that Starbucks is suspected of violating labor laws. This labor conflict is continuing to escalate, and the union stated that if their demands are not addressed, they do not rule out expanding actions or even going on strike. [more…]

Tims' first store in Nanning MixC announces permanent closure in March 2026, leaving only one store in the city.

Tims' Nanning MixC store, the brand's first outlet in Guangxi, recently posted a notice announcing it will close permanently after business hours on March 8, 2026. The store has been in operation for three years since opening at the end of 2023, and the news immediately sparked widespread discussion among local consumers. Some reminisced about the long queues when it first opened, some shared delivery order screenshots to express their reluctance to see it go, and others pointed out that the store had few customers on ordinary days. Notably, two of Tims' four stores in Nanning—both operated in partnership with Sinopec—have already quietly closed. If the MixC flagship store closes as scheduled, only the Yuda International Center store, which opened in July 2025, will remain in the city. Long-time customers worry about whether the brand will shrink further and are calling on the company to choose a new location. This article reviews the sequence of events and reactions from all sides, and includes relevant recommendations from Front Street Coffee. [more…]

Starbucks Announces Permanent Closure of 16 U.S. Stores: Safety Concerns Main Reason, Bathroom Policy May Tighten

Starbucks recently announced that it will permanently close 16 U.S. stores by the end of July, including several locations in its headquarters city of Seattle. This decision stems from increasingly severe public safety issues that pose a threat to the safety of employees and customers. In an open letter to employees, company executives acknowledged that the large number of safety incident reports is alarming and granted store managers the authority to close restrooms, reduce seating, and take other measures to ensure safety. In fact, Starbucks had previously considered restricting restroom use to non-customers due to mental health and employee safety concerns, and this policy direction is now drawing even more attention. At the same time, whether domestic stores will be affected and how the coffee industry will respond to similar challenges warrant further observation. [more…]

Guming's Xi'an Gaoxin store permanently closes after lease expires, leaving only one store in the city and sparking heated discussion among residents

The Guming Xi'an Hi-tech store officially closed permanently starting March 11 due to the inability to renew its lease upon expiration. This marks the second directly operated store of Guming to exit the Xi'an urban market, following the closure of the gogo block store in mid-2025. Once the news broke, local consumers reacted strongly on social media, expressing regret and confusion. However, a netizen with inside knowledge revealed that the store may relocate to the first floor of the Hi-tech T11 Mall and reopen, potentially on a larger scale. Meanwhile, relevant personnel from Guming's Northwest region also hinted in the comments section that the brand has not withdrawn from Xi'an and still has plans for future expansion. As the Front Street Coffee content team, which has long tracked developments in the coffee and tea beverage industry, we continue to monitor how chain brands advance and retreat in regional markets. [more…]

Peet's Coffee Confirms Closure of Multiple San Francisco Bay Area Stores, Wave of Closures Hits Ahead of Parent Company Acquisition

Recently, the American coffee chain brand Peet's Coffee, founded in 1966, suddenly announced that it will close multiple stores in the San Francisco Bay Area and surrounding regions by the end of January this year. A company spokesperson stated that this is a difficult decision made to align the business with long-term growth priorities and current market conditions. However, the specific number and locations of the affected stores have not yet been disclosed, leaving employees and customers caught off guard. It is worth noting that this wave of closures comes shortly after news that its parent company, JDE Peet's, is being acquired by Keurig Dr Pepper for $18 billion. Peet's Coffee has over 280 branches in the United States, with about 135 in the San Francisco Bay Area, its largest domestic market. This closure could affect as many as 30 stores in California. Let's learn more about the details of the event together. [more…]

Changsha's largest Starbucks Reserve store announces closure, the IFS landmark location will welcome a new owner

Once hailed as the "most beautiful Starbucks in Changsha," the IFS Reserve store is about to close its doors. This flagship outlet, which opened in 2018 with a two-story space and several brand-first designs, has been confirmed to permanently close after business hours on the evening of March 21 due to lease expiration and adjustments to the mall's business mix. From its Black Eagle coffee machine to its academy-style reading area, it created check-in memories for countless coffee lovers and was regarded as a landmark of Changsha's urban lifestyle aesthetics. Now, the original site will be taken over and renovated by the trendy toy brand Pop Mart, leaving many residents and visitors deeply reluctant to see it go. [more…]

Starbucks store closures continue: Howard says more stores will shut down amid safety concerns

Starbucks, as the world's largest chain coffee brand, is undergoing a continuous contraction of its business. Since the beginning of this year, it has successively been reported to be selling its businesses in South Korea and Russia, and its UK business is also under consideration. The situation is similarly unsettled in its home market, the United States: The Wall Street Journal reported that 16 stores will be permanently closed before the end of July. Meanwhile, a video leaked on Twitter shows former CEO Howard Schultz saying at an internal meeting that store closures are only the beginning and that more will follow in the future. Howard mentioned that employees at listening sessions reported that personal safety has become their primary concern, involving issues such as mental illness, homelessness and crime, and that some profitable stores have also been forced to close due to rising safety risks. At the same time, some union members accused Starbucks of using rising crime rates to cover up its actions against unionization, while Starbucks denied this. [more…]

Heytea's first North American store ceases operations less than a year after opening; the reasons behind the Rowland Heights closure draw attention

A Heytea store opened in Rowland Heights, Los Angeles, USA, has recently been confirmed to be permanently closed. The store operated from its opening in September 2024 to the end of business on May 22, 2025, lasting less than a year. As Heytea's first store to shut down in North America, this news has drawn considerable attention and discussion among consumers. Regular customers were surprised by the sudden closure of a milk tea shop that once had long lines, while nearby residents said they had seen it coming. Factors such as the store's remote location, inconvenient parking, rental costs, relatively high drink prices, and intensifying competition from peers are considered possible reasons why the store struggled to survive. This article will review the course of events, consumer feedback, and the possible business challenges behind it, while also offering coffee and tea beverage enthusiasts selected recommendations from the Front Street brand. [more…]

The first Starbucks store at Wuyi Square in Changsha has closed for business, ending a fourteen-year history.

The Starbucks store at Wangfujing Department Store in Changsha's Wuyi Square, the brand's first location in Hunan Province, has recently been reported to be permanently closing. Having operated for fourteen years, this store not only witnessed Starbucks' expansion in Changsha but also carried the coffee memories of countless residents. However, with intensifying competition among tea and coffee brands in the Wuyi commercial district, adjustments to commercial leasing policies, and changes in Starbucks' market strategy, this iconic store has ultimately reached its end. This article will review the store's glorious past, analyze the possible reasons for its closure, and present the regret expressed by local residents. [more…]

HEYTEA Closes Multiple Stores in Succession, Tightens Franchise Policy to Limit New Store Expansion

Since early November, news of Hee Tea closing stores in multiple cities has emerged one after another, sparking widespread attention. Some netizens reported that stores they frequented suddenly ceased operations—not for renovation and upgrades, but for permanent closure. According to statistics, stores closed in November include the Ganzhou Market store in Zhangye, Gansu; the Lanzhou Guofang Department Store store; and the Zhejiang University Zijingang Campus store, among other locations. Among them were both established stores that had operated for a decade and new stores that had been open for less than six months. This phenomenon is believed to be related to an internal letter Hee Tea released in September, which stated that the company would no longer pursue short-term store-opening speed and would instead focus on store quality and operational excellence. At the same time, a blogger claiming to be a city partner revealed that Hee Tea's franchise policy is being adjusted, with applications becoming more difficult, store-building costs increasing, and even a trend of "restricting new store openings and encouraging closures." [more…]

After 24 years as a landmark, the Starbucks Shanghai Xintiandi store closes on December 16, and with it a generation's coffee memories come to an end.

Starbucks officially announced recently that its seventh store in Shanghai—the standalone Shikumen building store located at the main entrance of the Xintiandi commercial area, opened after the company entered Shanghai in 2000—will permanently close on December 16. This landmark coffee shop, which has accompanied Shanghai residents for 24 years, was renovated multiple times and upgraded to a Reserve store in 2021, holding countless memories of dates, study sessions, and daily coffee runs for many people. The closure announcement has sparked widespread regret, with netizens speculating that it may be due to failed rent negotiations after the lease expired. Meanwhile, several long-operating Starbucks stores in Shanghai have also closed one after another, prompting sighs that an era is quietly coming to an end. [more…]

Shenzhen Xiangmihu 1979 Manner Coffee Bids Farewell Due to Demolition, Drawing a Close to a Decade of Bear-Ordering Memories

The Maan Coffee at 1979 in Shenzhen's Xiangmihu has officially closed permanently due to building demolition. This three-story standalone store, which operated for ten years, was once a landmark in the area and held countless coffee memories for consumers. From its opening in 2015 to its final curtain call, it witnessed a generation of Shenzhen residents gathering, working, and taking photos, with its iconic little bear ordering signs, holiday decorations, and cozy atmosphere. After the news spread, local netizens dug out old photos, sharing stories of their first cup of coffee here, the first contract they signed, and birthdays and marriage proposals they celebrated. Before the closure, a large number of customers made special trips to commemorate the place, lamenting that there would be no more Maan Coffee in Shenzhen. [more…]

COSTA closes another store in Xiamen—why is the British coffee chain that once challenged Starbucks steadily shrinking?

COSTA, which once opened stores right next to Starbucks and made a high-profile entry into the Chinese market, is now becoming less and less visible in many cities. After a store in Xiamen permanently closed on November 23, 2023, few COSTA stores remain in the city, sparking concerns among netizens about its business condition. Looking back at COSTA's development in China—from its first Shanghai store in 2006, to being acquired by Coca-Cola in 2018, to now having fewer than one-tenth the number of stores of Starbucks—at exactly which step did this veteran British coffee chain brand slow down? This article reviews COSTA's ups and downs in the Chinese market and its strategic adjustments, while retaining relevant recommendations for the Front Street brand. [more…]

COSTA Coffee's Jiangxi stores cleared out, multiple Nanjing locations closed; why is Starbucks' former rival retreating step by step?

COSTA Coffee, once as famous as Starbucks, is now quietly shrinking in the Chinese market. A store in Nanjing has announced it will close permanently at the end of August, and two stores in Nanchang Wushang Mall also shut down in early August, meaning COSTA has completely exited the Jiangxi market. From its ambitious plan in 2018 to have 2,500 stores to now having only 343 in operation across 36 cities, COSTA's downward slide is lamentable. A chaotic mini-program, weak marketing, and products lacking highlights are all eroding the patience of loyal users bit by bit. For many consumers whose coffee awakening came from COSTA, the gradual disappearance of this veteran brand, which has been in China for nearly 20 years, inevitably stirs emotion. [more…]

Taiyuan's first Starbucks is about to close after twelve years, as the Liuxiang Maoye store will permanently cease operations starting November 1.

Another beloved veteran coffee shop that holds the city's memories is about to close its doors. The first Starbucks store to open in Taiyuan—on the first floor of Maoye Department Store on Liuxiang—has posted a notice that it will permanently close on November 1, after accompanying local residents for a full twelve years. This old store, which opened in March 2013, is also tied to a dramatic chapter sparked by online remarks, and its departure has left many Taiyuan residents deeply sentimental. From the bustling crowds and first-day sales said to have set a brand record back then, to today's dwindling foot traffic in the commercial district and the often empty second floor, the rise and fall of this two-story retro café mirrors the shifts in urban commerce and the evolution of the coffee-consuming landscape. This article takes you through the past and present of this old store, as well as the inseparable emotional bond between it and the people of Taiyuan. [more…]

Pacific Coffee faces another wave of store closures: all directly operated stores in Zhuhai will be withdrawn, and the number of domestic outlets in operation continues to shrink.

Pacific Coffee has once again become the focus of industry attention. Recently, reports have emerged that multiple stores in Zhuhai will close in mid-October due to business adjustments, including the Huafa Waterfront Store, Haitian Station Store, and City Balcony Store, all distinctive locations along the Couple's Road. After this round of adjustments, Pacific Coffee's directly operated stores in Zhuhai will all be withdrawn, leaving only three franchise stores. From a peak of nearly 500 stores to fewer than 100 today, the situation of this former second-largest coffee chain brand in China's coffee market is lamentable. This article will review the specific circumstances of these closures, the brand's contraction trajectory in recent years, and the complex emotions of coffee enthusiasts regarding Pacific Coffee's current situation. [more…]

Huzhou's first Tims closes less than two years after opening, drawing attention to store contractions in multiple locations amid a thousand-store target

The Tims store at Aishan Plaza in Huzhou, the brand's first outlet in the city, has posted a closure notice less than two years after opening and will cease operations on January 4, 2026. Meanwhile, Tims stores in Wenzhou, Yinchuan, Fuzhou and other places have also been reported to have quietly closed, contrasting sharply with the brand's high-profile announcement of reaching the 1,000-store milestone in October 2024. Data from Zhaomen Canyan shows that the number of currently operating stores has fallen below 1,000. This article reviews the whole story of the closures, consumer reactions and the brand's expansion pace, and includes relevant recommendations from Front Street Coffee for coffee enthusiasts' reference. [more…]