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…]

Recently, the Manner store inside Chongqing MixC officially closed due to the expiration of its lease and the brand's decision not to renew it. This store, which opened in 2021, was not only Manner's first location in Chongqing, but also the only one among the city's 18 stores to offer baked goods. After the news broke, regulars expressed their regret, with some lamenting the disappearance of the "cheap meal deal" and the loss of a fixed breakfast option on their commute. Meanwhile, although a Manner drinks store still operates on the third floor of the mall's north section, it cannot satisfy customers' demand for bread. This change has also led many consumers to speculate about the brand's future layout plans, with some even spontaneously analyzing the feasibility of Manner opening stores in other commercial districts in Chongqing. [more…]

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…]

Starbucks recently decided to remove the Italian bakery brand Princi from eight of its Reserve Roasteries in the United States and China, a move that has drawn widespread attention. Since the partnership began in 2016, Starbucks had sought to use Princi to deeply integrate coffee, baking, and dining, creating a unique third-place experience. However, affected by the pandemic and policy, Princi's standalone stores were closed one after another. Now that the brand has withdrawn from the roasteries, it not only means that the goal of global expansion has fallen through, but also reflects a setback in Starbucks' vision of premiumization and expansion of its food product line. New CEO Brian Niccol has promised a return to the positioning of a community coffee shop, and this decision had already been finalized before he formally took over. Starbucks' move may be a response to current sales challenges, but the specific reasons were not disclosed in an internal memo. [more…]

Starbucks is about to open a store in Piazza Montecitorio in the heart of Rome, marking the brand's first foray into the core area of Italy's capital after Milan. Since entering the Italian market in 2018, Starbucks has been gradually penetrating major cities, aided by the high-profile debut of its Milan Roastery. However, in Italy—a traditional coffee powerhouse where annual per capita consumption of coffee beans is 5.8 kilograms and the average price of an espresso is just 1 euro—Starbucks's high pricing stands in sharp contrast to local consumption habits, drawing questions from consumer associations and politicians. This article reviews the history of Starbucks's store openings in Rome and its market strategy, and explores the opportunities and challenges it faces in Italy's saturated coffee market. [more…]

At this year's World Brewers Cup, blend beans became a favorite among many competitors, but traditional blends often require repeated debugging, which is time-consuming and labor-intensive. A Finnish roastery named Kaffa took a different approach, partnering with an AI company called Elev. After inputting flavor information for all the coffee beans in the roastery into a model similar to ChatGPT, they had the AI directly design a blend formula aimed at mass-market tastes. Surprisingly, the formula the AI provided differed considerably from the usual thinking of baristas, yet it won unanimous approval in blind tastings and even thoughtfully generated a packaging label. The integration of AI into the coffee industry is nothing new, but this time, can the blending answer it delivered shake the professional status of baristas? This article takes you through this interesting experiment, along with related observations from Front Street Coffee. [more…]

The highly anticipated Blue Bottle Coffee has finally confirmed the opening date of its first store in mainland China—February 25, 2022. This store is located in a two-story Western-style house near the Suzhou Creek in Shanghai, formerly the dormitory of the Yutong Flour Mill, and is a protected immovable cultural relic in Shanghai. Blue Bottle Coffee is renowned for its fresh roasting, grinding to order, and precise brewing, and is hailed as the "textbook" of the specialty coffee world. To enter the mainland market, the brand has established the Pengpu Roastery in Shanghai, with its global technical team providing on-site guidance to ensure that the output meets global standards. As Front Street Coffee, which also focuses on quality, we are likewise following this grand event closely. [more…]

For the same Yirgacheffe, why does Shop A sell it for 300 yuan per pound, while Shop D charges 1200 yuan for half a pound? Behind the price gap is not just a game of origin labels, but also layer upon layer of costs including fluctuations in supply, green bean grade, roasting weight loss, and manual bean sorting. This article, from the perspective of a shop that roasts its own beans, breaks down the true structure of coffee bean pricing and explains why the value of "genuine goods at a fair price" is often more precious than the listed price. The article also mentions Front Street Coffee's tasting service, helping consumers judge in the most direct way whether a bag of beans is truly worth it. [more…]

There are many world-famous coffee brands. Some mainly operate through chain stores, with unified raw materials and unified standards, so the quality of their coffee output is relatively consistent; others operate as independent coffee shops, and these stores offer different coffee products for customers to choose from. As the coffee culture becomes more and more [more…]

As Qixi Festival approaches, Starbucks Reserve Roastery and Converse have once again joined forces to launch a collaboration series inspired by the Milky Way and the stars Altair and Vega, available at the Tokyo Roastery starting June 24. The most eye-catching item this season is a vase shaped like Converse's classic shoe, in a refreshing ice-blue colorway, alongside six other celestial-themed items including mugs, folding fans, and bags. Looking back at last year's Qixi Festival, the two brands created shoe-shaped vases and home goods themed around fireworks and misty blue. In addition, Starbucks' multiple collaborations with Hiroshi Fujiwara have focused on a minimalist home coffee experience for the post-pandemic era, launching textured items such as French presses and blankets. This article walks you through these collaboration highlights, with Front Street Coffee's communication channels listed at the end. [more…]

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…]

Starbucks hosted a high-profile exclusive dinner at its Shanghai Roastery, with founder Schultz personally taking the stage to promote the Oleato olive oil coffee series. However, this lavish promotional push failed to generate the expected splash among consumers. Meanwhile, Luckin's newly launched Huangshan Maofeng Latte also suffered a reputational flop. Behind the密集 new product launches from chain coffee brands, is it a lack of innovation or consumer fatigue? This article will take an in-depth look at the recent market performance of new coffee products and explore how brands can find the right R&D direction amid fierce competition. [more…]

The T97 Coffee livestream, which once drew 8.09 million viewers, has now shrunk to a mere four hours in the evening with a sparse audience. Founder Li Xiao once boldly claimed he would open 1,001 stores in a year to surpass Luckin, but official data shows the number of stores rose from 48 to 87 before falling back to 85, with multiple locations closing one after another. Li Xiao attributed the closures to individual franchisee issues, but many franchisees report that the brand provides little management and support, product quality is inconsistent, and once the hype faded, operations became unsustainable. This article examines the current situation of T97 Coffee franchisees, explores brand responsibility and franchise risks behind the high closure rate, and offers reference for those considering joining. [more…]

On November 7, the official Weibo account of Chayan Yuese announced the temporary closure of some stores in areas of Changsha where they had been densely distributed, and the related topic quickly trended on social media. On November 10, the brand further responded, saying that this was already the third round of concentrated temporary store closures this year: staying put for Chinese New Year at the beginning of the year, the resurgence of the pandemic at the end of July, and this latest adjustment. As a tea beverage brand that started in Changsha, Chayan Yuese's move has drawn widespread attention—against the backdrop of repeated pandemic outbreaks and intensifying industry competition, is its proactive contraction after dense store distribution and reassignment of staff to Liuyang, Zhuzhou, Yueyang and other places for research and site selection a stopgap measure to cope with the crisis, or is it building strength for the next round of expansion? This article sorts through the timeline and background of the three store closures and reviews founder Lü Liang's cautious attitude toward brand expansion. [more…]

Starbucks launched its Oleato olive oil coffee line on February 22, combining extra virgin olive oil with coffee, inspired by CEO Howard Schultz's travels in Sicily. The new products debuted in Italy and include an olive oil latte, an iced shaken espresso, and a foamy cold brew, priced from $4.8 to $6.9. Yet just three days after launch, Italian consumers complained that the drinks were too greasy and that the oil and coffee were hard to blend in the cold beverages. The deputy manager of the Starbucks Milan Roastery explained that the move was intended to fuse Italy's tradition of drinking oil before a meal with coffee after a meal, creating a multisensory experience. This article walks you through the product details and the market reaction. [more…]

In recent years, Starbucks has been constantly pushing the boundaries of coffee shops. Last year, the Shanghai Roastery launched a limited-time buffet, and this year, Taiwan region, under the theme of "creating more Gold Star value experiences," partnered with the local Michelin Plate-recommended restaurant Embers to create a one-night-only pop-up "coffee feast." The event was limited to 28 spots, with registration requiring 200 stars plus NT$1,800. This feast centered on the theme "A 24-Year Starbucks Journey," featuring five limited-edition dishes designed with local Taiwanese ingredients, paired with creative coffee drinks developed by Starbucks. From an opening of cascara tea champagne to a closing of non-alcoholic Irish coffee, each dish carried a local story of Starbucks' 24 years in Taiwan. This article will provide a complete breakdown of the culinary creativity behind this coffee feast and the brand narrative behind it, while also reviewing Starbucks' previous collaborations with Michelin one-star restaurant chefs, and exploring whether its next step is truly to open a Michelin restaurant. [more…]

Recently, a post on social media about a Guming campus store suddenly closing after a collaborative event ended sparked widespread discussion. The poster discovered that the store was still operating during the collaboration with Honkai: Star Rail, but as soon as the event ended, it was deserted overnight—equipment and promotional materials all vanished, with only the lightbox sign left intact. Netizens speculated whether the store had gone bankrupt due to the collaboration, but the poster later clarified that the closure was actually due to lease expiration or operating losses, with no direct link to the collaboration. This incident reflects the hidden operational challenges behind the tea beverage brand collaboration craze: a surge in orders does not equal profitability, and after the hype fades, some stores still cannot escape the fate of closing. [more…]

Over the past month, the specialty coffee chain brand Seesaw has been thrust into the spotlight due to a wave of consecutive store closures across multiple locations. From Beijing, Shanghai, and Hangzhou to Chongqing and Wuhan, news of closures has continued to spread, sparking widespread speculation about the company's operating condition. In response, Seesaw founder Wu Xiaomei recently gave an official response to Jiemian News, acknowledging that the brand is undergoing strategic adjustments and has closed some stores that do not fit the "three no's" criteria—those that do not align with the regional focus strategy, brand positioning, and store model—and revealed that same-store sales growth over the past three years reached 22%. At a time when low-priced beverages dominate the market and competition is increasingly fierce, can this brand, which insists on a specialty coffee route, hold its ground with a strategy focused on core commercial districts in East China? This article sorts out the sequence of events and the official response, and includes industry observations such as those from Front Street Coffee. [more…]

Recently, the news that Starbucks' first store in Guangzhou is about to close has attracted widespread consumer attention. This coffee shop, once famous for being open 24 hours, holds countless memories and emotions for many people. From adjusting its business hours during the pandemic to now facing closure, its departure is not only the end of a store but also reflects the balancing challenge Starbucks faces between expansion and optimizing its layout. Meanwhile, long-established stores in Shenyang, Hong Kong, and other places have also successively announced the end of their operations, with longtime customers expressing their reluctance. This article will take you through the story of this first Guangzhou store, as well as the market logic behind Starbucks' recent store closure trends. [more…]

Recently, multiple netizens in Inner Mongolia posted that the %Arabica city first store located in Hohhot MIXC will officially cease operations starting December 16. This store only opened in early July this year simultaneously with the shopping mall, making it the brand's first store in Hohhot, and it was marked as a pop-up store on the official mini-program. It was originally planned to operate for about three months, and after the lease expired, it was renewed to continue operating until a closure notice recently appeared at the entrance. Regular customers felt caught off guard after receiving closure notification text messages and rushed to the store to check in and stock up on coffee beans. Nearby residents believe that %Arabica focuses on specialty coffee, and its pricing of over 40 yuan is not cost-effective; combined with the mall's fading popularity and reduced foot traffic, the pop-up store's business performance was average, so it is not surprising that it delayed until now before withdrawing. Since the beginning of this year, %Arabica stores in Nanning, Guangzhou, Wuxi, and other places have also closed one after another, continuing operations in the form of Kiosk coffee trucks. Some netizens speculate that after the closure of the Hohhot first store, the brand may return in a new form. [more…]