Will We See More Starbucks Closings?

The buzz about Starbucks from last week’s Quick Poll may be hard to swallow for fans of the ubiquitous coffee chain, with more than eight in 10 (84%) respondents choosing “yes” as an answer to the question, versus a mere 16% who seem to believe the slew of recently announced closings will suffice. Jim Hughes, a transactional attorney with Greenberg Glusker who specializes in real estate, believes that whether there are more closings, the move to reduce the number of stores is a smart one for Starbucks.

I think that this is frankly an excellent business move for Starbucks. Starbucks is a premium brand that has become a little over extended. They’ve made coffee upscale, and in that, they’ve done something that the brands like Duncan Donuts and others weren’t able to do, and they’ve stuck a chord with consumers. But you literally have a Starbucks in a grocery store a couple doors down from a standalone store. I was concerned just by the proliferation of stores in the last year or so, that they were diluting the brand and overextending themselves.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.