Starbucks is officially pulling the plug on its grab-and-go “Pick Up” stores, a mobile-order-only concept that was once hailed as the future of fast coffee. Introduced in 2019, these locations were designed for speed and convenience—no seating, no cash registers, just a streamlined experience for customers who ordered ahead via the app. But after six years and nearly 90 locations, the company says the format no longer aligns with its brand values.
During its July 29 earnings call, CEO Brian Niccol announced that all pickup-only stores will be “sunset” in fiscal 2026, with some locations closing permanently and others potentially being converted into traditional coffeehouses.
Why the Shift?
Niccol, who took over as CEO in September 2024, has been vocal about his “Back to Starbucks” strategy—a push to restore the brand’s identity as a welcoming, community-centered coffeehouse. He described the grab-and-go model as “overly transactional and lacking the warmth and human connection that defines our brand”, adding that the company’s digital infrastructure is strong enough to deliver convenience without sacrificing atmosphere.
The decision comes amid six consecutive quarters of declining sales, with analysts pointing to a drop in foot traffic and a growing disconnect between Starbucks’ tech-heavy operations and its original café culture.
What Happens Next
Starbucks says it will continue to invest in mobile ordering, which now accounts for 31% of U.S. transactions, but the focus will shift back to community coffeehouses that offer both digital convenience and in-person connection. The company has already begun trimming its menu, updating pricing, and revamping store aesthetics to encourage longer visits and more meaningful interactions.
As for the grab-and-go locations, many were situated in downtown business districts, airports, and hospitals, where speed was prioritized over ambiance. Whether those spaces will be repurposed or shuttered entirely remains to be seen.
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