Operations

Starbucks to expand delivery to 2,000 locations

The company plans to offer delivery via Uber Eats in a quarter of its company locations by spring.
Photograph: Shutterstock

Starbucks plans to expand delivery to more than 2,000 locations by spring through a partnership with Uber Eats, the company announced Thursday.

The Seattle-based coffee giant, which has struggled with traffic all year, will concentrate its delivery program in areas with stores that don’t have drive-thru windows, executives announced at the Starbucks Investor Day conference this week. The company said it plans to have delivery in 25% of its 8,000 company-owned locations.

Starbucks declined to provide more specifics on the new delivery markets to Restaurant Business.

Starbucks began its delivery test at more than 100 stores in Miami in September.

The company is capitalizing on delivery at a time when consumers are becoming increasingly comfortable with Starbucks’ mobile order and pay app. Currently, some 14% of all transactions are made through the app, executives said during a call with analysts in November.

The U.S. delivery expansion is part of a global delivery push. In China, the chain just launched a virtual Starbucks store that features a unified mobile app that offers delivery, social gifting and retail. The new platform eliminates the need for multiple apps. Delivery in China, which began three months ago, has expanded to 2,000 stores in 30 cities.

Nevertheless, total traffic remains down, dipping 1% for the quarter ended Sept. 30.

Starbucks stock was down nearly 4% in morning trading on Friday.

Members help make our journalism possible. Become a Restaurant Business member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.

Multimedia

Exclusive Content

Financing

The ongoing dangers of third-party delivery

The Bottom Line: The parent company of Tender Greens, which filed for bankruptcy this week, is laying part of the blame on its heavier reliance on delivery orders.

Technology

As restaurant tech consolidates, an ode to the point solution

Tech Check: All-in-one may be all the rage, but there’s value in being a one-trick pony.

Financing

Steak and Ale comes back from the dead, 16 years later

The Bottom Line: Paul Mangiamele has vowed to bring the venerable casual-dining chain back for more than a decade. He finally fulfilled that promise. Here’s a look inside.

Trending

More from our partners