Why hanging out at Starbucks could soon become costly

Why hanging out at Starbucks could soon become costly

  • Starbucks said later this month that it would require purchases to hang out in the company’s cafes or use the restrooms.

  • The company said it had heard from employees that “expectations around the use of our spaces need to be readjusted.”

  • The move is part of new CEO Brian Niccol’s “Back to Starbucks” strategy.

Starbucks (SBUX) will soon require customers to make a purchase if they want to spend time in the company’s cafes or use its restrooms.

This comes from a new code of conduct for its North American locations that will take effect later this month, a Starbucks spokesman said Investopedia. The decision to limit restroom access to paying customers reverses a Starbucks policy that has been in place since 2018.

The company has heard from employees that “the expectations for how our spaces should be used and who uses them need to be redefined,” Sara Trilling, president of Starbucks North America, said in a letter to store managers .

The move is part of the “Back to Starbucks” strategy of new CEO Brian Niccol, who took the helm of the coffee chain in September. The new code of conduct will come into force on January 27 and will be displayed in all stores, a spokesman said.

Shares of Starbucks were little changed in extended trading after rising 1.4% to $93.51 on Monday. They have gained almost 2% in the last 12 months.

Read the original article on Investopedia

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