Starbucks Cuts 30% of Menu to Revive Coffeehouse Vibe

SEATTLE, Wash. — Starbucks is slashing 30% of its menu by late 2025 as part of a broader strategy to revive its coffeehouse roots and address declining sales. The company is reintroducing ceramic mugs, offering free non-dairy milk, and bringing back self-service condiment bars in an effort to win back customers.

The changes come as Starbucks faces its fourth consecutive quarter of declining sales in the U.S. and globally. CEO Brian Niccol, who joined the company after a successful turnaround at Chipotle, has dubbed the initiative “Back to Starbucks.” The plan aims to simplify operations, improve customer experience, and return the chain to its local coffeehouse identity.

“We’re committed to ensuring Starbucks is the unrivaled best job in retail,” Niccol said during an investor call on Tuesday. He highlighted that free non-dairy milk options have already helped bring back “lapsed Starbucks rewards members.”

The company has not specified which menu items will be cut, but the olive-oil Oleato coffee was the first to go. Niccol described the current menu as “overwhelming” for both customers and baristas, emphasizing that a streamlined selection will allow Starbucks to respond more effectively to cultural trends and barista input.

Starbucks is also addressing operational challenges, such as mobile order bottlenecks. The company is testing a new algorithm in three stores to smooth out rushes of mobile orders, which have overwhelmed staff and led to long wait times. Early results show improvements in financial performance, employee satisfaction, and customer experience.

Other changes include reintroducing self-service condiment bars, reducing promotions for rewards members, and requiring purchases for restroom access. The company is also experimenting with separating mobile and in-store orders using risers and shelves at pickup counters.

Despite these efforts, Starbucks remains at odds with its unionized workers. Baristas at over 500 stores have organized but have yet to reach a collective-bargaining agreement with the company.

Niccol said the company is focused on creating a more welcoming environment where customers want to linger. “We gotta fix it,” he said, referring to the challenges posed by mobile orders. “It sequences those mobile orders, so it can allow the café order to get fulfilled in a timely fashion and with a touch of humanity.”