Latest News

Starbucks is Closing Up to 200 Stores in Canada

Starbucks is Closing Up to 200 Stores in Canada

By Simon Hung

Starbucks will be closing upwards of 200 Canadian stores over the next two years, as a result of declining sales due to the COVID-19 pandemic.

According to The Canadian Press, the coffee giant plans to scale back its operations in North America with up to 400 store closures across Canada and the United States. Starbucks currently operates approximately 1175 stores across Canada with a presence in all 10 provinces.

In a letter to shareholders filed Wednesday morning, Starbucks attributed the shift in strategy to evolving customer habits and plummeting sales due to pandemic-related closures, as the company estimates their quarterly operating income will drop by upwards of $2.2 billion USD. The letter also outlined a plan to "re-position" some stores instead of closing them, which suggests that the company may convert some full-service stores into pickup-only stores like the one they opened this January in Toronto.

Since mid-March, Starbucks stores in Canada have been operating in very limited capacities, with most only accepting drive-thru and delivery orders via UberEats. Even after stores re-opened in late-May, many locations are only operating in a grab-and-go capacity with no in-café seating.

____________________

Source: The Canadian Press, with reports from 680 NEWS

17 Comments

    • Opened up my store locator after seeing this message in the Starbucks app. Some locations that have drive-thrus are closed for some reason as well. One of the stores I noticed that were closed is a very high traffic area as well-- wonder why.
    • Report Post
    • Didn't even know they delivered....
    • Report Post
    • kr0zet wrote: Didn't even know they delivered....
      me too. Seems only with UberEats tho
    • Report Post
    • Saw this on the app today. Went to the Oakridges location and the lineup for the drive thru was huge. Also they finally are using gloves. Yesterday, the one barista didn't. *Angry face* lol.
    • Report Post
    • BC Medical Officer ordered all restaurants closed in BC except for takeout.
    • Report Post
    • Starbucks to close up to 200 of its Canadian locations as part of the fallout from covid-19.
      It would mean 17% of its total outlets in Canada closing up shop in 18 months.
      They will experiment with new pick-up only locations in Toronto.

      https://www.cp24.com/news/starbucks-pla ... -1.4977787
    • Report Post
    • 9thGenCivicSi wrote: Starbucks to close up to 200 of its Canadian locations as part of the fallout from covid-19.
      It would mean 17% of its total outlets in Canada closing up shop in 18 months.
      They will experiment with new pick-up only locations in Toronto.

      https://www.cp24.com/news/starbucks-pla ... -1.4977787
      Good for them. Should be more pick up stores though
    • Report Post
    • I took the plunge and bought a decent Espresso Machine, I can make some pretty decent Latte And such now. I loved Starbucks Vanilla Latte but now i make them at home and am learning new and interesting ways to make a Brew!
    • Report Post
    • If Starbucks ever closes all the stores in Canada ... or in a city like Winnipeg (where I am at), hypothetically speaking only of course .... - what would happen to people who have $$$ balance in their Stabucks account ... - say $200 - $300 balance, for example.

      I wouldn't think those money will just go "belly up" / bye bye .... so you figure they would return $$$ to the Canadian people with balances in their account?
    • Report Post
    • Darkman wrote: If Starbucks ever closes all the stores in Canada ... or in a city like Winnipeg (where I am at), hypothetically speaking only of course .... - what would happen to people who have $$$ balance in their Stabucks account ... - say $200 - $300 balance, for example.

      I wouldn't think those money will just go "belly up" / bye bye .... so you figure they would return $$$ to the Canadian people with balances in their account?
      I'd expect they mail a cheque to me

      Hopefully not Tim Hortons coupons lol
    • Report Post
    • 200 out of almost 1200,meaning one out of six.Well,this is very smart move and real grading strategy works here.
    • Report Post
    • Darkman wrote: If Starbucks ever closes all the stores in Canada ... or in a city like Winnipeg (where I am at), hypothetically speaking only of course .... - what would happen to people who have $$$ balance in their Stabucks account ... - say $200 - $300 balance, for example.

      I wouldn't think those money will just go "belly up" / bye bye .... so you figure they would return $$$ to the Canadian people with balances in their account?
      smartie wrote: I'd expect they mail a cheque to me
      Maybe they will just add the amount to the credits people have with airlines from covid-cancelled flights.
    • Report Post
    • I called them on this yesterday ..,some supervisor told me that if there won't be any Starbucks in your city (which is very doubtful in my case, cuz I am in Winnipeg - Capital of province Manitoba) ... they WILL issue you a check for the amount that is on your gift card ... ($298 CAD or so in my case) ... She did see it happen before, so it won't be the first time they'd be doing something like that... Nice to know in any case.

      But in order for them to do it ... you'd have to have NO starbucks around you :)
    • Report Post
    • I had already noticed them consolidating quite a few locations in downtown Toronto, not surprising since there was one almost every block. Even now, they could make do with less locations.
    • Report Post
    • Use that balance or risk using it
      Why still holding on to it despite the risk
      Use it or lose it
    • Report Post
    • So I'm guessing ordering through the Starbucks app and picking it up is no longer available? Has to be delivered through one of SkipTheDishes or UberEats' absurd rates?

      If so, that's disappointing. There was a 16-20 car lineup at one Starbucks recently in my suburb, and I saved myself the long wait by ordering through Starbucks' app and picking it up at the entrance. Only 1 person was ahead of me (1 person in-store at a time). You could only step about 4-5 feet into the store before there were barriers from going further. Only criticism would be that the entrance door had to be touched in order to pull it open.
    • Report Post
  • bst
    • onquest wrote: So I'm guessing ordering through the Starbucks app and picking it up is no longer available? Has to be delivered through one of SkipTheDishes or UberEats' absurd rates?

      If so, that's disappointing. There was a 16-20 car lineup at one Starbucks recently in my suburb, and I saved myself the long wait by ordering through Starbucks' app and picking it up at the entrance. Only 1 person was ahead of me (1 person in-store at a time). You could only step about 4-5 feet into the store before there were barriers from going further. Only criticism would be that the entrance door had to be touched in order to pull it open.
      The original post is outdated and is a response during early days (March) of the pandemic. Many Starbucks locations are now opened for walk ins: https://stories.starbucks.ca/en/stories ... -covid-19/
      Updated as of 8 a.m. May 28

      STARBUCKS CANADA WELCOMES CUSTOMERS BACK IN STORES WITH GRAB-AND-GO SERVICE
      With partner (employee) and customer safety top of mind, Starbucks Canada is set to open its cafe doors and welcome customers for walk-in take-out orders. By this weekend, two-thirds of stores across Canada will offer grab-and-go service, which means customers can go inside a cafe to place their order to go, but all in-cafe and patio seating will remain closed.

      The grab-and-go model continues to prioritize safety. When a customer walks into a cafe to order at the counter, they will notice floor markers and signage directing them where to stand to remain physically distant. There will also be a plexi-shield at the POS as an added barrier to protect partners and customers. Partners will wear facial coverings and adhere to Starbucks safety measures.
    • Report Post