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Starbucks is rolling out delivery at roughly 2,000 stores across the US as customers ditch old-school cafés (SBUX)

Starbucks_Holiday_Cups_2018
  • Starbucks is rolling out delivery at roughly 2,000 US stores starting in early 2019.
  • The coffee chain is partnering with Uber Eats to deliver coffee and other menu items.
  • Starbucks said that only about half of its sales are traditional orders placed with baristas, as drive-thru, mobile ordering, and delivery flourish.

Starbucks is rolling out delivery at hundreds of stores across the United States.

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The coffee chain is rolling out delivery at nearly a quarter of its roughly 8,000 US company-operated stores, beginning in early 2019, it announced at its investor day on Thursday. Starbucks is partnering with Uber Eats for its delivery program, which it began testing in Miami over the summer.

Starbucks has been moving away from its traditional coffee-shop model in recent years.

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Starbucks said that in fiscal 2016, 61% of the chain's US net sales were ordered through baristas at cafs, while 34% were drive-thru orders and 5% were mobile orders.

Two years later, in fiscal 2018, just 51% of sales were from the caf. Drive-thru orders accounted for 37% of sales, while mobile orders accounted for 12%.

The trend of nontraditional orders is set to grow in the coming months. More than 80% of new Starbucks locations opened in fiscal 2018 in the United States were drive-thrus, the company reported in November. Drive-thru sales growth outpaced general comparable sales by over 4%.

The rise of the drive-thru, mobile ordering, and delivery has put Starbucks in an interesting position. Historically, much of the brand's cachet has been its claims that it builds community among customers and employees.

But in recent years, an increasing proportion of customers have prioritized convenience over community. Further, Starbucks has struggled to boost traffic, which dropped by 1% in the US in the most recent quarter. Drive-thrus are a convenient way to increase the number of orders that can be processed without overstuffing stores with customers.

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See Also:

SEE ALSO: Starbucks says it is finally going to block customers from watching porn in stores after years of pressure

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