Is Starbucks’ Slowdown More than a Holiday Slump?

Starbucks showed a significant slow down in transaction costs during the holiday season. This fall off is contributed to the limited time holiday beverages poor gift card sells and merchadise underperforming. Also mall store locations not performing as well as other locations is another contributing factor to the poor performace and slow down for the Starbucks company. The Holiday slowdown may also carry over into 2018 with Starbucks expecting a slow start to ther second quarter. China was the bright spot for the company with numbers being better there then in the Americas during the same time.

Key Takeaways:

• Starbuck’s holiday programs and merchandise did not perform as they expected
• Starbucks is not entirely sure about the reason for the low performance
• Despite the slow business in the US, Starbucks has been doing well in China

“Johnson attributed the decline to limited-time holiday beverages, holiday gift cards, and special holiday merchandise underperforming.”

Read more: https://www.qsrmagazine.com/news/starbucks-slowdown-more-holiday-slump