Starbucks Brews Up Taco Bell Flavor with New Executive Hires
Seattle, WA - Starbucks Corporation (SBUX) has appointed two former executives from Taco Bell (YUM) to key leadership positions as part of CEO Brian Niccol's "Back to Starbucks" plan.
Mike Grams joins as Chief Stores Officer, overseeing retail teams and store performance. Meredith Sandland assumes the role of Chief Store Development Officer, responsible for store development strategy and design. Both executives will relocate to Seattle and commence their roles in February.
The strategic shift aligns with Niccol's vision for clear accountability and enhanced focus within each role. Starbucks intends to leverage Gram's expertise in retail management and Sandland's experience in store development to enhance customer experience.
Additionally, Sara Trilling, former President of Starbucks North America, is leaving the company. Trilling, who oversaw growth initiatives and employee support, believes that the reconfigured roles are not a suitable fit for her.
Arthur Valdez, former Chief Supply and Customer Solutions Officer, is also stepping down. Valdez, who joined Starbucks from Target (TGT), supports Niccol's decision to integrate the customer solutions team with the stores team.
Trilling and Valdez will facilitate a smooth transition over the coming months.
Starbucks Q1FY25 Earnings Preview
Starbucks is set to release its first quarter fiscal year 2025 results after market close on Tuesday. This marks the first full quarter under Niccol's leadership.
Analysts anticipate revenue of $9.32 billion, slightly below the $9.43 billion reported in Q1FY24. Same-store sales and foot traffic are projected to decline by 5.30% and 7.28%, respectively.
Despite the challenges, Starbucks stock has gained 5% in the past year, lagging behind the S&P 500's 24% rise. However, shares have surged 32% since Niccol's appointment as CEO.