Dive Brief:
- Starbucks’ investments in its experience, including in-restaurant service and a revamped loyalty program, are continuing to drive strong results for the company, CEO Brian Niccol said on a Q3 2026 earnings call Wednesday.
- The Starbucks Rewards program grew 0.5 % quarter over quarter to 35.8 million active U.S. members. One-third of customers who tried a drink modification through the Free Mod Monday perk reordered it again in the following weeks — a sign that the program is turning one-time visits into routines, according to Niccol.
- “Taken together, our brand flywheel is working,” Niccol said on the call. “We're creating experiences people are excited about, turning engagement into rituals and deepening customer connection that fuels long-term growth.”
Dive Insight:
Starbucks’ turnaround is underway. Global comparable store sales rose 7.9% year over year in the third quarter of 2026, according to an earnings release. U.S. comparable store sales grew 7.9% year over year as well, driven by increases in both comparable transactions and average ticket size.
The results mark the fourth consecutive quarter of positive global comparable sales.
“It's clear proof that our Back to Starbucks plan is working,” Niccol said. “Starbucks' mission was built on a simple belief, an extraordinary cup of coffee, human connection and a great customer experience matter.”
The combined strength of Starbucks’ CX improvements help bolster brand affinity, consideration and purchase intent, which reached five-year highs during the quarter, according to Niccol. Customer connection improved year-over-year as well.
“Our investments are paying off,” Niccol said. “More customers are choosing Starbucks more often. Partners are creating more moments of connection. Our brand is more visible, relevant and loved. Our coffee houses are more warm and welcoming, and our business is delivering on its commitments.”
The Green Apron Service model, which launched last August, has been a game changer, according to Niccol. The strategy introduced fresh operating standards as well as a new staffing and deployment model that have helped baristas deliver more consistent experiences for customers.
One of Niccol’s early initiatives after taking on the CEO role in September 2024 was improving throughput. At the time, the popularity of mobile ordering was creating a bottleneck in order fulfillment.
Now, Starbucks achieved its target service times of four minutes or less at every access point in its latest quarter despite growing transaction counts, according to Niccol. The company will continue to focus on service and speed in the future.
“When we get it right, customers feel it in their experience,” Niccol said. “We earn trust with every cup served, and we become more than just a great coffee company. We become the place where people connect and the gold standard for customer service.
