US & Global Economic Impact Analysis and Forecasts

Freedonia analysts and economists are sharing their insights on how major events are impacting different parts of the US and global economies.

Starbucks Adapts: Closing Up to 400 Conventional Stores & Accelerating Implementation of “On-the-Go” Store Format

Classic Starbucks cafes are not going away. However, even ahead of the coronavirus pandemic which temporarily closed dine-in foodservice, Starbucks was already developing alternative store formats. More drive-thru or walk-up carryout windows, and pickup locations are being rolled out in response to long lines in densely populated areas, intense interest in on-the-go coffee and snacks, and the rise of app-based ordering.

The company told CNN that about 80% of transactions at nearly 15,000 US stores are "on-the-go" purchases. "Covid-19 has actually allowed us to accelerate the plans we already had on the books… Our vision is that each large city in the US will ultimately have a mix of traditional Starbucks cafés and Starbucks Pickup locations.”

This ongoing shift toward on-the-go consumption of coffee and other food will require more disposable foodservice products, including cups and lids, plates, bowls, wraps, napkins, bags, and flatware. As more companies put out goals of moving toward a more circular and environmentally friendly economy, but still need single-use product, packaging companies have opportunities to innovate, particularly if they are able to bring down prices of these items.

For more information, see The Freedonia Group’s reports on Foodservice Single-Use Products, Retail Bags, Global Foodservice, and our sister publisher Packaged Facts’ reports including Food Carryout & Delivery and Food Carryout & Delivery: Special COVID-19 Consumer Insights.

  Consumer Goods      Covid-19