SEVERE WX : Severe Thunderstorm Watch View Alerts

Starbucks' new store concept: Pick-up only

Starbucks has begun construction on a new location dedic...

Posted: Sep 19, 2019 9:37 AM
Updated: Sep 19, 2019 4:30 PM

Starbucks has begun construction on a new location dedicated exclusively to mobile orders.

The new store format is called 'Starbucks Pick-Up,' only accepting orders from the Starbucks app. The first-of-its-kind location in the United States will be located near Penn Station in New York City. Starbucks hasn't announced an opening date.

The location is based off 'Starbucks Now,' a similar store format that only exists in China. At Starbucks Now stores, customers order ahead and pick up their drinks in a store that's smaller than a typical cafe. The concept is similar to Luckin Coffee, a rapidly growing regional rival that only accepts payments and orders through its app.

The Pick-Up store in New York City is part of Starbucks plans to modernize its business with a greater emphasis on digital.

Starbucks has also said it wants to expand its 'third place' idea: Starbucks has long said it is another place for customers to congregate, in addition to work and home. But as people continue to change their purchasing habits, Starbucks said it is looking for ways to adapt its strategy. The smaller-format store is a further evolution of the idea. The company has previously said it wants to bring 'convenience, comfort and connection' to its customers.

A greater emphasis on its app-based rewards program is paying off: Starbucks said it grew the number of people using its app by 14% last quarter, reaching more than 17 million members.

The unique store could help Starbucks prevent cannibalization, which is when one location takes clients from another nearby. That poses a problem particularly in dense areas such as New York City. In cities with high rent, it can open more of these smaller stores instead of larger cafes.

Starbucks CEO Kevin Johnson previously told CNN Business that he's thinking about the full 'portfolio' of stores, which include remodels and new concepts, such as glitzy Roastery locations.

'Every store, every community, has its own personality,' Johnson said. The idea is to 'serve the multiple needs of that community.'

-- CNN Business' Danielle Weiner-Bronner contributed to this report.

West Lafayette
Partly Cloudy
88° wxIcon
Hi: 90° Lo: 72°
Feels Like: 96°
Kokomo
Partly Cloudy
83° wxIcon
Hi: 89° Lo: 73°
Feels Like: 89°
Rensselaer
Mostly Cloudy
79° wxIcon
Hi: 87° Lo: 68°
Feels Like: 81°
Fowler
Partly Cloudy
88° wxIcon
Hi: 89° Lo: 69°
Feels Like: 96°
Williamsport
Partly Cloudy
82° wxIcon
Hi: 88° Lo: 71°
Feels Like: 87°
Crawfordsville
Partly Cloudy
79° wxIcon
Hi: 87° Lo: 71°
Feels Like: 82°
Frankfort
Partly Cloudy
79° wxIcon
Hi: 87° Lo: 72°
Feels Like: 82°
Delphi
Partly Cloudy
81° wxIcon
Hi: 90° Lo: 72°
Feels Like: 86°
Monticello
Partly Cloudy
81° wxIcon
Hi: 92° Lo: 73°
Feels Like: 86°
Logansport
Partly Cloudy
81° wxIcon
Hi: 88° Lo: 70°
Feels Like: 84°
Severe weather risk, then brief, but substantial cool-down...
WLFI Temps
WLFI Planner

Indiana Coronavirus Cases

Data is updated nightly.

Cases: 751242

Reported Deaths: 13795
CountyCasesDeaths
Marion1032931788
Lake556911009
Allen41692692
St. Joseph36990565
Hamilton36588417
Elkhart29398461
Tippecanoe22901226
Vanderburgh22556400
Porter19356325
Johnson18471389
Hendricks17682317
Clark13226195
Madison13149344
Vigo12614253
LaPorte12419221
Monroe12207176
Delaware10966198
Howard10321225
Kosciusko9630121
Hancock8576146
Bartholomew8169157
Warrick7860156
Floyd7811180
Grant7242179
Wayne7162201
Boone6966103
Morgan6761141
Dubois6218118
Marshall6209116
Cass6016110
Henry5900110
Dearborn589878
Noble581488
Jackson509076
Shelby501496
Lawrence4742122
Gibson444894
Clinton442355
Harrison441875
DeKalb439885
Montgomery438090
Whitley406543
Huntington402681
Steuben400159
Miami395269
Jasper388054
Knox375991
Putnam372960
Wabash361983
Ripley347170
Adams345555
Jefferson335886
White331953
Daviess3033100
Wells295281
Decatur289992
Greene286885
Fayette284864
Posey273835
LaGrange273072
Scott270156
Clay267148
Washington246036
Randolph244783
Jennings235349
Spencer234531
Starke228058
Fountain220948
Sullivan214643
Owen211858
Fulton202942
Jay200932
Carroll193620
Orange188255
Perry187237
Rush175926
Vermillion174844
Franklin170335
Tipton166246
Parke149416
Pike138234
Blackford136232
Pulaski120647
Newton113936
Brown104243
Crawford102516
Benton101714
Martin91715
Warren84015
Switzerland8148
Union72810
Ohio57911
Unassigned0420

COVID-19 Important links and resources

As the spread of COVID-19, or as it's more commonly known as the coronavirus continues, this page will serve as your one-stop for the resources you need to stay informed and to keep you and your family safe. CLICK HERE

Closings related to the prevention of the COVID-19 can be found on our Closings page.

Community Events