‘A little touch of luxury, it goes a long way’: Starbucks CEO sees the turn in the turnaround as human touch sings

Starbucks CEO Brian Niccol had a simple explanation Tuesday for why his coffee giant is winning back customers across every income bracket, even as rivals struggle to crack the same code: Make people feel special. “I believe what we see with folks is when you give them an experience that they feel is unique, differentiated, special—a little touch of luxury, it goes a long way,” Niccol told analysts on the company’s second-quarter fiscal 2026 earnings call. “And we’re seeing that play out with every income cohort.” Niccol’s comments came as Starbucks reported its first simultaneous top- and bottom-line growth in more than two years—revenue rose 9% from a year earlier to $9.5 billion, while net earnings surged 33% to $510.8 million. In premarket trading, shares climbed roughly 4.6%. The numbers that stood out most were on the ground. U.S. comparable store sales jumped 7.1%, driven by transaction growth of more than 4%—the strongest such performance in three years. Morning traffic, long the lifeblood of the Starbucks model, climbed back to roughly fiscal 2022 levels. Global comps grew 6.2%, and all 10 of Starbucks’ largest international markets, including China, posted positive comps for the first time in nine quarters. Niccol said it reflects “the reality that more and more customers are interested in drink experiences, whether that’s morning rituals or afternoon experiences.” The human touch At the heart of the recovery is something decidedly low-tech: better-trained, better-staffed, better-motivated baristas. Since taking over in late 2024, Niccol has focused on addressing a litany of customer complaints—from long waits for drinks to a lack of seating—under a strategy he calls “Back to Starbucks.” The company’s internal “Grow” scorecard, which tracks performance across sales, throughput, staffing, customer satisfaction, and food safety, has shown a surge of more than 30 p