Starbucks has joined the Amazon conglomerate, launching it’s first To-GO store in New York City with plans to close 400 traditional cafe’s and format their stores to drive-thru or on-the-go.
The grab-and-go stores will have customers order online pay through a mobile app. The days of standing in long lines or staying around to use the free Wi-Fi might be over. The barista brand is looking to recover from their $3.2 billon dollar loss in sales and has been planning this business model prior to 2020, but with the turn of the pandemic the plans have expedited to rolling out over the next year-and-a-half.
According to Starbucks, there’s been a significant change in the way consumers get their coffee and the fight to stay in the minds of people on-the-go calls for this change. The first pick-up store is in New York City on East 59th street, opening on Thursday with plans to launch a second location in Grand Terminal Station.
While the changes seem to be a win for customers who will avoid standing in long lines or waste time paying at the register, the concern for the labor force is certainly evident. Cashier-less stores would immediately mean less jobs for the public.
A lot of companies are testing Artificial Intelligence for their business model, and franchises like Amazon and McDonald’s have invited AI into their business model. This could potentially knock out an entire class of people, creating job loss.
The coffee brand ensure their labor force wouldn’t change as baristas will still be at the location, making drink orders as well as other menu items. This feels concerning for the economy, and as usual the working class will suffer the brunt, but hey …. faster coffee.