Chipotle’s revenue since then has nearly doubled.
On Tuesday, Niccol answered another call, this time from Starbucks. The Seattle coffee giant named Niccol as its new chairman and CEO, hoping he can revive fading sales and re-establish Starbucks as a destination where customers are willing to pay premium prices.
“I am excited to join Starbucks and grateful for the opportunity to help steward this incredible company, alongside hundreds of thousands of devoted partners,” Niccol said.
Here are three things to know about Niccol:
He graduated from Miami University
Niccol graduated from Miami University in 1996 with a degree in Applied Science, Engineering Management.
Niccol was the keynote speaker for Miami’s Spring Commencement in May. Nicoll and his wife Jennifer, another Miami alum, gifted the university $2 million to establish the Niccol Family Basketball Award for Excellence in Academics and Athletics. The gift makes student athletes who meet academic qualifications eligible for $5,980 annually.
Niccol also holds an MBA from the University of Chicago. He has also served as CEO of Taco Bell and Chipotle. Before that, he worked in brand management at Procter & Gamble in Cincinnati
He was CEO of Taco Bell
At Taco Bell, where Niccol started as chief marketing officer in 2011 and eventually transitioned to CEO, Niccol focused on menu innovation, introducing breakfast at the Mexican food chain. He upgraded restaurant cooking equipment and dining rooms and also introduced mobile ordering.
Starbucks Chairwoman Mellody Hobson — who will transition to lead independent director once Niccol becomes chairman — said Niccol can use the same playbook to transform Starbucks. Schultz also said he has long admired Niccol.
“I believe he is the leader Starbucks needs at a pivotal moment in its history. He has my respect and full support,” Schultz said in a prepared statement.
Investors think he can turn things around for Starbucks
Niccol replaces Laxman Narasimhan, who took over in March 2023. Since last year, Starbucks stock has fallen by nearly a quarter. In July, Starbucks reported a 6% decline at North American stores open at least a year, marking its second consecutive quarter of sales declines. Internationally, the business is struggling even more, with same-store shares in China, Starbucks’ second-largest market, falling 14%.
Investors and analysts think Niccol may be able to reverse the coffee chain’s lackluster sales trend, but Starbucks presents unique challenges. The chain, which has 38,000 locations worldwide, is significantly larger and more widespread than Chipotle’s 3,500 restaurants. Consumers are also pulling back, with many preferring smaller, local coffee shops or making coffee at home.
Investors responded to the shake-up with excitement: the move sent Starbucks shares up 24%