Starbucks offers oat milk as a dairy-free option.
Source: Starbucks
starbucks announced Wednesday that it will eliminate surcharges on dairy substitutes, saving some U.S. customers more than 10% on their drink bills.
The changes, which will take effect on November 7, are based on long-standing requests from customers to eliminate surcharges, especially given the growing popularity of milk alternatives. More recently, Starbucks has seen sales decline in the U.S. as its high prices scared off occasional customers whose wallets were already being decimated by inflation.
“This is just one of the many changes we’re making to make Starbucks worth visiting every time,” CEO Brian Nicol said in a statement.
According to Starbucks, dairy-free milk alternatives are the second most requested customization by customers, behind the addition of espresso shots.
The surcharge price change coincided with the launch of the company’s holiday menu and the end of sales of the chain’s olive oil-infused drinks.
Nicol joined the company in early September after serving as CEO for six years. chipotle pepper. At Starbucks, he is tasked with leading a turnaround to reinvigorate business, particularly in the domestic market. His early strategic focus included changing the coffee chain’s marketing, simplifying its menu, and revising its pricing.
Surcharges for dairy alternatives can reach up to 80 cents per drink in some markets. Currently, Starbucks customers can already add up to 4 ounces of dairy alternatives to their hot or iced brewed coffee, tea, cold brew coffee, or Americano drinks at no additional charge. However, other drinks made using milk in standard recipes, such as lattes, currently come with an additional charge.
Starbucks first began offering dairy-free milk in 1997, adding soy milk to its menu. Coconut milk hit menus across the country in 2015, followed by almond milk the following year. In 2021, Starbucks stores across the U.S. began using oat milk.
Recently, PETA has targeted Starbucks for non-dairy surcharges and resorted to stunts to draw attention to the cause. For example, two years ago, actor and activist James Cromwell, known for his roles in Succession and Babe, was glued to the counter of a New York City store. When Nicol joined, PETA said it would pause its campaign to give it time to change strategy.
In March, three women with lactose intolerance sued Starbucks in federal court, alleging that the surcharge discriminated against customers with allergies. The company is asking for the lawsuit to be dismissed. His next court appearance is Nov. 6, according to court filings.
Starbucks declined to comment on the lawsuit, citing its policy not to discuss pending litigation.
