Starbucks Reports U.S. Sales Down 3%, Global 4%, Plans New Strategies

Starbucks reported a challenging quarter, with CEO Laxman Narasimhan acknowledging the need for improvement. The company's sales were significantly impacted by adverse weather in January, and it missed revenue expectations with U.S. sales down 3% and global sales down 4%. Transactions decreased by 6%. Despite these setbacks, 31% of Starbucks' sales were generated through mobile orders and payments last quarter. The company is planning to expand its mobile app to all users to boost sales from occasional customers, and is also developing new product lines including low-calorie and plant-based options, and a new energy beverage. Additionally, Starbucks' new Lavender platform performed nearly as well as its popular Pumpkin Spice Latte.