Starbucks phases out olive oil-infused coffee in U.S., Canada amid menu simplification strategy

​USA – Starbucks has announced that its Oleato range, featuring olive oil-infused coffees, will be discontinued in the U.S. and Canada starting in early November.  

The decision aligns with new CEO Brian Niccol’s goal to simplify Starbucks’ menu and revamp the coffee chain’s offerings as it faces declining sales.  

The move comes less than a year after the Oleato drinks were introduced in North America, following their initial launch in Italy. 

The Oleato range, which includes a cold-pressed olive oil latte and iced shaken espresso with olive oil and oat milk, was created by Starbucks founder Howard Schultz. 

He developed the concept after learning about the Mediterranean practice of consuming olive oil daily for its health benefits.  

Despite the high-profile launch, the drinks met with mixed responses, with some customers reporting digestive issues such as stomach aches and bowel problems. 

Although the Oleato beverages will no longer be available in the U.S. and Canada, they will continue to be offered in select international markets, including Italy, Japan, and China.  

According to Starbucks, the decision to remove the Oleato range was made before Niccol assumed his CEO role but aligns with his strategy to streamline the menu. 

Niccol, who previously led Chipotle, was brought on board to reinvigorate Starbucks, which has been facing a drop in sales amid rising living costs that have impacted customer spending habits.  

During Starbucks’ recent quarterly earnings report, the company disclosed a 7 percent decline in global sales year-over-year from July to September.  

This included a 6 percent drop in U.S. comparable store sales, driven by a 10 percent reduction in customer transactions.

In response, Niccol has emphasized his intention to simplify Starbucks’ offerings, describing the menu as “overly complex.”

Starbuck’s hybrid work policy 

In a parallel move to tighten operations, Starbucks has updated its hybrid work policy for corporate employees, emphasizing that failure to meet office attendance requirements may result in termination.  

The company’s two-year-old hybrid policy mandates employees to work in the office three days a week.  

As of January 2025, an accountability process will be implemented to ensure adherence. While Tuesday was initially designated as an in-office day, it is now up to managers to decide which day best suits their teams’ needs. 

“We are continuing to support our leaders as they hold their teams accountable to our existing hybrid work policy,” a Starbucks spokesperson told Bloomberg News.  

In a recent employee forum at Starbucks headquarters, Niccol commented, “This is not a game of tracking. This is a game of winning… if success requires us being together more often than not, let’s be together more often.” 

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