Schultz Does a Cartwheel: Former Starbucks CEO Backs Niccol’s Turnaround
Howard Schultz literally did a cartwheel in his living room. That’s what the former Starbucks CEO told a crowd in Las Vegas this week. The reason? He was thrilled when current CEO Brian Niccol pitched his “back to Starbucks” strategy.
It’s a big deal. Schultz built Starbucks into a global empire. His approval carries weight. And right now, Niccol needs all the credibility he can get.
The 50-year-old CEO is trying to lift the company’s slumping sales and fix a culture that’s gone off track. It’s not an easy job. Starbucks has been struggling. Sales are down. Morale is shaky. The brand feels lost.
Schultz made a surprise appearance at the company’s Leadership Experience in Las Vegas. More than 14,000 store managers packed the venue. They came to hear the turnaround plan. What they got was something better: the founder’s blessing.
The 71-year-old chairman emeritus stood alongside Niccol. Together, they presented a united front. It was the first time the two had appeared publicly together since Niccol took over in September.
That transition was messy. The board ousted Laxman Narasimhan, who was Howard Schultz‘s handpicked successor. Narasimhan lasted barely a year. His tenure was marked by disappointing earnings and operational headaches.
Schultz didn’t hold back during those tough months. He criticized the company publicly after a dismal quarterly report. Posted his thoughts on LinkedIn. Called out the mobile ordering mess. Slammed the beverage strategy.
“The culture was not understood. The culture wasn’t valued. The culture wasn’t being upheld,” Schultz said Wednesday. That’s his way of saying Narasimhan missed the point entirely.
Enter Niccol. The former Chipotle CEO brought instant credibility. Starbucks shares jumped nearly 25% the day his hiring was announced. They’re trading around $95.30 now, up about 20% since early April.
Wall Street likes what it sees. But the real test is in the stores.
Niccol outlined his comeback plan during his first week. The strategy is simple: return to basics. Bring back comfortable seating. Write personalized messages on cups again. Focus on coffee quality instead of endless promotions and discounts.
It sounds obvious. But Starbucks had drifted away from these fundamentals. The company became obsessed with efficiency and mobile orders. They forgot about the experience. The human connection. The “third place” concept that made Starbucks special.
Schultz knows this better than anyone. He turned Starbucks from a small Seattle chain into a global phenomenon. He served as CEO three different times. His last stint was in 2022, but only as an interim leader. He’s promised he won’t come back again.
These days, Schultz has no formal role at the company. But CNBC has reported that he’s forever entitled to attend board meetings unless directors specifically bar him. He was one of the largest shareholders when he stepped down from the board in 2023.
That gives him influence. And credibility. When Schultz speaks, people listen.
His cartwheel story matters because it shows genuine enthusiasm. This isn’t just polite corporate support. Schultz believes in Niccol’s vision. He sees something that excites him.
The challenge now is execution. Niccol has the strategy. He has Schultz’s backing. He has Wall Street’s attention. But he still needs to prove he can deliver results in thousands of stores across the country.
The Las Vegas gathering was a start. Getting 14,000 managers excited about change. Building momentum. Creating belief.
But the real work happens back in those stores. One cup at a time. One customer interaction at a time. That’s how Starbucks will find its way back to what it used to be. Schultz’s cartwheel was just the beginning.
