KANSAS CITY — Shortly after joining Starbucks as its new chief executive officer, Brian Niccol outlined an initial strategy to turn the company around that boils down to, “We’re getting back to Starbucks.” The challenge Niccol faces is to embrace Starbucks’ roots while capitalizing on the coffee chain’s many innovations.

On Sept. 10 Niccol published an open letter laying out his short-term plans.

“We’re refocusing on what has always set Starbucks apart — a welcoming coffeehouse where people gather, and where we serve the finest coffee, handcrafted by our skilled baristas,” he said. “This is our enduring identity. We will innovate from here.”

The plan focuses on four areas, including empowering Starbucks’s employees to take care of its customers, getting the morning daypart “right,” to reestablish the company as the “the community coffeehouse,” and tell Starbucks’ story better.

The focus on reestablishing Starbucks stores as the community coffeehouse is a return to the company’s roots, when each store was viewed as a “third place” in communities, where consumers could sit, visit, drink, eat and feel a sense of belonging.

But a desire to serve more customers more efficiently, including a highly successful embrace of digital ordering, pushed Starbucks in directions at odds with creating a community experience. The COVID-19 pandemic accelerated the strategic transition, and during the past few years Starbucks has become a place known for this cutting-edge of efficient ordering technologies and quick pick up of customized beverages rather than a relaxed coffeehouse setting.

Consumers noticed and went elsewhere, perhaps realizing they could get the same customized beverages from alternative shops faster at a cheaper price. The company’s challenges were exacerbated as the digital business grew but accuracy in fulfilling orders deteriorated and wait times became longer. Starbucks’ response was to become more promotional by trying to entice its Rewards customers to return for a deal.

The strategy has not worked as evidenced by Starbucks’ deteriorating financial performance. On Oct. 22, the company issued preliminary results for the fourth quarter ended Sept. 29 that showed global comparable sales declined 7% and consolidated net sales declined 3%, to $9.1 billion. Pressuring the results was a 6% decline in US comparable store sales driven by a 10% decline in comparable transactions.

“We’re prioritizing our brand, highlighting the handcrafted products customers expect, and showcasing the coffee innovation that sets Starbucks apart,” Niccol said after release of the preliminary results. “We will simplify our overly complex menu, fix our pricing architecture, and ensure that every customer feels Starbucks is worth it every single time they visit.”

Starbucks’ past success was never fully attributable to its coffee or the food it served; it was also deeply rooted in the experience it provided — an opportunity to sit, read, answer emails, meet with a colleague or connect with a friend. In return for that experience, customers were willing to pay a premium for its products. The company masterfully scaled that model to become the largest coffee chain in the world.

Now, the challenge facing Niccol is to find a way to return Starbucks’ stores to those community coffeehouses consumers expect while also providing the growth investors expect. It is a balancing act that may lead to fundamental changes in the business.