Starbucks shutters nine Ottawa cafés as part of North American restructuring amid declining sales and rising living costs.
Ottawa Mourns Sudden Starbucks Closures
Coffee lovers in Ottawa were met with surprise and disappointment Monday as nine Starbucks locations across the city shut their doors, part of a North America-wide restructuring initiative. The closures, affecting neighbourhood favourites, have left employees and patrons alike grappling with sudden job losses and disrupted routines.
Community Impact Felt Deeply
Long-time customers expressed heartbreak over the closures. Jess Rose, a regular at 1050 Bank St., described the shutdown as “devastating,” emphasizing the personal toll on staff who received just 48 hours’ notice. Gaby Garcia lamented losing a café she visited with children before trips to the nearby Sunnyside branch of the Ottawa Public Library, hoping a Tim Hortons might eventually take its place.
Corporate Strategy Behind the Closures
Starbucks announced the closures Thursday, citing six consecutive quarters of declining U.S. sales. CEO Brian Niccol explained the company identified locations unable to meet customer and partner expectations or achieve financial viability. Approximately one per cent of North American stores are affected, with the chain ending the fiscal year at 18,300 stores in the region.
Economic Pressures and Consumer Shifts
Experts link the closures to broader economic challenges. Dana Hyde of the University of Ottawa’s Telfer School of Management noted that inflation has reduced demand for higher-priced specialty coffees, driving some customers to alternatives such as Tim Hortons. Additionally, tariffs on key coffee-producing nations and global bean shortages have raised Starbucks’ raw material costs.
Locations Across Ottawa Affected
The nine shuttered cafés span Ottawa from Kanata to Orléans, including:
- Bank & Aylmer, Old Ottawa South (1050 Bank St.)
- St. Laurent Shopping Centre (1200 St. Laurent Blvd.)
- Bank & McLeod, Centretown (455 Bank St.)
- Trinity Crossing Mall, Orléans (4240 Innes Rd.)
- Elmvale Acres (1910 St. Laurent Blvd.)
- Tunney’s Pasture (1620 Scott St.)
- W. Hunt Club (330 W. Hunt Club Rd.)
- W. Hunt Club Petro Canada (690 W. Hunt Club Rd.)
- Gateway Plaza, Kanata (4055 Carling Ave.)
Looking Forward
In a note posted to affected locations, Starbucks acknowledged the emotional and practical impact of the closures. “This isn’t just any store; it’s your coffeehouse, a place woven into your daily routine, where memories were made,” the statement read, highlighting the company’s awareness of its role in local communities even as it navigates financial pressures.