Starbucks China Bans "Seating Without an Order"
Starbucks has decided to restrict seating at its stores in China for customers who have not purchased drinks, food, or other items. The move is part of its efforts to recover its performance in an increasingly competitive Chinese market.
According to Bloomberg on October 21 local time, Starbucks China said it would introduce a new policy on October 22 requiring customers to purchase an item to use seating at its stores across China.
Starbucks said, "We will continue to invest in improving the in-store experience and work to create and maintain a comfortable 'third place' together with our customers."
Starbucks China also plans to make additional investments in fiscal 2027. It will use the investments to increase staffing during peak hours, upgrade digital systems and key facilities, and renovate about 1,000 stores in mainland China.
The move is part of Starbucks' efforts to strengthen its stores as competition intensifies in China. In November 2025, Starbucks agreed to sell a majority stake in its China business to local private equity firm Boyu Capital, valuing the business at $4 billion. The strategy aims to secure new growth drivers by working with a local partner.
Amid fierce competition from local companies and price cuts, Starbucks China has seen same-store sales decline for two consecutive fiscal years. Sales showed signs of recovery early in the current fiscal year, but the company has yet to return to stable growth. Starbucks has not separately disclosed the performance of its China business since the third quarter, which ended in June 2026.
The move is similar to a policy Starbucks introduced in the United States in 2025. At the time, it ended its previous policy allowing customers who had not made a purchase to use its stores, outdoor patios, and restrooms. It also introduced new rules for using its stores to prioritize paying customers.
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Since opening its first store in Beijing in 1999, Starbucks has grown to operate about 8,000 stores across China. However, its position in the market has weakened as low-cost local brands such as Luckin Coffee have grown rapidly and consumers have become reluctant to pay premium prices for foreign brands.
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