Starbucks CEO, Steve Niccol, has taken over the company's discount-heavy approach to drive traffic and profits, which he believes is eroding loyalty. The company's rewards program had become a vehicle for deep discounts rather than genuine engagement, with customers coming for the deal, not the experience, according to Niccol. He decided to strip the program back and rebuild it around tiers and recognition, not price cuts. The transformation has been evident in Starbucks' fiscal second quarter results, with total revenue reaching $9.53 billion and net income reaching $510.9 million, up from $384.2 million in the same period last year. U.S. same-store sales also grew by 7.1%, driven by transaction growth of more than four percentage points, the strongest traffic performance in three years. Despite this, the company has raised its full-year outlook and expects global and U.K. same store sales to rise at least 5% in fiscal 2026.