It still feels like summer in much of the U.S. Beaches are crowded ahead of Labor Day, schools haven’t started everywhere, and in some cities temperatures are holding steady in the 80s.
But at Starbucks, fall officially starts Tuesday with the return of the Pumpkin Spice Latte, better known as the PSL.
The seasonal drink is more than just a fan favorite. It’s a major sales driver. When Starbucks brought it back on August 22 last year, sales jumped 24.1% above the average Thursday, according to Pacer.ai. The momentum lasted through the weekend. Starbucks has said that about 10% of its annual sales come from seasonal menu items like the PSL.
That bump could be especially important this year. Starbucks has been struggling with fewer transactions at stores open at least a year, and revenue from those stores has also been slipping. Net income dropped nearly 50% in the most recent quarter, leaving profits down around 40% for the year so far.
Since taking over last September, new CEO Brian Niccol, formerly of Chipotle, has been working to turn things around. He’s slimmed the menu by about 30%, updated employee uniforms, and is testing out a new café design aimed at making paying customers stick around longer.
For those rushing in for their first PSL of the season, there’s at least one piece of good news: prices haven’t changed from last year. Depending on the market, a grande Pumpkin Spice Latte at company-owned stores will still cost between $5.75 and $7.25.
First introduced in 2003, the PSL has become more than just a drink. It’s now a cultural marker for the start of fall, inspiring everything from pumpkin spice yogurt to whiskey — and plenty of jokes along the way.
