Jan 28 (Reuters) - Starbucks ( SBUX ) reported a

smaller-than-expected fall in first-quarter comparable sales on

Tuesday, indicating early signs of success for CEO Brian

Niccol's turnaround efforts for the coffee chain battling

sluggish demand.

Niccol, credited with reviving burrito chain Chipotle

Mexican Grill ( CMG ), has looked to return Starbucks ( SBUX ) to its

coffee house roots in the U.S. by rolling out a simpler menu,

ceramic cups, refills and condiment bars. He also addressed a

key concern of diners by reducing wait times at the cafes to

under four minutes.

Starbucks' ( SBUX ) global same-store sales fell 4% in its fiscal

first quarter, compared with analysts' expectations of a 4.6%

fall, according to data compiled by LSEG.

The company, known for its pricey lattes, also said it would

not take any further price hikes this year as it looks to appeal

to consumers paring back on big non-essential spending, and to

ward off competition from more upstart brands.

In addition, the company also canned the practice of

allowing non-paying guests to use restrooms or store seating,

making those available for customers only.

The company's North America comparable sales fell 4% in the

three months ending Dec. 29, Niccol's first full quarter at the

helm, compared with expectations of a 4.7% fall.

Starbucks ( SBUX ), which suspended its forecasts for 2025 late last

year to give Niccol freedom to pursue his restructuring efforts,

has ceded ground to rivals such as Luckin Coffee in China.

Comparable sales fell 6% in China, following a 14% decline

in the prior quarter.

(Reporting by Juveria Tabassum in Bengaluru; Editing by Sriraj

Kalluvila)