Digital menu boards at a Starbucks promote “Good Afternoon” drinks, highlighting the company’s effort to boost afternoon traffic as part of its turnaround strategy.Courtesy: StarbucksAfternoon traffic is becoming a bigger growth engine for Starbucks, the company said Thursday, as it pushes deeper into a key part of CEO Brian Niccol's turnaround strategy. The coffee giant is seeing more customers visit U.S. stores after 2 p.m., with the strongest growth window coming between 3 p.m. and 5 p.m., according to data shared exclusively with CNBC. It covers the 90 days between February 15 and May 16.It's an encouraging sign for Starbucks as it works to drive more consistent traffic beyond the morning coffee rush. As Niccol tries to return the chain to steady growth, Starbucks has targeted both repeat visits and longer stays throughout the day."We are seeing more customers stop in later in the day, whether for a break, something refreshing or a few minutes in the coffeehouse," said Erin Silvoy, senior vice president of global marketing and channel development."Mornings continue to be a strong foundation for Starbucks. What is emerging is something additive: more occasions, more ways to visit and more reasons to come in throughout the day," said Silvoy.In a blog post last month, Starbucks said that in fiscal year 2025 hours after 11 a.m. generated $11 billion in sales in the United States. A major contributor has been Starbucks' Refreshers platform, which executives say is now the company's second-best-selling beverage category behind espresso.The afternoon momentum adds to signs that Niccol's early turnaround efforts are beginning to gain traction. Starbucks recently posted stronger-than expected quarterly earnings, reassuring investors who have been closely watching traffic trends, pricing and operational improvements under the new leadership team. The chain's traffic grew for the second straight quarter.Shares are up 21% year-to-date as of the market close on Wednesday. Niccol has repeatedly identified the afternoon as a major opportunity for the chain, arguing that Starbucks has historically underperformed fast-food and beverage rivals in the daytime. In an earnings call in January, Niccol said that "building out an afternoon daypart" represents "tremendous upside" for the company."I just think there is tremendous opportunity to unlock that afternoon daypart further by having more relevant beverages for how people want to reset in their day," Niccol said at the time.The battle for afternoon consumers has been heating up, with competitors targeting the post-lunch window. Dutch Bros recently highlighted strong momentum in energy drinks and cold beverages during later day hours, while Dunkin' has also expanded its beverage innovation and snack offerings aimed at afternoon visits. TD Cowen analyst Andrew Charles said new items will be a key factor in Starbucks' strategy to win more customers in that window. "We expect menu innovation, marketing and digital menu boards to help drive ticket and traffic growth in the afternoon, to be supported by improved operations to ensure Starbucks is top of mind for the coffee break," Charles said.TD Cowen upgraded Starbucks earlier this month to buy from hold and raised its price target to $120 from $106. Shares currently trade around $102.For Starbucks, the latest traffic trends suggest its effort to become more of an all-day beverage and food destination may be starting to resonate with customers and investors.