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Starbucks is the latest brand to shelve the chief marketing officer (CMO) title.
Instead, it has unveiled a new structure that will see regional chief executive officers (CEOs) take responsibility for the business in each market.
The coffee chain has promoted current CMO, Brady Brewer, to CEO for its international business.
In a statement, the company said Brewer would work alongside veteran Starbucks exec Michael Conway, who has taken on the newly created position of CEO for North America, to reinvent the business internally.
The pair will work to “elevate” the Starbucks brand, which has faced headwinds in recent months including a boycott in the U.S. and fierce competition in China.
Starbucks’ move to ditch the CMO position comes as many brands are rethinking where the sometimes-nebulous role sits within their business, changing the title to reflect a broader range of responsibilities, hiring “fractional” CMOs in consulting-style positions and, in some cases, cutting it entirely.
Brewer and Conway will report to Starbucks’ global CEO, Laxman Narasimhan. Within this new structure, each geographic CEO will have regional marketing support.
Though the 52-year-old chain will not replace the CMO position, it is in the market for what it described as a “global brand creative leader,” who will report directly to Narasimhan.
The restructure forms part of Starbucks’ “Triple Shot with Two Pumps” transformation plan, which is dedicated to three things: strengthening the Starbucks brand; upgrading its digital offering; and helping the chain become “a truly” global business.
As per the company’s lexicon, this three-pronged approach will be complimented with “two pumps,” or two further focuses — unlocking efficiency and reinvigorating its internal culture.
Narasimhan claimed the brand was making “strong progress” against the plan.
“To further accelerate [this], consistent with our ambitions, we are realigning the organization to balance clear geographical focus with investing in functional capabilities to scale around the world, generating productivity and reinvigorating our [employee] culture,” he said.
