Starbucks taps Burrows to lead new retail division

Starbucks (NASDAQ:SBUX) CEO Howard Schultz has announced a new long-term strategic plan that will require "a higher level of thoughtfulness, creativity and discipline." The company's priorities will now be "driven by the Roasteries, Reserve Stores, Princi and building a new premium business," he added.

He also announced a new organizational structure, which includes the hiring of Cliff Burrows in a new retail role that will oversee the global expansion of the Roastery and Starbucks Reserve stores. Starbucks Reserve-only locations will begin rolling out in 2017.

Burrows has spent the last eight years leading the company's Americas business and will now head up a new retail group called Siren Retail. In addition to the other stores, he will be responsible for building out the Princi organization, including stand-alone Princi stores, and growing Teavana globally. Earlier this month the coffee chain announced it would invest in Italian bakery Princi to serve food in its Reserve and Roastery locations.

"What we have created with the Roastery is the most dynamic, immersive retail experience the industry has ever seen," Schultz said. "With its stunning success, we will now accelerate and globalize the Roastery experience, building more roasteries in iconic cities, and threading the Roastery experience into hundreds of new coffee-forward Reserve stores around the world, which also will integrate the spectacular culinary experience of our new Italian food partner, Princi."

Princi is not the company's first foray into the bakery business. Last summer, Starbucks closed La Boulange pastry shops, a brand it purchased in 2012. Instead, the coffee chain has switched its focus to expanding the brand in-house.

Schultz said all of the organizational changes go into effect September 1.

For more:
- see this Starbucks press release

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