Liu has co-led the US coffee chain’s operations in China alongside Belinda Wong for the last 12 months and will assume full responsibility for Starbucks’ second largest market on 30 September 2024, with Wong retaining her role as Chairwoman
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Molly Liu will be responsible for driving Starbucks’ outlet growth and rebuilding sales in China | Photo credit: Starbucks
Starbucks has handed Molly Liu sole leadership of its China operations, with long-serving Belinda Wong stepping down from the co-CEO role on 30 September 2024.
Liu joined Starbucks in 2012 and served as Vice President of Digital Ventures and Chief Operating Officer for its China division before being named Starbucks China co-CEO in September 2023.
As CEO, she will be responsible for driving outlet growth and rebuilding sales in the US coffee chain’s second largest market.
Starbucks is currently trailing its target to reach 9,000 stores in China by 2025, ending the quarter to 30 June 2024 with 7,306 outlets.
The Seattle-based coffee chain has faced fierce competition from fast-growing domestic coffee chains Luckin Coffee and Cotti Coffee over the last two years, with the value-focused rivals also locked in a bitter price war as they vie for market dominance.
Starbucks sales in China fell 11% to $733.8m in its third quarter following a 14% decline in like-for-like sales and 7% falls in both transactions and average ticket price.
The leadership transition comes just two weeks after former Chipotle CEO Brian Niccol took the helm of Starbucks with a pledge to ‘capture growth and capitalise on our strengths’ in the ‘dynamic’ Chinese market.
Wong served as Chairwoman and CEO of Starbucks China from May 2011-September 2023 when she became co-CEO. She will remain Chairwoman of the coffee chain’s business in China, with a focus on development strategy and building brand awareness.