The Blues are keen to increase their global popularity, which currently trails behind the likes of Real Madrid, Manchester United and Liverpool, and believe that the 50 year-old is the man to raise their profile.
A short statement released by the club said: “The club believes Mr Purslow has the vision and the leadership qualities to help us achieve these plans.”
Purslow was appointed managing director of Liverpool in June 2009 and was charged with increasing the club’s revenue.
His role changed when then owners George Gillett and Tom Hicks decided to sell the club, and the Cambridge and Harvard Business School graduate subsequently had a hand in selling the club to Fenway Sports Group, the company of current Reds owner John W Henry.
Although Purslow eventually quit the role in October 2010 after the takeover was complete, he remained as a non-executive director and special adviser until February 2011.
Purslow was an unpopular figure in the eyes of many Liverpool fans during the club’s troubles, and his new role at the Reds’ fierce Premier League rivals will have done nothing to improve his standing.