Burberry replaces its chief executive (with immediate effect) as sales continue to 'disappoint'

[Fashionabler]

 

Burberry, the renowned UK fashion group, has announced a change in its leadership. Joshua Schulman, the former head of US brands Michael Kors and Coach, is set to take the reins as the new chief executive. This decision comes amidst a challenging period for the luxury fashion house, which has been grappling with a significant slump in sales.

 

Jonathan Akeroyd, who assumed the helm of Burberry in 2022, had the task of returning the fashion house to its British roots. However, his tenure was marked by a decline in the company’s performance, leading to his replacement by Schulman.

 

The luxury fashion group confirmed that Akeroyd is leaving immediately, making way for Schulman. This leadership transition is part of Burberry’s strategy to revive its brand in the face of "disappointing" sales. The British brand is also planning to lay off hundreds of workers.

 

Burberry’s sales have been particularly affected in the Asia Pacific region and the Americas, with both regions reporting a 23% drop from the previous year. The company’s attempt to move further up the luxury market seems to have alienated many of their core consumers. Burberry now plans to rebalance its offer to be more familiar to its core customers.

 

As Burberry navigates through these turbulent times, the appointment of Schulman, a proven leader with an outstanding record of building global luxury brands, brings a glimmer of hope. The fashion world watches with bated breath as Schulman prepares to steer Burberry back to its glory days.

 

What are your thoughts on this leadership change at Burberry? Do you think Joshua Schulman can turn the tide for the luxury fashion house? Share your views in the comments below.

 

 

Read more:

• https://www.burberryplc.com/news/corporate/2024/burberry-appoints-joshua-schulman-as-chief-executive-officer
• https://www.burberryplc.com/content/dam/burberry/corporate/Investors/Results_Reports/2024/july-trading-update/Burberry Q1 FY25 Announcement.pdf.downloadasset.pdf
• https://www.bloomberg.com/opinion/articles/2024-07-15/burberry-sudden-ceo-switch-looks-rather-shortsighted
• https://edition.cnn.com/2024/07/15/business/burberry-ceo-outlook/index.html
• https://business.inquirer.net/468835/burberry-replaces-ceo-after-disappointing-results

 

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