Under-pressure Asda has announced changes to its leadership team to strengthen its group of executives as it “refocuses on its mission to satisfy the daily and weekly shopping needs of ordinary working people and their families who demand value”.
It has confirmed that Liz Evans is taking up the position of chief commercial officer, non-food and retail, “leading its large store operations on a permanent basis, alongside her continued leadership of the George clothing brand”.
There’s also a new position on its executive team – chief supply chain officer – “to oversee all its food and general merchandise operations”.
The remaining positions relate solely to the firm’s food operations.
Allan Leighton, executive chairman, said: “Asda’s mission is to deliver the value ordinary working people, and their families demand from us. To do this, we need to be and are rediscovering our ‘Asda-ness’. I’m delighted to be announcing these leadership changes as we start this journey.”
Asda is one of the big four UK supermarkets (along with Tesco, Sainsbury’s and Morrisons) and always traded heavily on its reputation for low prices. But nimble rivals like Aldi and Lidl have taken that crown in recent years and Asda’s market share has been heading downwards.
Its performance was declining while it was still under Walmart ownership but its struggles accelerated under private equity firm TDR Capital and billionaire brothers Mohsin and Zuber Issa who linked up to buy it half a decade ago.
They brought in Lord Stuart Rose (former CEO of Arcadia and M&S) to chair the business. But he was replaced by retail industry veteran Allan Leighton late last year with the task of turning the business around.
After a tough Christmas trading period for the retailer (Kantar data showed its sales fell almost 6% in the last quarter of the year), only this week it was revealed that it has cut a number of regional manager roles. That followed HQ job cuts in November.
But despite Asda’s sales woes, the George fashion operation appears to have been a bright spot in general across the past few years.
The company has issued a number of upbeat George-linked reports. And at the time of its last results in November, it said Q3 total group revenues, excluding fuel, fell 2.5%, but George sales rose 4.9%, helped by the Back to School season.
Liz Evans’ permanent elevation to the commercial role is perhaps a reflection of the strong performance she’s put in at George, which takes in homewares as well as fashion.
Burberry announced a key appointment on Friday with the luxury business saying it will soon have a new chief information officer.
It has appointed Charlotte Baldwin to the role and she’ll join the business at the end of March. Baldwin will be responsible for leading Burberry’s global technology team and will join the executive committee. She’ll report directly to Burberry CEO Joshua Schulman.
He described her as “a highly experienced technology and digital leader with a track record of leading large-scale digital transformation”.
She hasn’t previously worked in the luxury fashion sector but has wide-ranging experience across some major-name businesses in Britain.
She’s currently the global chief digital and information officer at coffee chain Costa Coffee where she oversees the company’s technology, digital and data organisation.
Prior to joining that firm, she was the chief information, digital and transformation officer at private healthcare giant Bupa’s Bupa Insurance unit. She’s also held senior roles at Freshfields Bruckhaus Deringer, Pearson and Thomson Reuters.
Burberry has been navigating a tough period of late and Schulman joined in the top job last year, tweaking the firm’s strategy. His approach seems to be paying off with the company last week porting improved results, although the turnaround is still undeniable a work in progress.
Another day, another shopping centre delivering a “record-breaking” performance in 2024. This time it’s Gloucester Quays “capping off another year of considerable growth”, for the owner/operator Peel Retail & Leisure.
That included record Christmas trading at the key Gloucester mall, which helped overall sales for the year finish 6.7% ahead of the national average. Across November and December, retail sales grew 3.6% compared with 2023.
Looking at 2024 in total, an overall 7.4% year-on-year sales increase across its tenants was split between 6.1% for retail, and 8.5% for F&B.
But there was also double-digit growth from leading fashion, homewares, and outerwear brands including Next, Skechers, All Saints, Mountain Warehouse, Puma, Crew Clothing and Suit Direct.
It said sustained growth was seen across all categories “points to the increasing relevance of the Gloucester Quays experience”.
Paul Carter, asset director at Peel Retail & Leisure, added: “There have been various headlines this month about how challenged retail was around Christmas, so to have Gloucester Quays performing so well is a real credit to our team and our brands.
“These results also serve as a reminder of how relevant and in demand this outlet is. We have experienced consistent growth for several years, and that success can be put down to the quality of our offer and waterside environment. There is no doubt our catchment is responding to how we have evolved Gloucester Quays, as an urban outlet that combines a compelling shopping environment with dining and leisure to fit all tastes and needs, benefitting from a heritage waterside setting that few regionally can match.”
Italy’s Give Back Beauty, which makes perfumes for luxury brands such as Chopard and Zegna, on Friday said it had agreed to buy domestic rival AB Parfums to grow its distribution operations and add licensing deals.
Fragrances have been outperforming the broader beauty sector and Give Back Beauty founder and Chairman Corrado Brondi told Reuters his company did not rule a possible bourse listing in the future, adding it had no financial need for it at present.
Brondi said AB Parfumes had sales of around €100 million, which would add to Give Back Beauty’s net revenues that totalled around €300 million in 2024.
Give Back Beauty, which was founded in 2019 and has a distribution deal with Dolce & Gabbana and a beauty license with Tommy Hilfiger, has a core profit margin currently a little over 15%, it said.
AB Parfums is being sold by Italy’s Angelini Industries, a family-owned group that is mostly active in the pharmaceutical sector.
Give Back Beauty’s business is currently focused on fragrances, which represent roughly 70% of its revenues, but it aims to grow its skincare, make-up and haircare product lines, Brondi said.