London – Burberry teeth Joshua Shulman chief executive officer, Jonathan Akeroyd In accordance with an agreement with the board of directors, I will be leaving the company immediately.
Shulman, 52, Burberry “He has a proven track record of driving transformational growth and value creation as a CEO in global luxury, fashion and retail companies,” the company said. BurberryThe company is battling sluggish luxury sales and is trying to reposition itself at the higher end of the market.
Shulman previously said, Michael Kors He previously served as brand president at Coach and was president of the Neiman Marcus Group. Bergdorf Goodman for 5 years.
Joshua was CEO of Jimmy Choo London from 2007 to 2012. Prior to that, he was Executive Vice President of Worldwide Merchandising and Sales at Yves Saint Laurent and Worldwide Director of Women’s Ready-to-Wear at Gucci.
Retail veteran Joshua Schulman was once CEO of Jimmy Choo, and is pictured here with then-creative chief Tamara Mellon.
Photo credit
He will join Burberry on July 17 and will be based at its headquarters here. He will head the executive committee and report to Burberry’s chairman. Gerry Murphy And the board of directors.
Murphy said: “I am delighted to have Josh as Burberry’s new CEO. Josh is a proven leader with a strong track record of building global luxury brands and driving profitable growth. He has a deep understanding of our brand and shares our ambition to build on Burberry’s unique creative heritage. His extensive luxury and fashion experience will be key to realizing Burberry’s full potential.”
“I would like to take this opportunity to thank Jonathan Akerroyd for his contribution to Burberry. Jonathan has set out a clear strategy for growth on which we will build,” he added.
“I am incredibly honoured to take on the role of CEO of Burberry – an exceptionally British luxury brand that combines tradition and innovation in equal measure – and whose original purpose of keeping people safe from the elements has never been more relevant,” said Shulman.
“I look forward to working with you [creative director] “I look forward to working with Daniel Lee and his talented team to drive global growth, delight customers and write the next chapter in the Burberry story.”
Burberry ready-to-wear collection for spring 2025. Going forward, Burberry plans to highlight the strength of its outerwear, most importantly, its signature trench coat.
Courtesy of Burberry
Shulman is a versatile retail leader known for building and resilient brands, and his role as CEO marks his return to the industry after two years and his first time back in the UK after 12 years working for Jimmy Choo.
For the past two years, he Capri Holdings He is scheduled to retire in September 2022. Michael Kors He was the brand’s founder and was set to succeed John Idol as Capri’s CEO.
In a surprising twist, Idol stayed on and Shulman left the company with a multimillion-dollar severance package.
Before you join Capri HoldingsSchulman was CEO of Coach when the brand was struggling and revenue had been declining for several years before he took over, and he returned the brand to quality growth, increased market share and drew praise in the financial community.
Executives describe him as strategic, organized, methodical and execution-oriented.
He is also a lateral thinker. Bergdorf GoodmanShulman kept it upscale by highlighting luxury staples like Chanel, Valentino and Goyard, but also incorporated some unexpected brands like Vetements, Off-White and Fenty by Puma.
In his five years as Jimmy Choo CEO, he transformed the company from a niche player into a multi-million dollar global luxury brand, doubling the number of stores, entering new categories and taking control of the Japanese and Hong Kong businesses before selling it to Labelux in 2011 for £500 million.
It’s no wonder that Burberry’s board wanted him on board and ultimately decided to appoint him CEO.
During the conference call, Murphy said the board had not “had any serious discussions with anyone about replacing Jonathan until very recently. Josh is well known within the company and we had been in discussions with him about a director role. And as things developed, it was clear he was interested in a larger role, so we took action.”
Burberry said Mr Shulman’s remuneration plan was set in accordance with its shareholder-approved director remuneration policy.
His annual salary is £1.2 million and he is eligible for a target bonus of 100% of his salary, up to a maximum of 200% of his salary and Burberry share plan award of 162.5% of his salary.
Akeroyd, who moved to Burberry from Versace two years ago and subsequently hired Lee as creative director, will not be eligible for a bonus this year and all unvested stock awards will be completely forfeited.
When asked about the company’s future strategy and whether Lee would keep his job, Murphy said, “Daniel isn’t going anywhere. He’s looking forward to working alongside Josh. They’ve already had discussions and are due to meet later this week. So there will be no change in terms of creative leadership.”
Murphy also stressed that Burberry has no plans to become a British version of Coach, despite hiring the former CEO of a US brand.
“Josh’s background is actually closer to luxury than anything else. He has a clear view that Burberry is a true luxury brand with great potential in what Jonathan has dubbed ‘modern British luxury.'”
“We have no intention of changing that ambition or becoming Britain’s Coach. No disparagement of Coach at all. It’s just a different business,” he said, adding that Burberry also has no ambition to become Britain’s Louis Vuitton.
Murphy added that Burberry’s leadership changes were driven by a number of factors.
“Our strategy has been pretty consistent for a while, but looking back we may have made creative shifts a little too quickly in a weak market, at a time when customers were feeling a little challenged and a little more conservative about trying new products, especially at higher price points,” he said.
He stressed that Burberry’s shift in focus to more recognizable classic pieces and outerwear is not a sign that the brand is shifting direction or becoming more mass-market.
“Rather than lowering prices, our aim is to give people the products they want from Burberry at a price they can afford,” Murphy said, adding that prices would go up for products with “more innovation, more design and more expensive materials”.
“This is about having a more inclusive, democratic brand, not about lowering prices or shifting strategy. It’s about restoring the balance to make sure people get what they want from Burberry.”
Shulman’s appointment marks the end of a very short chapter for Akeroyd, who joined Burberry from Capri Holdings’ Versace in 2022. Prior to Versace, Akeroyd was CEO of Alexander McQueen after starting his career at Harrods.
Within two years, Akeroyd had laid out plans to take Burberry more upmarket and compete with brands like Dior, Louis Vuitton and Gucci.
He predicted “good” margin growth at constant exchange rates, leading to revenue growth of £4 billion in the medium term and £5 billion in the long term.
His new vision included a “refocus on Britishness”, a doubling of sales of leather goods, shoes and women’s ready-to-wear, and a 50 percent growth in outerwear in the medium term.
Akeroyd’s other ambition was to increase accessories sales to more than 50% of group sales in the medium term.
These plans came with hefty price tags: a medium sized rocking horse shoulder bag for £2,000, a long gabardine trench coat for £2,000 and checked knit box sneakers for £690.
While those prices may seem normal in the luxury industry, they came as a shock to many long-time British customers and institutional investors outside the fashion industry, who see Burberry as a traditional brand that should thrive through selling affordable classics.
Arkelloid had hoped that Lee, whose bags and accessories at Bottega Veneta were a huge success, would offer a best-selling item, but that hasn’t happened yet.
The strategy might have been successful in another time, but with China (historically one of Burberry’s largest markets) still cautious about spending and sluggish demand in the U.S., its shares have fallen and sales have stagnated.
Schulman, Burberry’s fourth CEO in seven years, will be charged with rebuilding the brand into a profitable brand that can pay a dividend and restore it to its former glory as a top outerwear brand.
