The Weekly Close: Bed Bath & Beyond Continues Executive Reshuffle and Gucci Launches Pet Collection

It’s been another week with a lot more retail news than weather on the day. Here’s a breakdown of some things you may have missed over the week and are still thinking about.

From her 1,000th Target store makeover to Lindsay Lohan’s new ad with Allbirds, this is our wrap up for the week.

what you may have missed

Bed Bath & Beyond continues its executive reorganization

One day after announcing his The CEO and the merchandising director were dating the company Bed Bath & Beyond appointed a new accounting director and senior vice president of treasury and investor relations.

Laura Crossen, who has been with the company for more than two decades, will become chief accounting officer, replacing John Barresi, who resigned earlier this month to pursue another opportunity. Susie Kim will assume Crossen’s previous role as senior vice president of treasury and investor relations.

The executive changes at Bed Bath & Beyond this week come as sales continue to decline. The retailer’s first-quarter net sales fell 25% year-over-year to $1.5 billion, while comparable sales fell 23%.

Faced with lower-than-expected demand, HR reviews outlook

RH announced this week that it has lowered your financial outlook For the year. The home retailer expects fiscal 2022 net income to decline 2% to 5%, and adjusted operating margin to be 21% to 22%. That compares to previous estimates since the beginning of this month of net income growth of up to 2% at the high end and flat at the low end, and an operating margin of between 23% and 24%.

“The deteriorating macroeconomic environment has resulted in lower-than-expected demand since our previous forecast, and we are updating our outlook, particularly for the second half of the year,” Gary Friedman, president and CEO, said in a statement.

Contributing to the decline in demand are mortgage rates that were double last year’s levels, causing luxury home sales to fall 18% in the first quarter, Friedman said, adding that he expects demand to continue to slow. throughout the year.

5 years after store upgrade program, Target remodels 1,000th store

In search of a store remodeling strategy that started in 2017target just finished renovating its 1000th storethe retailer said in a blog post. The remodeled stores, which feature special lighting, updated signage and wood elements, generate a 2% to 4% increase in sales in the first year after renovation, according to the company.

Along with its store renovations, Target has also been rolling out in-store shopping experiences with companies like Starbucks, Ulta, Apple and Disney.

Although Target has reached a milestone, its renovations are far from over. The company plans to remodel nearly 200 stores in 2022 alone and is doing nearly 200 fulfillment remodels to add capacity for same-day services such as order pickup and drive-thru service. Target is also adding canopies to the entrance area at select stores.

Private Equity Owner Reportedly Expects To Sell Ganni For $500M To $700M

Private equity firm L. Catterton aims to sell Ganni, acquired in 2017for up to $700 million, Reuters reported, citing unnamed sources. The firm and brand declined to comment to Retail Dive on the report.

Offers are due by the end of this month and several buyers from China have already shown interest, according to Reuters. The 22-year-old Danish brand, known for its statement collars and other eye-catching takes on casual wear, has prospered in the years since L. Catterton acquired a majority stake for an undisclosed amount. Last year, the International Association of Department Stores listed the label as “a brand to watch.” calling him for his “storytelling”.

Ganni is headquartered in Copenhagen, with offices in Copenhagen, London, Paris, New York and Shanghai and sells through 600 retailers as well as 37 wholly-owned stores in Europe and the United States.

Shopping therapy

Gucci wants your pets to live in luxury

Luxury living is no longer just for humans. Do you want to make sure that your pet, cat or dog, has the same social status as you? Verify Gucci’s new pet collectionwhich launched on Monday according to an Instagram post from the company.

Continuing the narrative of surprise and delight that defines the #GucciLifestyle selection, the Gucci Pet Collection infuses the everyday with a magical aura. Find out more https://t.co/QiD3n2bb66 #GucciPet #AlessandroMichele pic.twitter.com/Id1NS3n3Hx

— gucci (@gucci) June 27, 2022

“[T]a Gucci Pet Collection infuses the everyday with a magical aura. Featured in a colorful, retro-inspired campaign, the pieces allow each animal’s personality to shine through as an ode to the Creative Director’s vision of individuality.” collection website state.

A magical aura for your adorable pet would be great, but it comes at the standard Gucci price. A leather trash bag headline comes in at $460, a double G pet coat with hood is priced at $930 and pet size sofa bed it’s a whopping $7,500.

On Wednesdays, we use Allbirds

Allbirds was founded a decade after the hit movie “Mean Girls” came out; In other words, she’s not even going here, but the company is jumping on the bandwagon to promote its Tree Flyer running shoes.

The bustling shoe brand DTC called Lindsay Lohan for a minute-long ad that makes at least three references to Mean Girls and none to Gretchen Wieners.

“I didn’t run track in high school, I was more of a math jock,” Lohan says in the ad. “So I get it, as a race spokesperson I guess I’m a bit unexpected.”

Personal update: @Lindsay Lohan he has gone from mathematician to unexpected athlete. All thanks to their Tree Flyers (the pink ones, of course), which are made from natural materials, rather than, you know, plastics. pic.twitter.com/eqY48LQRSe

– All Birds (@Allbirds) June 29, 2022

Lohan then tells viewers about Allbirds’ natural materials, advising them to “always avoid plastics.”

It’s a throwback that will hopefully never go out of style, but not everything from the 2000s deserved to survive. Take for example the footwear brand Crocs, which has just dropped a pair of shoes with German fashion brand MCM featuring physical fanny packs on the front.

Stop trying to make the search happen. It’s not going to happen.

What we’re still thinking

5

This is how many executives have left or are preparing to leave Dollar Tree after a massive C-suite reorganization. The directors of operations, information, strategy and legal are already out. Chief Financial Officer Kevin Wampler will step down after a replacement is hired. As for the others, Dollar Tree said replacement searches are underway, some of them in advanced stages.

For now, that doesn’t leave many bodies in the C-suite other than CEO Mike Witynski, who survived the bloodshed. Exits follow a board acquisition by activist investor Mantle Ridge, whose CEO, Paul Hilal, is now a vice president of Dollar Tree under the chairmanship of Richard Dreiling, a former CEO of rival Dollar General elected to a leadership role at Dollar Tree by Mantle Ridge.

While some form of executive reshuffling was more or less expected, analysts at Telsey Advisory Group said “we’re a bit surprised to see five C-level executives changed at once.” Analysts noted that the lack of interim candidates could indicate that Dollar Tree hopes to replace its outgoing officials from outside the company, particularly in the role of chief financial officer.

“We believe that searches are already underway for external recruits, who should be able to provide fresh perspective and help accelerate growth to improve shareholder returns,” the analysts said.

8%

That’s how much your StockX workforce will say goodbye. In an emailed statement, the sneaker market noted that “the macroeconomic challenges currently impacting our global economy continue to affect consumer behavior” and the need to “adapt and pivot to provide the highest level of service to the millions of clients we serve around the world. ”

The news comes as shoe sales are down compared to a period last year when consumers had stimulus money to spend and gas prices had yet to skyrocket. Even with those challenges, the company said its business is still growing, but “the current climate requires us to make adjustments.”

what we are seeing

2 Prime Days are better than 1

With its retail sales falling as shoppers head to stores, Amazon could use the boost it’s enjoying from its Prime Day sales eventwhich this year takes place from July 12 to 13. Last year Amazon scored $11 billion to $12 billion globally, up 16% from 2020, with US sales of $8 billion to $8.5 billion, according to estimates by Telsey Advisory Group.

In which case, maybe two Prime Day deals are better than one, and Amazon is apparently contemplating That’s according to Envision Horizons, which works with Amazon marketplace sellers. Some sellers themselves, in an Amazon forum, They are complaining that they’re getting deadlines for a second Prime Day in the fall, though Amazon itself said via email that it’s not commenting on the rumours.

Insider Intelligence principal analyst Andrew Lipsman in April predicted that the e-commerce giant could resort to holding a second Prime Day in the fourth trimester. At this point, if it does, it won’t be much of a surprise.