Canadian sportswear retailer Lululemon Athletica Inc. announced Wednesday the appointment of industry veteran Heidi O’Neill as its new CEO. She will take up the post on September 8th and then also take a seat on the board of directors, the company said.
The appointment was preceded by a comprehensive selection process by the board of directors, Lululemon explained. The CEO position had been vacant since Calvin McDonald resigned. His designated successor brings “more than three decades of experience in the areas of brand strategy and product innovation.”
O’Neill spent more than 25 years at Nike
O’Neill worked for US sporting goods giant Nike Inc. for over 25 years. Most recently, she held the position of President of Consumer, Product and Brand. During her time at Nike, according to her future employer, she made a significant contribution to developing the company from a $9 billion corporation into a global market leader with over $45 billion in sales.
Her expertise includes men’s fashion, women’s fashion and children’s fashion. A particular focus is on digital transformation and the retail business. She also serves on the boards of Spotify Technology, Hyatt Hotels and Lithia & Driveway.
Martha Morfitt, Lululemon’s board chair, called O’Neill a “proven, consumer-focused brand strategist” with the ability to “shape a new future for a brand.”
The management has recently been criticized
Ahead of the appointment, Lululemon’s board faced sustained criticism. At the end of last year, the US activist investor Elliott Investment Management had built up a stake of around one billion US dollars in the company. The company had initially signaled that it would support Jane Nielsen for the top position. Nielsen is the former chief financial officer of the American fashion house Ralph Lauren.
In parallel with investor pressure, Lululemon founder and former CEO Chip Wilson remains a vocal critic. Wilson holds around 4.3 percent of the company’s shares and has accused the current management of losing the brand’s “cool” factor. He is currently trying to push through three candidates for the board of directors at the upcoming annual general meeting.
In March, Lululemon appointed Chip Bergh to its board of directors to strengthen leadership. Bergh is the former president and CEO of the US clothing company Levi Strauss & Co.
The new CEO should stimulate growth again
Interim co-CEOs Meghan Frank and André Maestrini will continue to lead the company until O’Neill’s arrival in September. Frank is also Chief Financial Officer (CFO), Maestrini is Chief Commercial Officer (CCO). Following the transition, Frank and Maestrini will return to their previous leadership positions.
O’Neill assumes the position with a mandate to accelerate the establishment of new products and deepen cultural relevance. Although Lululemon remains profitable, analysts have emphasized that sales growth has slowed since the pandemic-induced athleisure boom.
This article was created using digital tools translated.
FashionUnited uses artificial intelligence to speed up the translation of articles and improve the end result. They help us to make FashionUnited’s international reporting quickly and comprehensively accessible to a German-speaking readership. Articles translated using AI-based tools are proofread and carefully edited by our editors before they are published. If you have any questions or comments, please email [email protected]