Everyone in the industry knows 2023 was not a great year for most retailers. Coming after the highs of the pandemic for many sellers and then suddenly faced with too much inventory and soaring inflation coupled with declines in consumer demand, CEOs of big retailing companies had their hands full trying to deal with everything.
Unfortunately for many of them, their hands were also full of their proverbial hats as they were shown the front door and asked to leave the premises.
Catherine Lepard, global managing partner of retail and direct-to-consumer at the headhunting firm Heidrick & Struggle, told Retail Dive last year that turnover was up to 17 percent in 2023, compared to 11 percent in 2022. That’s a big jump and Retail Dive reported a list of 50 CEO changes last year.
Many of the executives who left were fired, or at least it wasn’t their idea. Some resigned, a few retired and some departures were the result of the sale of the company and new owners wanting to take it in a different direction. Whatever the reason, it was as widespread as many have seen in their business careers.
Among the big retailing companies where the new boss was certainly not the same as the old boss: dollar store chains Dollar Tree (which also owns Family Dollar) and Dollar General; big drug store operations Walgreens and Rite Aid; apparel stores Express and Saks Off5th; and beauty brands Fenty, Revlon and Beauty Counter.
In the home space, Overstock, which bought the Bed Bath & Beyond brand, fired their CEO who did that deal, while Party City brought in a new president after emerging from bankruptcy. The CEOs at Costco and Joann both retired and starting off 2024 the same thing is happening at Macy’s.
All of which proves that the old saying “it’s good to be the king” may not be as fitting as it used to be.