Coach promotes two executives to lead e-commerce push
January 29, 2015 12:49 PM
Coach Inc. is promoting one executive and giving another more responsibility as part of its drive to grow online.
The luxury label has named Andre Cohen president of North America, where he’ll be charged with heading up e-commerce, marketing, and retail management, among other responsibilities. In addition, current president of global digital and consumer experience David Duplantis is adding global marketing and consumer intelligence to his responsibilities. Cohen and Duplantis will be replacing Francine Della Badia and Stephanie Stahl, both of whom will be leaving the brand next month.
Coach announced the changes in a U.S. Securities and Exchange Commission filing
Cohen in particular will be charged with stemming the tide of declining sales in North America. CEO Victor Luis says on Coach’s Q2 2015 earnings call that North American sales fell to $785 million, down 20% from $983 million during the same quarter last year.
Coach, No. 85 in the Internet Retailer Top 500 Guide, has steadily increased its online sales over the past five years, going from an Internet Retailer-estimated $207.3 million in 2009 to $401.5 million in 2013.
“Andre and David are both seasoned leaders and brand builders with experience across many aspects of Coach’s global business,” Luis says. “They are ready to address the opportunities ahead with their creativity, tenacity, and exceptional leadership qualities.”
Both Cohen and Duplantis are Coach veterans, having been with the company for eight and 15 years, respectively. On the earnings call with analysts, Luis praised Cohen’s experience as the CEO of Coach China and Coach Asia, calling him a “highly respected Coach leader.” Duplantis meanwhile was recognized by Luis for his global digital expertise and his work on those initiatives over the past five years.
The move comes just weeks after Coach announced plans to buy luxury shoe maker Stuart Weitzman for $530 million in cash and $44 million in contingency payments that are based upon revenue targets being hit.
For the second quarter of fiscal 2015 ending December 27, 2014, Coach, which does not break out web sales, reported:
- Net sales of $1.219 billion, down 14.1% from $1.420 billion during the same period last year.
- Gross profit of $840 million, down 14.5% from $982.7 million during the same period last year.
For the first six months of fiscal 2015, Coach reported:
- Net sales of $2.258 billion, down 12.1% from $2.570 billion during the same period last year.
- Gross profit of $1.555 billion, down 14.0% from $1.809 billion during the same period last year.