ModCloth’s CEO resigns
January 13, 2015 12:05 PM
Three months after a second round of layoffs, Top 500 e-retailer of indie fashion ModCloth co-founder and CEO Eric Koger is resigning.
Matthew Kaness, who has been chief strategy officer at Urban Outfitters Inc. since May 2007, will take over for Koger, who resign next week will but remain with the company for an undisclosed time to help with the transition. Koger’s wife, Susan Koger, will continue as chief creative officer, ModCloth says.
“It's the right time to bring in the leadership of an experienced retail executive to help scale operations and to help our beloved brand reach its full potential,” Eric Koger says. “Susan and I have known and admired Matt for some time, appreciating his understanding of both the art and science of retail and building great brands.”
In October, ModCloth told Internet Retailer it laid off an undisclosed number of employees in an effort to help the retailer turn a profit.
“As a startup it is in our DNA to remain nimble and these cuts will allow us to return to profitability,” a spokeswoman said at the time. The retailer went through a similar round of layoffs last July.
ModCloth, No. 178 in the Internet Retailer 2014 Top 500 Guide, generated an estimated $148 million in 2013, up nearly 41% from $105 million a year earlier. In 2014, the merchant says it shipped 2 million orders.
Founded in 2002, the retailer’s sales have jumped dramatically from only a few years ago; it sold $15.9 million in 2009, according to Internet Retailer’s Top500Guide.com.