British Burberry loses its CEO Angela Ahrendts to Apple

DownloadAngela Ahrendts will step down next year as CEO of the British high end fashion label Burberry Group PLC to have the oversight of Apple Stores in the future. She will be followed by Christopher Bailey, who is currently Burberry’s chief creative officer

In a separate announcement, Apple stated that Ahrends will join the company as senior vice president and member of its executive team, reporting to CEO Tim Cook. She will have oversight of the strategic direction, expansion and operation of both Apple retail and online stores.

Angela Ahrendts joined Burberry in 2006 and is credited with leading a sharp turnaround at the British fashion house, almost tripling sales and quadrupling the share price during her tenure. As she entered the firm, the company was suffering from brand overexposure. Ahrendts efforts focused also on regaining its more exclusive clientele, updating the clothing range with more subtle designs and understated offerings. An integral part of that transformation was delegated to her successor Christopher Bailey (42), who in turn is with the company since 2001, taking the top creative job shortly after Ahrendts arrival and was working closely with her, particularly product design and development, creative marketing, store design, consumer technology and digital innovation.

Burberry reported first half sales in 2013 of GBP 1.03 billion (around USD 1.65 billion) up from GBP 883 million in the same period of 2012, majorly due the revenues of the wholly-owned stores (+17 %), excluding the impact of currency such sales amounted in 2013 to GBP 694 million, whi8le wholesale revenue to department stores and other retail outlets rose 13 % to GBP 295 million, including sales from the company’s now fully owned beauty division. Ahrendts considers the external environment for the second half of 2013 as uncertain and currencies as volatile.

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