In a strategic move to navigate the challenges of the online apparel market, Stitch Fix, the popular apparel box e-retailer, announced that they have selected Matt Baer, formerly Macy’s chief customer and digital officer, as its new CEO. Baer will assume the role on 26th June, bringing his extensive experience in digital growth strategies and customer engagement to the company.
Baer’s tenure at Macy’s and Bloomingdale’s involved overseeing successful initiatives such as the third-party marketplace, media network, and livestream shopping. With a background in e-commerce, including his previous role as vice president of e-commerce at Walmart.com, Baer is well-equipped to tackle the evolving landscape of online retail.
Stitch Fix has faced its share of challenges recently, including concerns over its styling-based model and the departure of Elizabeth Spaulding, which prompted Founder Katrina Lake to return to the CEO position on an interim basis. The company temporarily deviated from its original model but later refocused on its core stylist-led box service and profitability. Under Lake’s leadership this year, the company implemented cost-cutting measures, such as layoffs and distribution center closures, while considering exiting the UK market.
William Blair analysts noted Baer’s expertise in online customer engagement as a valuable asset for the role. Baer’s immediate priority will be addressing customer attrition and reversing the double-digit revenue declines that plagued Stitch Fix in its recent quarter. The company experienced a 20 per cent year-over-year decrease in net revenue to US $ 395 million, coupled with an 11 per cent decline in active clients. Net revenue per active client also dropped by 9 per cent to US $ 502. Despite the uphill battle, analysts express cautious optimism regarding Baer’s appointment, considering it a promising choice for the company’s future.
