Tiffany & Co. announcd Thursday that it has named veteran luxury industry executive Alessandro Bogliolo as its next chief executive officer. Bogliolo most recently served four years as the chief executive of apparel and accessories company Diesel, and his resume includes 16 years at luxury jeweler, Bulgari, including in the roles of chief operating officer and executive VP of Jewelry, Watches & Accessories. He started his career at the global consulting firm Bain & Co. He will join the company on October 2, and is expected to receive an annual base salary of $1.4 million, according to a regulatory filing.
As Anthony DeMarco of Forbes explains, "The new appointment is the latest development in leadership changes that began February 5, with the sudden resignation of its former CEO, Frederic Cumenal on Super Bowl Sunday, the same day it launched Lady Gaga as the face of its new fashion jewelry collection, Tiffany HardWear, with its first ever Super Bowl commercial prior to her halftime performance. He was replaced in the interim by Michael J. Kowalski, the former longtime CEO of Tiffany and its current board chairman." Kowalski said, “Today's announcement concludes the board's thorough process to identify and recruit an accomplished leader to position the company for sustainable growth in the years ahead. Alessandro has a well-deserved reputation for creativity and execution, having previously led a number of international brands to success and improved performance." Koalski also said he plans to step down as board chairman.
Bogliolo's appointment comes at a time Tiffany is struggling to attract young shoppers who are either spending less on accessories or are turning to chic brands such as Pandora A/S, and Alex and Ani. In its most recent quarter, Tiffany reported a surprise drop in comparable sales, as weak demand at home as well as a strong dollar crimped spending by tourists. The appointment comes about five months after the company ousted former Chief Executive Frederic Cumenal after a spate of disappointing results.