Under pressure Mulberry has undergone an executive team shake up as it hires Louis Vuitton executive Steven Newey to lead its commercial activities.
Newey, who was general manager for Europe & Middle East at Louis Vuitton Group-owned footwear brand Berluti, joins as group commercial director - a new role for the retailer - on May 1 and will lead retail, wholesale and online.
His appointment comes as longstanding group supply director Ian Scott leaves Mulberry after nine years in the role.
Scott, who was previously head of technology and procurement at Marks & Spencer, led the handbag specialist’s sourcing and had played a major role in developing its Somerset factories which now produces 50% of its products. Scott is understood to be setting up his own consultancy.
The changes comes amid a tough time for Mulberry which issued its third profit warning in the past two years in January.Chief executive Bruno Guillon said “substantial discounts” by competitors in the UK hit sales over the festive period. However his strategy of moving the brand more upmarket and upping prices has been called into question.
Luxury sector expert Exane BNP Paribas analyst Luca Solca told Retail Week last month: “Mulberry is a great brand but I’m not sure moving it upmarket is the best or the easiest thing to do. It lacks the credibility to price its products at the high end.”