Beyond yoga
Courtesy: Beyond Yoga
Levi Strauss' Beyond Yoga has been appealing to the former CEO of Athleta for years Hole veteran Nancy Green will be the next CEO as the company looks to scale beyond its humble roots and compete with industry leaders such as Lululemon and newcomers such as Alo Yoga and Vuori.
Beyond Yoga's founder Michelle Wahler, along with its Chief Operating Officer and Chief Financial Officer Jesse Adams, will both resign. Green will take the reins on February 1, the company said in a press release.
Wahler and Adams will remain as advisors to ensure a smooth transition, the company said.
“We have arrived at a natural inflection point for this incredible brand,” Levi's new CEO Michelle Gass said in a statement. “As we pursue the next phase of growth, we believe Nancy has the experience to fully unlock Beyond Yoga's potential by leveraging her impressive retail expertise and [Levi Strauss’] extensive global resources and capabilities.”
The leadership shift comes as Beyond Yoga looks to scale and differentiate itself in an increasingly crowded sportswear space. Retailers such as Lululemon And Nike have long dominated the category, with Beyond Yoga and Gap-owned Athleta following closely behind. But start-ups like Alo Yoga and Vuori are hot on their heels and are gaining market share.
Lululemon customers spent 7.1% and 3% of their active and athleisure dollars, respectively, on Vuori and Alo Yoga during the December holiday shopping season, BTIG's Janine Stichter wrote in a research note, which cited a wallet analyst from Earnest.
Meanwhile, sales at Beyond Yoga rose 25% during Levi's most recent quarter ended August 27. In Gap's quarter ended Oct. 28, sales at Athleta fell 18%.
As these companies compete, they have also poached each other's top talent. In August, Athleta named former Alo Yoga president Chris Blakeslee as its new CEO.
Now the former CEO of Athleta is joining Beyond Yoga.
Nancy Green
Courtesy: Beyond Yoga
Green started her career as a stylist in New York and spent about 25 years at Gap. She worked her way up from merchandiser to president and CEO of Athleta, a position she held for six years, her LinkedIn profile shows.
During her time at Athleta, she reimagined and innovated the product line, improved sustainability efforts and grew revenue from $250 million to nearly $1 billion. She also expanded Athleta's retail footprint from 39 to 175. Green developed a set of skills that will be crucial at Beyond Yoga, which is embarking on a similar growth plan.
Founded in 2005 in Los Angeles, Beyond Yoga started out selling leggings and tops in yoga studios and gyms. After gaining a cult-like following, it expanded its wholesale partnerships to a slew of retailers, including NorthstreamBloomingdale's and Revolve.
Levi acquired Beyond Yoga in 2021 for $400 million. In fiscal 2022, it generated nearly $100 million in revenue for the apparel retailer.
Levi has focused on wholesale partnerships since its founding in 1853, but under the leadership of outgoing CEO Chip Bergh, the company has worked to build out its direct-to-consumer channel – a strategy that extends to Beyond Yoga. The brand opened its first store in 2022 and has now expanded to six locations, with direct-to-consumer sales consistently growing by double digits year over year.
The company will report earnings next week.
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