Bed Bath & Beyond In Major Trouble Before Holiday Season After Latest Move?
Bed Bath & Beyond Is experiencing a huge shakeup in management as it contends with plummeting profits just as the height of the holiday shopping season is approaching.
With hyperinflation and the cost of living crisis not going away anytime soon, retailers are finding it hard to survive the harsh economic conditions. This is the unforgiving reality for the chain store Bed, Bath, and Beyond. In the last two years, they have had to deal with an unprecedented amount of economic hurdles as well as a range of problems within their company.
It is continuously shaking off rumors of closures and a looming demise. With problems like store closures, job cuts, and the death of their CFO, it’s not hard to see why people jump to that conclusion.
This week it is no different; bed, Bath, and Beyond are fighting off more rumors of closures as its chief customer and chief technology officer, Rafeh Masood, has resigned. His resignation is added to the long list of leaders that have not lasted past a short period at the retail company. The company has released a statement ensuring that Masood’s resignation is not due to any negative disagreement.
This resignation is the latest in a long line of leadership changes at Bed, Bath and Beyond. Earlier this year, its chief executive and chief merchandising officer were voted out by its board. Also, the company replaced its chief operating officer and chief stores officer, and its chief accounting officer resigned. In September of this year, their former chief financial officer died suddenly.
With all these changes to their prominent leadership roles, it’s no wonder Bed, Bath, and Beyond is in such a mess. Its interim CEO, Sue Grove, was appointed to the position on a permanent basis, but they are still searching for a new chief financial officer.
These changes are coming at a critical time for the retailer as they are teetering on the edge of closure and redemption. They have struggled over the last number of years to find their niche market in a crowded space. The upcoming holiday season should see sales rocket for Bed, Bath and Beyond, and they may finally have some breathing room to find their feet.
Over the last year, they have closed several branches nationwide and left a high percentage of its staff go as part of its recovery plan. Even the release of its new range of own-brand products did not help the dwindling sales. There was a rise in their stocks when Ryan Cohen was appointed CEO. Soon after, he promptly sold his entire stake, and the store was plunged deeper into trouble. Overall, Bed, Bath and Beyond have fallen 70% over the last twelve months.
It is nearly impossible to run a successful business in today’s economic climate so pulling a massive nationwide company back from the brink of closure is not an easy task. Bed, Bath and Beyond have been in turmoil for a while now, and it does not seem to be any positive moves forward to a more stable future. Hopefully, the holiday season will give the company the boost it needs to get on solid ground and start rebuilding.
