Deep experience trumps any downgrades.
Godfrey’s new CEO Kathy Cocovski, has told today’s Australian Financial Review (AFR) that retailers in 2016 “have to give people a reason to shop with you.”
She said she is confident she can steer the business through the home appliance channels, where online sales have increased by 20%, year-on-year.
“Online is performing very strongly for us. Can we do better? Absolutely,” she told the AFR.
After a long career in retailing which started as a cadet with Myer and culminated in six years as CEO of Just Jeans before moving to Godfreys, Cocovski said she will now draw on every ounce of her knowledge and experience in an overhaul of Godfreys, with a 12-month turnaround phase as her first step.
She said that restoring investor faith was paramount after the profit downgrade, largely caused by Godfreys previous management when it missed the rapid shift to stick vacuum cleaners being preferred by many customers, instead of traditional barrel-style cleaners. “We do want to deliver on our promises,” she said.
However, she told the AFR that while stick vacuum cleaners were all the rage, particularly for apartment dwellers, the fundamentals of floorcare use for could not be forgotten in the hunt to be fashionable.
“It is about convenience,” she said of the shift to stick vacuums. “But they don’t suck up the dust and dirt as well as a barrel model.”
Ironically, Cocovski uses a Vorwerk vac made by the German company which also makes the hi-tech Thermomix kitchen appliance that is presently hitting the headlines for all the wrong reasons. She said the Vorwerk has the potential to claw a bigger market share from highly popular brands such as Dyson.
She has already visited Godfrey’s main suppliers in China and the company’s office in China which employs 12 people. She emphasised that high-quality manufacturing and speed to market were fundamental tenets of the business.
Cocovski told the AFR that her “back to basics approach” will ensure Godfreys has the right range, that stock levels are replenished swiftly with a nimble supply chain, and becomes a more lively retailer. But among all the customer analytics and adherence to the basics of retailing, she said there there is always room for a gut feel.
“Experience and instinct is a big part of who I am,” she said.