Lululemon has promoted Maggie Gauger, the recently departed CEO of Athleta, to the newly created role of president and chief product officer, effective later this month. The move signals a significant management restructuring at the athleisure retailer under new CEO Heidi O'Neill.
Gauger joined Athleta from Nike only last year, making her move to Lululemon's competitor a rapid shift in the competitive athletic apparel sector. O'Neill said the appointment reflects a strategic focus on putting product, design and innovation at the center of operations. The company aims to build a "stronger pipeline of differentiated product to raise the bar for our guests across every touchpoint, in stores and online," according to O'Neill's statement.
Lululemon also appointed Joseph Godsey as chief operating officer. The restructuring includes the departures of Nikki Neuburger, the company's chief brand and product activation officer, and Ted Dagnese, its chief supply chain officer, both leaving in November to pursue other opportunities.
At Athleta, Gauger's departure marks another transition at Gap's struggling athletic brand. Gap said Erika Everett, Athleta's chief marketing officer, will oversee the brand's CEO role temporarily while the company works on what it described as "Athleta's next chapter." Gap stated the transition will help "accelerate that work, strengthen our connection with customers, and unlock Athleta's full potential."
Lululemon is also actively recruiting for three additional senior roles: chief brand officer, chief communications officer and chief technology officer. O'Neill took over as Lululemon's CEO last month following more than a year of disappointing sales performance and a proxy battle that drew criticism from founder Chip Wilson. The leadership reshuffling suggests the company intends to overhaul its executive structure to address operational and product challenges.