Dive Brief:
- Adding another high-level executive to its leadership, Destination XL has hired Jonathan Sainsbury to serve as its chief digital and analytics officer, according to a Wednesday press release.
- In his new role, Sainsbury will oversee the company's digital strategy, which includes enhancing digital operations, driving store traffic and managing its marketing efforts. He will receive 15,174 restricted stock units once he joins the company, according to the press release.
- Before joining Destination XL Group, Sainsbury previously held roles at Blue Nile and Bain & Company.
Dive Insight:
After joining the company, Sainsbury will report to the company's chief marketing officer, who is also a newcomer to the company. In September, the company named Ujjwal Dhoot as its new chief marketer, who previously held marketing positions at Bed Bath & Beyond and Macy's.
"Jon's profound level of experience working with digitally native brands, which have transitioned into brick and mortar, provides DXL with the additional leverage needed to meaningfully affect our ongoing transformation and commitment to building out a digitally-driven marketing organization. This strategic hire will continue to focus the organization on customer engagement through data-driven personalization, loyalty and digital marketing," Harvey Kanter, president and CEO, said in a statement.
The company is hiring experienced executives for its C-suite after facing struggles in recent years. In 2020, S&P Global Market Intelligence placed Destination XL on its list of most vulnerable publicly traded retailers, with the firm predicting that the retailer had a 15.4% default probability.
Destination XL in March 2021 received a $17.5 million loan from the private lender Pathlight Capital, which will mature in 2026. The company used the money to refinance its debt and pay for its ongoing capital needs.
With the opportunity to turn itself around, Destination XL was in the ideal position to capture customers who began shopping after the early pandemic shutdowns and needed larger-sized clothing. In its Q4 earnings report, the company said that its sales increased 33.3% year over year to $133.5 million. Its net income was $56.7 million, the first time since 2012 that the company had turned a profit.
