Middle Eastern luxury retailer Chalhoub Group splits up into four divisions

New York – Dubai’s luxury retailer Chalhoub Group has announced it is restructuring into four main divisions, following a coronavirus-accelerated re-organisation.

The four newly created divisions will report to CEO Patrick Chalhoub, who had initiated a “900-day transformation” of the group aimed at pivoting from a big brick-and-mortar focus to a 'hybrid' retail model.

The new organisation “will be simpler” and based on a 4-pillar structure: ‘managed companies’, ‘JV and strategy’, ‘growth, innovation and investment, operations and enablers’, and ‘people and culture’. “This structure will allow us to drive growth and sustainability, be innovative and creative, foster synergies, cooperation and drive efficiency, have more ownership and accountability for our initiatives,” said Chalhoub in a corporate statement.

David Vercruysse will be re-joining the Group as the head of the managed companies division, where he will oversee the beauty and fashion distribution as well as its retail concepts such as Tanagra and Level Shoes. Michael Chalhoub will oversee the joint venture businesses, and also take the lead on “strategy, growth, innovation and investment”. “There are great opportunities to be found in challenging times like the ones we are going through,” said Michael. Both will report into Patrick Chalhoub, Group CEO.