Shop group pins hopes on US internet expert
ARGOS’ incoming chief executive John Walden is a little known figure on this side of the Atlantic, but his extensive multi-channel experience in the US has caught the attention of executives at Home Retail Group.
Walden, 52, kicked-off his retail career in the 1990s as chief operating officer of online supermarket pioneer Peabody before joining Best Buy, the world’s largest electricals retailer in 1999, where he ran the company’s online division.
After eight years with the firm, Walden jumped ship to US retailer Sears, where he was appointed chief customer officer, in charge of the internet, catalogue and home services divisions.
He spent less than a year with the company and is said to have received a $2m pay-off.
Walden – a law graduate from Illinois Institute of Technology who also holds a masters in management from the Kellogg School of Management – was most recently the chief executive of renewable technologies firm Activeion Clean Technologies.
Despite his wealth of online experience, some in the City have questioned whether Walden is the right man to tackle Argos’ underperforming high street stores and its costly catalogue business.
“I would still have some question marks over his experience and the mandate that comes with the job,” Liberum Capital analyst Simon Irwin said, pointing to Walden’s lack of knowledge in the UK retail or property market.
“The biggest concern is whether the mandate he has been given is one of continuity or whether he will shake things up,” he added.
Home Retail’s chief executive Terry Duddy recently defended Argos’ strategy and large store portfolio, but many City experts believe it will need to go through radical changes to survive.