Patrick Schmidt has been appointed by Rocket Internet as the new CEO of The Iconic.
Patrick Schmidt comes from a fine pedigree with his previous role being the head of Groupon in Latin America where he was responsible for over 2000 staff. The Iconic on the other hand, has only 250 in staff, but will still be quite a challenge for Schmidt.
Schmidt’s goal at The Iconic is to turn around the company and make it a profitable business. The company has struggled to become profitable after embarking on a expensive start-up program. The company was launched in August 2011 and in that time has made a loss in the vicinity of 44 million dollars with much of that being attributed to wages and marketing.
The company has achieved amazing growth in that time and has become somewhat of a household name with online clothes shopping. It has achieved it’s goal of brand awareness but the pressure is now to convert that into sales without the costs it has had previously. The company’s costs were attributed mostly to it’s free returns and free delivery policy. It also achieved less margin because they offered consumers a The Iconic discount code to use with their purchase.