- Push-out Score determined
- After about three years in the position
- Praise, thanks and good wishes for Megibow
- Rob DeMartini taking over temporarily
- Search for a successor
(exechange) — Lehi, Utah, December 13, 2021 — Joe Megibow, chief executive of Purple, leaves. As announced by Purple Innovation Inc. in a news release and in a regulatory filing published on Monday, December 13, 2021, Joseph B. (Joe) Megibow leaves his post as chief executive officer at the manufacturer of mattresses and pillows, after about three years in the role, effective immediately.
Purple will undertake a search for a successor.
Joe Megibow’s duties as CEO will be taken over temporarily by Robert T. (Rob) DeMartini, a former Chief Executive Officer at New Balance Athletics, Inc., as Acting Chief Executive Officer.
The fact that Joe Megibow’s successor is brought in from outside suggests that the board may seek to stimulate change with fresh ideas and new initiatives.
In general, an outsider does not have the constraints of an insider when it comes to leading painful changes or making unpopular decisions.
“To pursue other interests”
Joe Megibow’s departure from the CEO post is explained as follows. Purple said: “On December 13, 2021, Joseph B. Megibow resigned from the office of chief executive officer and as a director of Purple Innovation, Inc. (the “Company”) to pursue other interests effective December 13, 2021.”
Precise information regarding Joe Megibow’s future plans was not immediately available.
Purple said: “Mr. DeMartini succeeds Joseph B. Megibow, who is stepping down as Chief Executive Officer and a member of the Board.”
Purple further said: “On December 13, 2021, Joseph B. Megibow resigned from the office of chief executive officer and as a director of Purple Innovation, Inc.”
“Did not resign as a result of any disagreement”
“Mr. Megibow did not resign as a result of any disagreement with the Company on any matter relating to the Company’s operations, policies or practices,” Purple said.
Share price decline since December 2020
The announcement follows a decline in Purple Innovation Inc.’s share price of 66% since December 2020.
In the position of CEO since 2018
Joe Megibow became CEO of the Company in 2018.
Megibow will serve as an advisor to the new CEO to ensure a smooth transition.
Joseph B. Megibow has served as Chief Executive Officer and director since October 2018.
Megibow served as an independent consultant to Advent International, a global private equity firm, consulting with its portfolio companies to develop digital capabilities, from 2017 to 2018.
Prior to that in 2016 he served as President of Joyus, Inc. and between 2012 and 2015 he served as Senior Vice President and Chief Digital Officer at American Eagle Outfitters, Inc. where he oversaw the transformation and growth of American Eagle’s $550+ million direct-to-consumer business.
In this role, he built out a global omni-channel strategy and infrastructure, and led all digital marketing, customer operations, engineering and product management efforts.
Prior to that, Megibow held several senior roles with Expedia, Inc., the online travel business, including VP and General Manager of Expedia.com, Expedia’s US business.
Megibow has served as a board member of Red Lion Hotels Corporation since April 2017.
Megibow earned an MBA from the University of Chicago Booth School of Business and a Bachelor of Science in Electrical Engineering from Cornell University.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the pressure surrounding Joe Megibow’s move on a scale of 0 to 10.
exechange reached out to Purple and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 51.2021 ($).