Chief executive, The Hut Group (2011 rank: 9)
Matthew Moulding was forced to abort The Hut Group’s proposed IPO last year, but when the business does finally make its stock market bow there’s likely to be no shortage of investors. First quarter revenues soared 71% on the back of a 70% uplift in full-year revenues in 2011 proving that Moulding and his team still have the Midas touch when it comes to developing pure-play etail sites.
From its origins as a technology platform business providing white-label services for retailers, Moulding, along with co-founder and chief operating officer John Gallemore, has transformed The Hut Group into a successful online retailer in its own right, whose broad portfolio of websites includes Iwantoneofthose, Zavvi and male grooming site Mankind.
Experts say the secret to The Hut Group’s success lies in the variety of its offer. It has reduced its reliance on entertainment products in recent years – from 100% of group revenues in 2009 to 35% in 2012 – and focused on forging a presence in higher margin categories such as health, beauty and sports nutrition. MyProtein, which The Hut Group acquired in May 2011, delivered an 87% increase in revenues in the first quarter of 2012 prompting the group to launch Myvitamins in the final quarter of 2012.
Moulding seems to possess an ability to read market trends before they happen, and on the occasions when he needs an informed second opinion, he can call on former Tesco chief executive Sir Terry Leahy, former Tesco and Debenhams director Terry Green and former Marks & Spencer boss Sir Stuart Rose, who are among The Hut Group’s roll call of investors. Morrisons finance director Richard Pennycook has also been named a non-executive director.
Moulding has developed a culture of entrepreneurialism at The Hut Group. Directors share an open plan office where employees are encouraged to pitch ideas, while all salaries, including Moulding’s, are disclosed to encourage staff to up their game to match their colleagues’ paychecks.
It all adds to the impression that this is a young, exuberant company that is just at the start of its etail journey.
No comments yet