Anthony Hemmerdinger, who is succeeding Seb James as chief executive of health and beauty giant Boots, is very different from his predecessor but shares some of his values.
Like the ebullient former chief executive James, Hemmerdinger – a former chief operating officer at Asda – is said by those who know him to be highly popular among the frontline staff.
“He has a really strong followership, which you saw at Asda too,” says headhunter Clarity managing partner Fran Minogue. She is acquainted with Hemmerdinger, and he was one of her selections for ‘chief executive of the future’ for a Retail Week feature with that title back in 2019. At the time, she described him as “an inspirational people leader, definitely one to watch.”
While James studied at the University of Oxford and INSEAD, and worked for consultancy Bain & Company before taking on executive roles, Hemmerdinger did not go to university and instead has worked his way up at a range of companies.
Hemmerdinger once had a Saturday job at Boots, before advancing his career at businesses including Carphone Warehouse, Sainsbury’s, and pubs group Greene King and Asda, where he rose to be part of the top team after joining as vice-president of the grocer’s southern region.
It’s relatively unusual, industry observers say, for someone who has come from an operations background to become a chief executive.
However, Minogue is confident Hemmerdinger, who formally takes up his new position in November, brings the right balance of skills to the role – in a similar way, she believes, to Marks & Spencer chief executive Stuart Machin.
Minogue is confident Hemmerdinger, who formally takes up his new position in November, brings the right balance of skills to the role
She says: “He’s very smart and strategic but also very connected to the business and the people in the stores. He’s a real enabler and motivator and inspirational leader. He comes across as man of the people and approachable. He can see the big picture and then relate it to the here and now.”
Hemmerdinger chose to leave Asda in 2021, one of a number of executives who departed following the takeover by the Issa brothers, after which Mohsin Issa took a highly hands-on approach to the business.
After moving to Boots as retail director in 2022, Hemmerdinger takes the reins at a time of strong performance – reflecting, in part, his own contribution to the company.
In June, Boots posted its 13th consecutive quarter of market share growth. Retail sales climbed by 6% in the quarter to the end of May, when digital sales were ahead 13.8%.
Following the chief executive appointment Boots said: “Anthony has spearheaded Boots’ significant beauty refit and brand expansion programme across the company’s stores and has been instrumental in the delivery of its enhanced healthcare and beauty services in-store.”
One priority that Hemmerdinger has already identified is the need for investment in the store network.
Industry observers maintain that the fabric and environment of many older stores are in dire need of investment, which they say has not been sufficiently forthcoming in recent years from parent company Walgreens Boots Alliance.
After moving to Boots as retail director in 2022, Hemmerdinger takes the reins at a time of strong performance
Although Boots has been installing new beauty halls and healthcare departments in larger branches, Hemmerdinger told the Sunday Times in July: “We would accept that not all our stores are at the standard we want them to be, but we have an aspiration to have a great Boots store in every town and no stores that we are ashamed of.”
Some wonder about the extent to which Hemmerdinger will be allowed to invest in the shops because of the importance of Boots’ contribution to Walgreens, which has suffered a lacklustre performance in its key US market.
Commenting in the summer on the abandonment of a potential sale or IPO of Boots, Walgreens chief executive Tim Wentworth told The Telegraph: “Our review of Boots UK showed that we have attractive options to unlock value in this business.
“While we believe there is significant interest in Boots at the right time its growth, strategic strength and cash flow remain key contributors to the company.”
But he did say “we are committed to continuing to invest in Boots UK”, providing some confidence that Hemmerdinger will be able to fulfil his plans.
Much will depend upon his relationship with Ornella Barra, the powerful partner of Walgreens tycoon Stefano Pessina. An accomplished business person in her own right, she is executive vice-president and chief operating officer of Walgreens Boots Alliance’s international division, which includes Boots.
She was, of course, effusive about him in her comments on his appointment. Hemmerdinger will need to ensure he cultivates a strong business partnership with her to succeed.
Observers believe that at some point, there will be consideration once again of a Boots sale or flotation. That ultimately may be part of Hemmerdinger’s legacy at Boots.
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