Footwear Insight

footwearinsight.com FOXFILES Dansko's CEO on Tariffs, Trying New Things and Taking Over. By Jennifer Ernst Beaudry Jim Fox, Dansko CEO W hen Jim Fox stepped into the CEO position at Dansko on the first of the year, he knew he was filling big shoes. The longtime CFO for the West Grove, PA-based comfort brand is the first person to serve in the top spot after taking over from founder Mandy Cabot. But Fox didn't come unprepared. The CFO of the company since 2006, Fox was named president in 2013, part of a considered transition process that saw him take over an increasing share of the company's leadership. (Founders Cabot and husband Peter Kjellerup remain on Dankso's board of directors, Cabot as chair.) In his new position, Fox said he's determined to continue the trajectory the company has been on, growing sales and expanding the product line to serve Dansko's core customer, who he describes as "that person who realizes that being comfortable so that they can get things done all day is really important." "I'm happy to say for 2019 that we're ahead of last year in terms of sales and we're ahead in terms of bookings, so all those metrics are pointed in the right direction," Fox said. Fox, who started his career in footwear with athletic brand And1 (founded by three of his freshman dormmates at Stanford) has had a front-row seat to some of Dansko's biggest changes. He's seen the brand grow its distribution to 2,000 doors across independents, department stores, mall-based retailers, as well as select online accounts, including its own direct-to-consumer business. He led the company's transition to be 100 percent employee-owned as an ESOP (employee stock ownership plan). And while the brand's iconic Professional stapled clog is still a juggernaut, attracting fashion consumers and comfort fans alike, to say nothing of a robust medical and restaurant worker fanbase, it's no longer the majority of the brand's sales. "That's where the company started. But I'm especially proud — and I can't take credit for it, because it's a whole team of folks, from Mandy, the whole product development team and so forth — [that now] we're a well-rounded comfort footwear company, and we have a leadership position in things that have nothing to do with the stapled clog other than that they're good for your feet," Fox said. "We're not just a clog company, we're a footwear company, and that's super exciting." Erika Vala, owner of Shoe Market in Brooklyn, NY said Dansko's classic takes on the clogs are trendy enough to bring in fashion-conscious women — but are accessible enough for shoppers who want the trend but want wearable style. Other retailers agree. "The Dansko customer today is a broader range in the market than it was even five years ago," says Josh Habre, president of the Portland, OR-based comfort chain Shoe Mill. "They've done a great job of leveraging their reputation for all-day comfortable shoes: everything they come out with, they're trusted by the customer." Dansko is one of, if not the, top brand for the store, Habre says, and their commitment to the independent channel is evident. "They're actively trying to get customers to go through brick-and-mortar," he said. Here, Fox reflects on brick-and-mortar's strengths, working for your shareholders and making transitions. Your tenure as CEO began on the first of the year, but you've been preparing for the job for quite a while, as CFO for 13 years and as president since 2016. What's been the biggest challenge in actually sitting in the top spot? "A big issue for me is making sure it was a clean break from the CFO role. It's a different perspective. In the president and CEO role, you have to take on a broader perspective and view issues in Q&A

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