In a significant leadership shift, Everlane has appointed Alfred Chang as its new CEO, effective October 7. Chang, who previously held key positions at both Fear of God and PacSun, will step into the role after the departure of Andrea O’Donnell earlier this year. O’Donnell had successfully guided Everlane back to profitability during her tenure, but the brand is now poised to enhance its market presence.
Chang’s experience in the apparel industry, particularly with brands known for their unique aesthetics and design-driven approaches, positions him well to lead Everlane’s revitalization efforts. This transition comes at a pivotal moment for the company, as it seeks to expand beyond its traditional basics identity into a brand recognized for its innovative design.
During O’Donnell’s leadership, Everlane undertook several strategic changes, including operational streamlining, workforce reductions, and shifting logistics partners. These decisions proved fruitful, with the brand reporting approximately $8 million in earnings before interest, taxes, depreciation, and amortization (EBITDA) in 2023, marking its most profitable year to date. This recovery shows a positive trend, as the company’s sales fluctuated, ending 2023 with a 1 percent increase, totaling $200 million after a decline of 3 percent in the previous year.
To support Chang, the brand is transforming its image. Everlane has made a concerted effort to focus on sophisticated design. In 2022, the company engaged Mathilde Mader, an esteemed former designer from Marni, to craft seasonal collections. The goal is to elevate the brand’s perception in the crowded fashion marketplace, moving beyond its past emphasis on basics.
Moreover, Everlane’s founder, Michael Preysman, who resigned as CEO in 2022, will remain as executive chairman and climate lead. His continual involvement is essential, as he will guide the strategic vision and sustainability initiatives that have been central to Everlane’s identity.
Despite the recent positive trajectory, concerns remain about Everlane’s long-term growth prospects. The company aims to evolve into a $1 billion brand, but achieving this goal will require navigating the challenges that have previously hindered its growth. The direct-to-consumer model has been both a blessing and a curse for many brands, including Everlane. As the e-commerce landscape becomes increasingly competitive, the ability of digital native brands to adapt and innovate determines their success.
The apparel market is notoriously volatile. Brands often face challenges in balancing cost-cutting measures while attempting to amplify their product offerings. For Everlane, recovering from the setbacks of 2022 will test Chang’s leadership and the brand’s resilience.
In summary, the future of Everlane rests heavily on Chang’s strategic vision and ability to blend Everlane’s established principles with fresh design innovations. The market awaits with anticipation to see how his leadership will translate into growth and whether the company’s ambition to redefine itself can withstand the pressures of an increasingly competitive environment.
