In the first episode of The Choice Makers, Frank Bournois speaks with the leading figure in the international retail industry, Philippe Houzé.
Chairman of Motier, Holding Company of Galeries Lafayette Group, Philippe Houzé has led the group for over 20 years and also plays an important role in higher education as chairman of ESCP Business School. In this interview, Philippe Houzé shares his expertise and his vision of tomorrow’s business.
So, what are the keys to success in a highly competitive industry such as retail?
Be customer-oriented, first and foremost
Philippe Houzé has succeeded in transforming the family-owned department store chain from affordable to premium and luxury and in establishing the brand as a symbol of French “art de vivre“. As Philippe Houzé tells us:
“I am not only obsessed with the results; I am obsessed with the customer. All my professional life has been centred around the client. To be customer centric is the only way to survive in a very competitive environment.”
In addition, beyond Galeries Lafayette’s territorial coverage, Philippe Houzé has positioned the company as a digital forerunner to be at the forefront of innovation:
“Because our future will be ‘phygital’ – physical and digital, we have to work on both sides, that means developing more experiences to be lived in stores and a large marketplace to offer a wide range of goods on our e-commerce website.”
All my professional life has been centred around the client. To be customer centric is the only way to survive in a very competitive environment.
The only constant is change
The retail industry is an economic field that has undergone radical changes in recent decades:
“If I wanted to sum up my career, I would say that I have been a dinosaur trainer. Because the businesses I have been running were considered by the experts as dinosaurs, supposed to disappear, and the ones I have worked for are still alive.”
“Change has become the only constant for us. I have been facing five revolutions impacting severely our business: hyper market, the shopping mall, fast fashion, brands becoming retailers and now e-commerce”.
However, despite new challenges, societal evolutions and changes in consumer habits, Philippe Houzé has always kept a strong guideline that he summarises in a quote borrowed from another emblematic executive:
“The secret of success in this VUCA world, I would borrow it from Sergio Marchionne, the past CEO of Fiat, in an interview, he answered the question by saying: “I think as an outsider, I work like a mule and I stick to my principles.”
To learn more about the collective commitment driven by the leader, his secrets of excellence and his passion for innovation, go to your favourite podcast app and listen to The Choice Makers first episode.
If I wanted to sum up my career, I would say that I have been a dinosaur trainer. Because the businesses I have been running were considered by the experts as dinosaurs, supposed to disappear, and the ones I have worked for are still alive.
