Failed Asda merger looms large as Sainsbury's boss Mike Coupe quits

Mike Coupe is retiring as CEO of Sainsbury’s after six years at the helm.

He will depart in May with Retail and Operations Director Simon Roberts taking over in June. The announcement follows several quarters of flagging sales and a so so Christmas performance.

Coupe is also leaving nine months after the failed merger between Sainsbury’s and Asda. He came under fire at the time after being filmed singing We’re in the Money from 42nd Street while waiting for interview with ITV about the deal. And his critics have suggested that he is now biting the bullet for failing to get the tie-up past the competition regulator.

“I feel very privileged to have spent almost six years running Sainsbury’s, in a period that has been the most challenging and competitive of my 35 year career in retail. Sainsbury’s is a very different business today to the one I took over in 2014,” Coupe said.

“I am proud that almost 20% of our total sales now come from our online channels and that we are becoming one multi-brand, multi-channel business, able to continue to evolve and adapt with customers’ ever changing needs. Adding Argos and Nectar to the business improves our ability to make shopping increasingly convenient for customers and to reward them for their loyalty.”

He added: “This has been a very difficult decision for me personally. There is never a good time to move on, but as we and the industry continue to evolve, I believe now is the right time for me to hand over to my successor.”

Yesterday, Sainsbury’s said it would slash hundreds of management roles across the business as it looked to better integrate the supermarket with Argos, which Coupe acquired during 2016 in a £1.4 billion deal. The retailer has already cut its senior leadership team by 20% since March 2019.