Ms. O'Neil of Nike to SKUL Board of Directors - Big Positive
On Monday Skullcandy released the addition of Ms. Heidi O'Neil to the Board of Directors. Ms. Heidi O'Neil is the Vice President and General Manager of Womens Training and Fitness as Nike and she was also a founding member of the Nike Global Womens Leadership Council
Why This Matters:
This re-enforces a few of the major parts of my thesis.
1. Hoby Darling worked with Ms. O'Neil at Nike and he is using his connections to bring quality people aboard
2. Skullcandy is changing directions and going after more niche markets. Ms. O'Neil's expertises in the women consumer can be put to good use in marketing headphones to women.
The Female headphone market is a large untapped market. Most headphones today are marketed towards boys and don't always look attractive for girls(think of SkullCrushers). This shows Skullcandy will continue to pursue the female market which has large potential.
3. Ms. O'Neils background shows she is a strong go-getter. I like to invest in the people at companies and she is a good quality person to have on your side. Definitely adds strength to the board
4. With Scott Olivet taking the CEO position at BillaBong, and Jeff Kearl pre-occupied with his many business projects this might help fill an advisory gap in the board.
CEO Hoby Darling was recently an executive at Nike, Scott Olivet was a Nike executive previously, and Ms. O'
Neil still a Nike executive gives Skullcandy very close ties to Nike. Skullcandy and Nike have a very close business relationship hosting several events together. With Skullcandys market share, cheap valuation and Nike's current efforts to enter the headphone market, Skullcandy could be a very viable option for them. Skullcandy has a very healthy balance sheet and at least an average future ahead of them
The headphone market is very competitive right now for personal. There are only 15 colleges in the United States who offer Audio Technician degrees.