, Chairman and CEO of (formerly known as Restoration Hardware), has long been known for his bold, risk-taking approach to leadership. Speaking recently on CNBC’s with Jim Cramer, Friedman provided insights into how innovation and calculated risks have powered RH’s impressive sales growth, even in challenging market conditions. In the world of luxury retail, Friedman is not shy about making bold moves.
“There is no big reward without big risk,” Friedman told Cramer, reflecting on RH’s willingness to invest during economic downturns. While others in the industry may have scaled back during tough times, RH doubled down, continuing to expand its product lines and physical presence. “We’ve been working on this product transformation and platform expansion unveiling, and it’s been a big investment,” he explained.
The company’s forward-thinking strategy is paying off, as RH recently reported a 25% increase in sales. Friedman attributed much of RH’s success to its commitment to innovation. “If you want to be the best in the world, you can’t be a follower; you have to be a leader,” Friedman emphasized.
For him, leading means investing deeply in unique, immersive experiences for RH’s customers. One such innovation is the introduction of massive galleries that double as luxury showrooms and lifestyle spaces, complete with restaurants and wine bars. “History proves all of these bets are highly incremental and profitable,” he said, indicating that these e.