Global beauty company Coty Inc. is preparing for a major leadership shift as longtime Chief Executive Officer Sue Nabi steps down at the end of 2025, capping off a transformative five-year tenure at the helm of the multinational cosmetics and fragrance firm. The company announced that Markus Strobel, a seasoned executive with deep roots in the consumer goods industry, will take over as interim CEO and executive chairman beginning in January 2026. The move reflects both a response to mounting competitive pressures in the beauty sector and a broader strategic pivot as Coty repositions itself for long-term growth in a fast-evolving global market.
Nabi, who previously held leadership roles at L’Oréal and Lancôme, was appointed CEO of Coty in mid-2020, amid a period of operational restructuring and brand reinvention. She brought a reputation for creative leadership and innovation, as well as a vision to modernize Coty’s portfolio while driving stronger alignment with sustainability and emerging consumer trends. Under her guidance, Coty launched numerous high-profile products, strengthened its presence in the prestige fragrance and skincare markets, and began reducing debt through financial discipline and cost-cutting initiatives.
The announcement of her departure, while not entirely unexpected, still reverberated across the beauty industry and among investors. During her tenure, Nabi helped steer the company through a volatile period that included the COVID-19 pandemic, supply chain disruptions, and changing retail dynamics. She also oversaw the early stages of Coty’s digital transformation, expanded its presence in China and other emerging markets, and championed a more inclusive and sustainable brand ethos. Despite these efforts, Coty’s performance in 2025 has been mixed, with declining share prices, slowing revenue growth in certain segments, and growing investor concerns about the company’s ability to maintain relevance in an increasingly fragmented and competitive landscape.
Markus Strobel’s appointment signals a new direction. With more than three decades of experience, including a long career at Procter & Gamble where he led global skin and personal care divisions, Strobel brings a strong operational background and a global perspective to Coty’s leadership. He has overseen numerous international beauty brands and has experience integrating brand portfolios across markets—a skill set that analysts believe is critical for Coty’s next phase. His dual role as interim CEO and executive chairman also suggests the company is looking for continuity and stability as it searches for a permanent successor.
The leadership transition comes amid broader challenges in the beauty sector, where established legacy brands are facing fierce competition from smaller, digital-first entrants that are rapidly gaining market share. Younger consumers increasingly favor authenticity, personalization, and sustainability—criteria that traditional beauty conglomerates have struggled to address at scale. As a result, Coty’s mass-market brands like CoverGirl and Rimmel have seen diminished traction, even as its prestige fragrance lines have helped offset some of those declines.
Coty has also been dealing with the impending loss of high-profile licensing deals, including the expected transition of the Gucci Beauty license to a different corporate partner in the near future. While the company is working to strengthen its existing relationships and explore new licensing opportunities, the potential disruption to revenue and brand perception is a pressing concern. In this context, the company’s leadership change is not only about guiding current operations but about reimagining Coty’s brand architecture and global strategy to remain competitive.
Investor reaction to the leadership news has been mixed. Some welcomed the appointment of Strobel, citing his operational expertise and potential to streamline the company’s decision-making. Others remain cautious, pointing to the lack of a clear long-term CEO succession plan and the persistent headwinds facing Coty in both the retail and supply chain arenas. Analysts expect the coming months to be critical as Coty outlines its next strategic steps, including whether it will divest underperforming segments, invest further in digital and e-commerce capabilities, or explore acquisitions to strengthen its portfolio.
Adding to the shakeup, longtime chairman Peter Harf will also step down, ending a decades-long association with Coty that saw the company through multiple transitions, including its 2013 IPO and its acquisition of several major beauty brands from Procter & Gamble. Harf’s departure, combined with Nabi’s exit, represents a significant generational and strategic handoff at the highest levels of the company.
As Coty prepares for 2026, the incoming leadership will be tasked with navigating a rapidly changing market landscape, restoring investor confidence, and delivering on the promise of a more agile, consumer-centric beauty business. The company’s future performance will depend on its ability to balance heritage with innovation, address structural inefficiencies, and execute a cohesive strategy across multiple global markets. For now, all eyes will be on Markus Strobel and the Coty board as they guide the company through this pivotal transition period.
