If some of the high fashion giants seem to be growing steadily, the same cannot be said of the group's brands Kering, whose proceeds, when compared to those of LVMH (+17% in the last quarter) or to those of Hermès (+ 22 %), are unsatisfactory and significantly lower than in the past.
from Balenciaga scandal up to multiple changes among the upper echelons of brands such as Gucci, Bottega Veneta e Saint Laurent, the French group recorded a positive trend only for thefine jewelry, thanks to the profits of Boucheron e Keelin.
"Kering's first quarter results were conflictingas we predicted” said the chairman and chief executive officer of Kering François-Henri Pinault at WWD. "As we work to increase the appeal of our brands and to raise their profile in key markets, we are encouraged by the gradual improvement in month-over-month activity over the period."
This transition and readjustment phase is motivating Kering to focus on its own wealthier customers, so as to create a new stability for its brands: Gucci thus opened its first Salon, ushering in a new era of luxury buying and selling, and, at least for the time being, the opening to Los Angeles seems to promise more than positive results for the brand.
“The concept of Salon is like that of fine jewelry: we know that, in terms of contributing to sales, it is not necessarily a short-term change factor. But in terms of image, of involvement of key customers, who are also brand ambassadors, it is absolutely essential to invest in this sector” explains the chief financial officer of Kering, Jean-Marc Duplaix. “The work we're doing at Gucci is a journey, not a ride, and we don't expect it to pay off anytime soon. But we are extremely heartened by the progress made so far, the commitment of all the teams and the reaction from the market”.
