Gucci sales increase for the first time in 2 years
For the first time in two years and less than a year after the abrupt but long expected departure of power duo Patrizio di Marco (CEO) and wife Frida Giannini (Creative Director) sales at GUCCI were up 4.6 percent on a comparable basis in the second quarter. The company said that Chinese tourists in Japan and Western Europe, as well as increased discounting in China of pre-Alessandro Michele (new Creative Director who succeeded Giannini) merchandise, contributed to that growth.
In a presentation to investors Monday, parent company Kering laid out a vague plan for Gucci, which include building “a more focused and relevant offer for the customers” by introducing new products while discontinuing others, reducing the overall number of products, and improving the visual merchandising and retail experience.
Gucci’s new Creative Director Alessandro Michele (a veteran in Gucci’s Creative Departure having worked under both Tom Ford ad Frida Giannini) has already presented three collections — two women’s and one men’s — and released two ad campaigns which reflect, at least for now, a confusing (re)positioning strategy of the brand.
Kering Group has reported strong growth for the first half of 2015 with revenue up 17.0% at €5,513 million. It’s luxury sector tallied €3,762 million (17.8%) and represents more than half of total revenue.
Kering’s Saint Laurent has continued to be the luxury conglomerate’s star performer. Sales there were up 24.3 percent in the first half of the year on a comparable basis.