Kering announced today that, after the disposal of Puma, they will also put on sale Volcom and they will focus on luxury brands (acquisitions?).
Very likely the same destiny will take place also for Cobra, the third sports brand of the group.
The intention of Monsieur Pinault group is very clear as well as the direction taken now.
After 11 years of integration of sports (and lifestyle) brands with luxury and fashion, Kering is now changing the target. But they also sold back Stella McCartney 50% to the founder. And they are struggling in managing the relaunch of Brioni.
They have three star brands: Gucci, Balenciaga, Saint Laurent that registered double digit growth, an uber luxury brand such as Bottega Veneta who slightly disappeared from the radar and jewelry, high-end watches and fashion brands such as Alexander McQueen and a very pale Christopher Kane. Kering is also facing accusation of fiscal elusion.
Isn't the right moment for the group to:
- clarify the "luxury focus" they are following
- define the categories selected: jewelry? high-end watches? men's? or other?
- rationalize the efforts in terms of brand development: short term stellar growth or long term organic growth?
So much food for thought, indeed.
by Susanna Nicoletti - a fashion and luxury marketing, communication and digital senior professional
in the industry with boutique consultancy www. thefashiondispatch.com
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