Gucci’s Revenue Drops 24% in Q4 of 2024, Creative Director Departs
In a shocking turn of events, luxury fashion brand Gucci has reported a staggering 24% decrease in revenue for the fourth quarter of 2024. This news comes from Kering’s annual findings report, released earlier this morning.
But Gucci is not alone in its struggles. Other Kering brands, such as Saint Laurent, also saw a decrease in revenue, with an 8% drop in Q4 and a total decrease of 12% across all houses. The only bright spot was Bottega Veneta, which reported a 12% increase in sales thanks to the success of their popular Jodie and Andiamo intrecciato bags.
However, these gains were not enough to offset the overall losses for the company. The luxury industry as a whole is facing challenges in retaining and attracting new customers, as seen in the company-wide losses and the growth in eyewear sales.
The release of the findings report comes just a week after Gucci announced the sudden departure of creative director Sebato De Sarno. De Sarno, who took on the role in 2023 as the successor to Alessandro Michele’s successful decade-long tenure, had aimed to steer the brand towards a more timeless and commercial direction, while also reintroducing menswear. However, his brief stint was met with criticism and unease.
Gucci is set to debut its Fall/Winter co-ed collection on February 25th during Milan Fashion Week, which will be the final collection designed under De Sarno’s creative direction. The brand has yet to announce a replacement for De Sarno, and in the meantime, will rely on its design team to fill the gap, a move similar to Chanel’s in-house team following Virginie Viard’s departure.
This sudden departure is just one of many changes happening at the executive and creative level in the luxury industry. Other recent shakeups include Michele’s move to Valentino, Veronica Leoni’s debut at Calvin Klein during New York Fashion Week, Sarah Burton’s upcoming collection at Givenchy, and Matthieu Blazy’s at Chanel.
It’s clear that the luxury industry is in a state of flux, as it grapples with finding its footing in the ever-changing landscape of fashion. Only time will tell how these changes will impact the industry as a whole.
