Over the years, Marco Bizzarri has been one of the most famous and respected executives in the global luxury goods business. Bald and boldly dressed, he was the architect behind the glorious success of Gucci, the largest fashion house owned by the French Kering Group, which also owns Balenciaga, Bottega Veneta and Saint Laurent.
But after a painful year of declining sales and the abrupt departure of longtime Gucci creative director Alessandro Michele, Bizarri’s departure from the fashion house after eight years as head of the fashion house was quiet Tuesday by his parent group. was announced in The news comes as Chairman and CEO François-Henri Pinault is about to write a new chapter in the fortunes of Gucci and the conglomerate, the third in a memo outlining the major reorganization announced by Kering. buried in paragraphs.
In the same announcement, Kering said Francesca Berrettini, chief executive of Yves Saint Laurent, will become deputy chief executive of brand development at the conglomerate, a promotion that includes all of Kering’s brand chief executives. He said he was expected to report directly to her and make her one of the best. Powerful women in the luxury industry. Kering Chief Financial Officer Jean-Marc Dupré will also become Deputy Chief Executive Officer, overseeing operations and finances.
“We are building a stronger organization to fully capture the growth of the global luxury market,” Pinault said in a memo. “We are confident that the changes we are announcing today will put Kering on a path to long-term success and profitable growth.”
The management reshuffle follows the group’s recent acquisition of beauty brand Creed, its first major acquisition since it decided to launch the brand in February. independent beauty department — Another sign of Kering’s plans to reinvent.
and it happens after multiple reports Pinault is in talks to acquire a majority stake in Hollywood talent agency CAA with the backing of Kering’s largest shareholder, his family investment firm Artemis. Spokespeople for Pinault and Artemis declined to comment on these reports.
Kering’s topical label and significant cultural clout have created a dominant industry narrative that positions the conglomerate as a prime rival to LVMH Moët Hennessy Louis Vuitton, the largest group in the luxury goods industry. But with more than 75 luxury brands, LVMH is well behind Kering’s 14 brands in terms of both sales and market capitalization.
Recently, Kering has stumbled. The company’s share price performance has lagged major rivals such as Hermès and LVMH, while several scandals and controversies at some of the biggest Kering fashion houses have upset the group.
Balenciaga, once the hottest brand on the fashion calendar, fell flat last fall when it was accused of promoting pedophilia in its advertising campaigns. Still trying to pick up momentum. Then followed Gucci’s headache, which generated two-thirds of Kering’s profits in 2021 and was widely hailed as the dawn of a new era of magpie inclusivity and emotion in fashion under Michele.
But Michele, who was largely unknown in the fashion world until Mr. Bizarri tapped him to lead the brand, stepped down in November after disagreements with management over the direction of Gucci. He will be replaced by Sabato De Sarno, who will present his debut collection during Milan Fashion Week in September.
The public argument so far has been that Bizzarri, who has grown Gucci’s sales from €3.89 billion to more than €10 billion, will stay on and lead the company into the next era.
Instead, Kering Group Managing Director Jean-François Pallas will succeed him in September and will hold the role until a replacement is found.
In an investment memo, Citibank called the move “a well-thought-out and logical move that strengthens decision-making, governance and succession, while demonstrating further determination to transform Gucci.”