(MENAFN) On Thursday, Gucci, the renowned Italian fashion house under the umbrella of luxury conglomerate Kering, announced the appointment of a new deputy chief executive in a strategic move aimed at revitalizing its business amidst declining sales.
Stefano Cantino is set to assume the role at Gucci starting May, with a primary focus on collaborating with CEO Jean-François Palus to delineate and execute the brand's strategic direction.
Historically a significant revenue driver for Kering, Gucci has faced challenges in sustaining its growth trajectory in recent times. The brand experienced a notable setback with a six percent decline in sales in 2023, and early indicators suggest a further decrease of nearly 20 percent in the first quarter of this year.
Given Gucci's pivotal role, constituting half of Kering's revenue, the brand's struggles have prompted a concerted effort within the group to address the situation. Kering, home to other prestigious labels like Yves Saint Laurent, Balenciaga, and Bottega Veneta, is actively working to reverse Gucci's downturn.
In February, Kering's chief executive, Francois-Henri Pinault, reiterated the company's commitment to revitalizing Gucci's performance, emphasizing a long-term strategy aimed at steering the brand back to success. Pinault acknowledged the challenges ahead, emphasizing that the turnaround process will require time and the recruitment of top-tier professionals in critical areas such as sales, merchandising, and sourcing.
Last year, Kering implemented changes at the top management level of Gucci, appointing Jean-Francois Palus as the deputy CEO in place of Marco Bizzarri, who had overseen the brand since 2015. Additionally, Sabato de Sarno succeeded Alessandro Michele as the creative director of the brand in January 2023.
Stefano Cantino's appointment marks a notable move for Gucci, as he brings with him extensive experience from his previous role at Louis Vuitton, the flagship brand of Kering's rival LVMH, highlighting Gucci's commitment to attracting top talent to drive its resurgence in the competitive luxury market.
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