Kering's mixed bag: Gucci and Bottega Veneta
Kering, a France-based luxury fashion conglomerate, reported a 6 per cent year-over-year (YoY) decline in revenue from its directly operated retail network, reflecting lower traffic and varied performances across regions. Gucci, Kering’s flagship brand, experienced a 7 per cent decrease in its directly operated retail network sales, although its handbags and Valigeria collection remained resilient. The group’s Bottega Veneta brand saw a slight revenue decline of 2 per cent in its retail network.
Prada's continued growth
Italian luxury fashion house Prada, on the other hand, delivered a robust Q3 performance with a 10 per cent YoY increase in its retail channel. This growth, especially impressive given the high basis of comparison (up 32 per cent for Q3 FY22), was supported by both average price and full price volumes.
Hugo Boss’ enhanced retail store productivity
In the third quarter of fiscal year 2023, German fashion house Hugo Boss experienced a notable 8 per cent currency-adjusted growth in its brick-and-mortar retail business compared to the previous year. This growth was primarily attributed to enhanced store productivity, with only a minor contribution from the expansion of selling space.
Marimekko's stable sales
Finnish fashion firm Marimekko's omnichannel retail sales globally grew by 3 per cent. The brand almost matched its record-high sales level from the previous year, despite several changes in its Finnish store network. However, comparable retail sales fell by 4 per cent, while sales in the Asia-Pacific region, its second-biggest market, rose by 5 per cent.
Ermenegildo Zegna's impressive growth
Ermenegildo Zegna, an Italy-based global luxury fashion house, showcased exceptional growth, with direct-to-consumer (DTC) revenues reaching €282 million in Q3 of 2023, marking a 29.9 per cent increase YoY. This growth was even more pronounced on a constant currency basis, at 37.7 per cent. Zegna-branded products contributed €195 million to the DTC revenues, showing an 8.3 per cent YoY increase. Thom Browne and Tom Ford Fashion also showed substantial growth in their DTC revenues.
Fibre2Fashion News Desk (DP)