Gucci’s future strategy after Alessandro Michele’s departure in November 2022 has been a topic of speculation and interest. With Sabato De Sarno as the new creative director, industry experts and fashion enthusiasts are curious to see the direction Gucci will take. To gain insights into Gucci’s future strategy, digital consulting firm Lectra’s data analysis solution, Retviews, has compared Gucci’s recent product and pricing strategies with those of Valentino, where De Sarno previously worked.

One important finding is that Gucci’s collaborations with other brands have been highly successful in expanding its consumer base. Collaborations with The North Face and Adidas, among others, have allowed Gucci to reach a wider audience. The pricing strategies employed in these collaborations have varied, with lower prices for The North Face partnership. This indicates that Gucci is focused on increasing its consumer reach through strategic collaborations.

Another significant difference between Gucci and Valentino is the emphasis on accessories and leather goods. Gucci has a higher percentage of accessories in its product range (42%) compared to Valentino (23%). This is due to Gucci’s extensive jewelry collection and its emphasis on inclusivity in its beauty division. Additionally, Gucci has recently opened a store in Paris dedicated to luggage, showcasing its focus on this category.

However, Gucci has fewer leather handbags compared to its competitors. Leather goods make up only 15% of Gucci’s overall range, compared to 24% at Valentino, 31% at Prada, and a market average of 28%. Moreover, Gucci’s leather handbags are priced lower than its competitors. For example, the GG Marmont model is priced at $2,120 in Europe and $2,730 in China, while Valentino’s Roman Stud bag sells for $2,438 in Europe and $3,486 in China. This pricing strategy allows Gucci to target a broader consumer base while working towards enhancing its brand image.

In terms of style, De Sarno’s collections are expected to depart from Michele’s flamboyant and eclectic designs. Gucci has embraced a wide range of colors, graphic prints, and maximalist motifs in its ready-to-wear assortment, setting itself apart from brands like Prada and Bottega Veneta, which have opted for a more minimalist, classic approach in recent seasons.

To revitalize itself, Gucci has various strategies it can employ. It can continue successful collaborations, further expand its share of accessories, and design more minimalist collections. These efforts align with Kering’s goal of repositioning Gucci into a higher market segment across all product categories. Gucci’s 2022 annual results were disappointing, with minimal revenue growth, highlighting the importance of De Sarno’s creative vision and his ability to honor Gucci’s heritage while propelling the brand into the modern era.

In conclusion, Gucci’s future strategy under Sabato De Sarno’s leadership is highly anticipated. The brand has the potential to leverage collaborations, accessories, and minimalist designs to revitalize itself. With a challenging task ahead, De Sarno will need to apply his creative vision and harness Gucci’s heritage to drive the label’s success in the modern fashion landscape.

Useful links:
Vogue Business: What’s Gucci’s direction post-Alessandro Michele?
Business of Fashion: Gucci’s business outlook post-Alessandro Michele