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    Can Balenciaga Surpass Gucci?

    2019/3/4 15:57:00 18

    Balenciaga

    2019 in the autumn and winter fashion week in Paris, when Dior, Celine and other important players release the fashion show, Beijing time will open the fashion show of cloud group's Balenciaga in March 3rd.

    With the untiring efforts of the current designer DemnaGvasalia, Balenciaga has become a new luxury pronoun.

    After each press conference, various models and single products are often dubbed "ugly new heights" by the media, but they can not stop the enthusiasm of the internet stars.

    Like Gucci, Balenciaga is aiming at the most important group of customers, millennials, in the luxury industry.

    Pinault has publicly stated that "luxury can not only care about tradition. Luxury goods should pass on values to young people through clothing. Millennial consumers grow very fast, and they enter the age of luxury goods and buy Li Yuanchao, we imagine."

    Kai Yun's exploration of Balenciaga is also how to subvert the luxury tradition and inject new vitality into the brand.

    Obviously, choosing Demna Gvasalia is a good game for Kai Yun group.

    Since DemnaGvasalia took over Balenciaga, the top student of ante Pu Hui has completely overturned the mark of black fashion through oversize jacket, long sleeved shirt and spoof T-shirt.

    Fashion critics remarked: "Balenciaga in Gvasalia's hands is both Vetements's rebellious and pungent, and the dignified feeling of high fashion.

    "

    Thanks to the promotion of the core brand Gucci, the Balenciaga parent company's Open Cloud group is growing rapidly.

    In 2018, Kai Yun group's annual sales rose 29.4% to 13 billion 665 million euros in 2018, operating profit rose 46.6% to 3 billion 944 million euros, while the luxury sector's revenue grew by more than 20% in the 8 quarter. The growth rate has obviously exceeded the 15% increase of last year's sales of its fashion leather Department of its rival LVMH.

    However, despite the rapid growth, to catch up with rival LVMH, the task of opening the cloud is arduous.

    Although Gucci's rapid growth in nine consecutive quarters has broken the curse of the luxury industry for three years, the industry also pointed out that compared to LVMH, the vertical coordinates are composed of LV and Dior, the first tier, Celine, Loewe constitute the second tier, the horizontal coordinates expand the lifestyle, the beauty makeup chain, the internal matrix of the open cloud group which is too dependent on Gucci is not perfect, and the ability to resist market risks is low.

    From 2018 onwards, Gucci grew by 28.1% in the fourth quarter, down from 48.7% in the first quarter.

    It is obvious that the cloud is aware of this short board.

    Judging from its recent development, there are two main development strategies for opening the cloud: left-hand support for Saint Laurent, Balenciaga and other reserve forces, and the right hand after the divestiture movement and life brand, focus on the landing of luxury brands in order to get rid of the image of the past comprehensive retail group.

    At present, the pformation of Balenciaga is successful.

    According to sources close to the internal media, Balenciaga has become one of the fastest growing brands of the Kering group. According to Reuters news, from January 2018 to 3, the growth rate of the family was even more than 100% in some cases.

    Pinault, chairman and chief executive of Kering group, predicts that Balenciaga will sell more than 1 billion euros this year after the earnings conference call. Until now, Balenciaga has 150 independent stores worldwide.

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