Under the creative direction of Demna Gvasalia, Balenciaga is on track to become the next billion euro brand within the Kering Group. This positive trajectory aligns with the overall success of Kering.
During the Kering General Assembly on April 24, CEO François-Henri Pinault announced that Balenciaga, which was acquired by Kering in 2001, is expected to surpass the billion euro revenue mark this year. This achievement follows the brand’s outstanding performance in the previous fiscal year, where it contributed significantly to the +32.1% revenue growth in the “Other Houses” segment of the Group, excluding Gucci, Saint Laurent, and Bottega Veneta. The upward trend in this segment has continued in the first quarter of 2019, with a growth of +21.7%.
With Kering recently reporting revenue of over 3.7 billion euros in Q1 2019, Balenciaga’s growth is expected to continue. This growth can be attributed to the brand’s appeal to Millennials, who make up a significant portion of the luxury consumer market, due to its streetwear and artistic influences.
Since taking over as the designer in 2015, Demna Gvasalia has successfully infused Balenciaga with a unique identity. The brand’s iconic pieces, such as the Triple S sneakers that sparked the Dad Shoes trend, and its contemporary campaigns, like the recent Loop animation, have gained attention and popularity.
This strong reception to Demna Gvasalia’s creative vision is evident in the search data from the Lyst search engine. Balenciaga ranked as the most-searched brand by female users in France at the beginning of this year, while ironically, Vetements, the label founded by Gvasalia, claimed the top spot in searches by male users during the same period.
