The entire luxury goods sector had a very challenging 2024, but not all brands felt the same level of pain.

For Gucci, the fall from ‘must-have’ to ‘don’t want’ has been steeper and has gone on for a longer period of time than the downward dip that other brands experienced in 2024.   Gucci’s sales plunged 23% in 2024, with parent company Kering’s overall sales falling 12%.  The brand’s recurring operating income fell 51% from a year ago. The value of Kering’s shares has fallen by 40% over the past year, indicating a loss of investor confidence.

The move away from Gucci is more than simply ‘consumers reducing spending’ or a slowdown in China’s luxury market.