Miles Socha
7 min read
In This Article:
Updated 3:06 p.m. ET on June 16
As the new chief executive officer of Kering effective Sept. 15, Renault executive Luca de Meo is expected to bring a fresh vision to a luxury sector facing myriad headwinds and “structural changes.”
More from WWD
“He will bring new ways of looking at things,” Francois-Henri Pinault said of his successor during a conference call Monday evening to elaborate on the changing of the guard.
Pinault, who has held the CEO title since 2005 and navigated the family-controlled conglomerate through multiple transformations, traversing both buoyant and challenging periods, is to maintain the chairman role.
“I will be fully involved in the strategic orientation of the group as chairman…but I will not step in and short-circuit the CEO in his prerogatives regarding the priorities, the organization or the key appointments of the group,” Pinault said.
That leaves de Meo to orchestrate a turnaround at the troubled luxury giant, dragged down by a steep slowdown at cash-cow brand Gucci, and worrisome wobbles at Saint Laurent and McQueen.
Pinault said the “fit and chemistry between us was obvious within one or two minutes,” lauding de Meo as a “developer” who “brings a global perspective on markets and growth” as well as an “affinity with the product side” and a knack for “revitalizing brands.”
Exane BNP Paribas analyst Antoine Belge asked if Kering would maintain the current management structure, forged in 2023 when Pinault promoted Saint Laurent CEO Francesca Bellettini to deputy CEO in charge of brand development, and chief financial officer Jean-Marc Duplaix to deputy CEO and chief operating officer.
Pinault allowed that de Meo, who spent his whole career in automotive firms, does not know the luxury fashion industry “so he will need strong support and strong expertise around him, and we have that inside the group, starting with Jean-Marc and Francesca.”
However, as a “fully fledged CEO,” de Meo “will have to set his own priorities, to look at the organization of the group, to look at the key position of the group.”
That said, “we are not slowing down all the action plans defined for 2025,” Pinault added. These include the strategic repositioning of the brands, debt management and the refinancing of real-estate assets.
In a statement, de Meo said he was “approaching this new professional challenge with enthusiasm, eagerness and confidence, inspired by the strength of the group’s brands and the expertise of its people. I am convinced that together we will continue to make Kering an essential player in the luxury industry.”
