Versace or Capri Holdings?
Updated: Aug 4
For many years, fashion has been a form of expression for individuals. Whether you are wearing Dolce, Dior, or Gucci every single day we are setting statements about who we are and what we represent. Dating back in the decades, we have seen many notable trends that have represented a time in our lives and seen many celebrities showcase a “slight flex” from their favorite designers.
However, never have we seen such a trend of buying brands over products as we have in 2019. Unlike most in and out trends of pop culture, buying brands is a huge deal in the fashion industry. Which is why it's not every day that you see a couture brand willing to sell itself to a more affordable company. But in today’s increase in demand for activewear and on-the-go materials, most couture brands are struggling to see how they will keep afloat. Before we dig into the juicy details of Donatella Versace and Michael Kors, let’s recap Versace.
The History of Versace
Gianni Versace first opened his boutique in Milan of 1978, in hopes of guiding his brand to new lengths and new directions of the fashion industry. Unlike many other couture brands, Gianni Versace controlled all of his brands from marketing displays to designs. In the beginning, Versace was only known to sell designer pieces of fashion but eventually, the brand expanded to furniture, fine china and designer accessories. The notorious gold statements became the most luxurious items for celebrities and pieces like Donatella’s Belt Dress, which became legendary. Breaking barriers and crossing over fashion into new realms was the dream for Gianni Versace but after being assassinated in front of his Miami home in 1997, the brand was then passed onto his siblings - never living up to its couture potential until after the turn of the century.
Versace & Michael Kors
Despite its strong brand recognition, after Versace's peak, the infamous gold-silk robes slowly decreased in sales, losing the couture name year after year. In September 2018, Versace was sold to Michael Kors for $2.12 billion, a fashion brand that strives on setting a “jet set” lifestyle to clientele. Even though the brand is highly adored in American fashion, a lot of Versace lovers are curious to see how Kors will maintain the Italian luxury brand. In the new deal with Donatella, it was exclusively said that the name of Versace would be changed to Capri Holdings. With this new brand name change, Kors said in a press release that he hopes to increase revenue by focusing on the former brands’ shoes, accessories, and online presence. It is important to note that Donatella is still being apart of the brand by staying as the Creative Director. It will be interesting to see how the brand evolves from their old couture brand to a 3-tier fashion brand that caters to the ever-changing trends in society.
Capri Holdings Limited
For this new deal, Versace agreed in becoming a part of a parent company in the fashion industry with Michael Kors. Capri Holdings Limited is comprised of Michael Kors, Jimmy Choo, and Versace. Its sole owner is Michael Kors and within their mission statement the goal ”is to continue to extend the global reach of (their) brands while ensuring that they maintain their independence and exclusive DNA.”
The merger will present a different look for Versace, providing a more ready-to-wear brand to hit a bigger target market for revenue. In a couture stance, we might have a tendency to lose designer pieces and the gold essences of quality excellence, but as we move forward in society this move makes sense for fashion brands. A statistic has proven that much of our population is heading towards more of a, “now or never” type of society. Meaning that if we are not able to get it right away or find it within the palms of our hands, then we won't ever think twice about those products. The consumer rate has changed to more online shopping than retail store sales and as we continue to change the ways we buy, fashion must keep up, as well. For many couture brands, this means finding a new niche of society while in the previous years it was about making a new niche.
Even though we might see changes in Versace and the promotion of products they push out, it is safe to say that with Donatella on board we will at least keep the brand - for now.
To learn more about the mystery behind Versace, make sure to binge watch the “FX American Crime Story: The Assassination of Gianni Versace” on Netflix. Until then, stay tuned with all things Uproar and follow us at @PeoplesRevolt.