Things are getting wild in the luxury industry.
Quiet boardrooms are turning into war rooms. Legacy houses that coasted on prestige and heritage are now clawing for relevance. Once bulletproof brands are bleeding market share, losing cultural heat, and watching TikTok drive trends they can’t keep up with.
At the center of the storm? Kering.
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The French luxury giant, home to Gucci, Yves Saint Laurent, Balenciaga, Bottega Veneta, and others, is unraveling. After riding high for years, Kering is now facing a full-blown identity crisis.
Its crown jewel, Gucci, has lost momentum. Gen Z isn’t buying in. Sales are slumping. Analysts are doubting. Investors are bailing. And leadership? Wobbling.
In the past two years, Kering has lost more than 60% of its market value. Its debt has ballooned past $11.5 billion. Gucci (once its money-printing machine) is sputtering.
And now, the company just made a move no one expected — one that has nothing to do with handbags and everything to do with horsepower.
Image source: Nathan Laine/Bloomberg via Getty Images
Kering brings in an auto industry veteran to lead the charge
Kering confirmed on Monday that François-Henri Pinault will step down as CEO after nearly 20 years and hand over leadership to current Renault CEO Luca de Meo.
De Meo, who officially leaves Renault on July 15, will take over as Kering CEO on September 15, pending shareholder approval.
While best known as a “car guy” with stints leading Fiat, SEAT, Volkswagen, and most recently Renault, de Meo has a strong reputation for brand building and strategic turnarounds.
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He’s credited with the revival of the Fiat 500 and the Renault 5, and is known for his deep understanding of marketing and design.
In a statement, Pinault said, “His experience at the helm of an international listed group, his sharp understanding of brands, and his sense of a strong and respectful corporate culture convinced me that he is the leader I was looking for.”
The message is clear: Kering doesn’t want just another luxury exec. It wants a visionary who can rewrite the playbook.
Why a luxury fashion outsider might be exactly what Kering needs
It sounds wild. But is it really?
Fashion, like auto, is about design, scale, and timing. And Kering needs a fixer…fast. Its traditional playbook just isn’t working.
Gucci’s creative shifts haven’t landed. Saint Laurent is steady, but not enough to carry the weight. Balenciaga’s controversy fatigue lingers. Meanwhile, rival LVMH is lapping Kering in nearly every category.
Enter de Meo. He’s not a fashion insider, but that might be the point. Kering doesn’t need another luxury lifer — it needs someone willing to make hard decisions and rip off Band-Aids.
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And with his outsider status, de Meo could have the freedom to cut deeper, move faster, and ask the questions insiders won’t.
De Meo is known for being strategic, brand-driven, and deeply interested in design — he reportedly has an affinity for Swiss watches and the luxury space. That gives him something rare: operational rigor and taste.
If this shakeup works, it won’t just reshape Kering. It could mark a new era of luxury leadership, where cultural relevance depends less on who you know in fashion, and more on whether you can actually build a brand people care about.
For fans of Gucci, Yves Saint Laurent, and the future of fashion, this could be the plot twist that changes everything.
Related: How an airplane vomit bag led to the iconic Hermès Birkin
