Berliner Boersenzeitung - End of era as Donatella Versace gives up creative reins of Italian brand

The platinum blond fixture of Italian fashion, who turns 70 in May, will be succeeded by Miu Miu's design director Dario Vitale, in what some industry insiders see as a prelude to an upcoming acquisition of Versace by its larger rival Prada, which also owns Miu Miu.

The new role as chief creative officer for Vitale -- a respected but little-known designer who has overseen soaring sales at Miu Miu -- represents a turning point for the Versace label, which was founded in 1978 by Versace's older brother Gianni.

The brand beloved by jet-setters, and famous for its Medusa logo, has weathered ups and downs in its decades on the fashion scene, but the vision and philosophy behind its showy, skin-baring looks have always been steered by a Versace.

Donatella Versace will now become the label's chief brand ambassador beginning April 1, the same day Vitale takes over, owner Capri Holdings Limited said.

"It has been the greatest honour of my life to carry on my brother Gianni's legacy. He was the true genius, but I hope I have some of his spirit and tenacity," Versace said.

The designer, who took her customary bow at the end of the runway show at Milan Fashion Week last month, added that she will remain the brand's "most passionate supporter".

As design director of Miu Miu -- Prada's more youthful line -- Vitale oversaw 93 percent retail growth last year in a notoriously challenging environment for luxury fashion.

He said Versace boasts "a unique heritage that has spanned decades and has shaped the history of fashion."

- 'Newness and wow' -

Fashion group Capri Holdings, which also owns Jimmy Choo and Michael Kors, has owned Versace since 2018, but has struggled to position the luxury label, with its sales sliding 15 percent in its most recent third quarter.

Prada is reportedly in advanced talks to acquire Versace, with Bloomberg reporting earlier this month a potential price of nearly 1.5 billion euros ($1.6 billion).

Prada executives have not publicly commented on the discussions with Versace, with Chairman Patrizio Bertelli saying earlier this month he was "very cautious" over any possible acquisitions.

Bernstein analyst Luca Solca told AFP that the creative shuffling could be "good news" for Versace.

"Even the best designers -– like all artists –- tend to become predictable over time," Solca said.

"And predictable is not good enough, in a market where brands fight for consumer attention with newness and wow."

- Muse and businesswoman -

One of the industry's most recognisable figures, with her platinum blonde hair and penchant for high heels, Versace spent much of her early life as the self-styled muse to Gianni, who was murdered in 1997 by a serial killer.

His death thrust the youngest Versace sibling to the helm of the family fashion empire, which she began to lead as its new chief designer at age 42 with no formal fashion training.

Some of the Versace's most well-known looks -- including Jennifer Lopez's cut-to-there green gown worn to the 2000 Grammy's -- were due to the younger Versace's bold choices and ability to attract celebrities to the brand.

As brand ambassador, Versace will now focus on the company's philanthropic and charity work.

After a period of sales slumps and restructuring, Capri brought the company for 1.83 billion euros in 2018.

Versace's portfolio now includes hotels and homeware along with fashion and accessories. It owns 230 boutiques around the world and has more than 400 licensed stores.

Before Thursday's announcement, industry observers had considered Vitale a potential candidate to lead the creative design at Gucci, which let go Sabato de Sarno in February after just two years on the job.

(G.Gruner--BBZ)