After Being Acquired, Versace Began To Be "Shuffled".

After the war, the US extravagant giants began to make personnel adjustments to their brands, aiming to make full use of their chips to win the market in the next operation.

In September of last year, Capri, a luxury luxury group, bought the Gianni Versace SpA of Italy luxury group for $2 billion 120 million. The Blackstone Group, which owns Versace 20%, withdrew completely. The Versace family continued to manage the brand business, but now things are beginning to change.

The Capri group, which owns Michael Kors and Jimmy Choo brand, has begun to reshuffle its personnel after the acquisition of Versace. Versace's former chief financial officer, Donatello Galli, has already left, and its position is replaced by Michael and Kors, who is responsible for finance and operation.

In addition, Capri group previously appointed Manlio Amorosi, who worked for Michael Kors, as vice president of Versace retail development.

Up to now, Versace has refused to respond to the new life of Capri group.

Meanwhile, in order to better expand the scale, the brand founder Michael Kors decided to withdraw from the board of directors of the group in March and no longer serve as a director of the Capri group, but will continue to be responsible for the creative work of the same name brand Michael Kors.

Capri Group CEO John Idol said in a statement that the board will continue to focus on the operation and expansion of the three core brands, of which Michael Kors is still the largest and most profitable brand in the group.

Capri group, formerly known as Michael Kors, was originally a light luxury brand dominated by leather handbag accessories. With the gradual expansion of its business scale, the British luxury shoe brand Jimmy Choo was formally converted to a comprehensive luxury group in July 2017 at a price of 1 billion 200 million US dollars.

After the acquisition of Versace last year, the Michael Kors group was renamed Capri Holdings in January.

The group said that the name of Capri came from an island, reflecting its three core brands, Michael Kors, Jimmy Choo and Versace, which formed a solid foundation for the group.

According to fashion headline data, as of the third quarter of December 29, 2018, Capri group's revenue almost flat with the same period in 2017, recorded a $1 billion 440 million, and net profit fell 9.1% to 190 million U.S. dollars, core brand Michael Kors sales fell 4% to 1 billion 276 million U.S. dollars over the same period, but Jimmy Choo sales rose 49.9% to 162 million U.S. dollars, offset the impact of Michael Kors revenue decline.

Versace was founded in 1978, the founder of Giovanni Gianni Versace has a distinctive design style, unique aesthetic feeling and strong avant-garde art. The Versace brand has gained the popularity of celebrities such as Naomi Campbell, Diana and Madonna, and has gradually become one of the most popular luxury brands in the world.

In July 15, 1997, Giovanni Gianni Versace was shot in front of the mansion in Miami, and the brand was then responsible for its sister Donatella Versace.

The company designs, produces, distributes fashion and lifestyle products, owns Versace, ISTANTE, VERSUS, V2, VERRY and children's wear YOUNG VERSACE and other brands.

Earlier analysts said the Capri group's takeover of Versace was not optimistic.

After the news came out, Versace's original consumers set off strong opposition in social media. They said they did not expect highly commercialized Michael Kors to affect Versace's unique luxury positioning for a long time.

Faced with controversy, Capri Group CEO John D.Idol emphasized the acquisition of "value for money".

As one of the luxury brands that are most likely to enter the club of $1 billion a year, Capri group's goal is to increase Versace's global revenue to $2 billion, and stressed that the Capri group's annual revenue to buy Versace is expected to enter the $8 billion club.

To this end, Capri group has formulated a "five step plan" specially for Versace, starting from the New York big show in 2018, gradually increased investment in Versace marketing, opened 30 new stores in the world, and accelerated the expansion of e-commerce business and all channels.

Because the head of Medusa on Logo symbolizes fatal attraction in ancient Greek mythology, Versace has always been considered the "most rich" brand.

Gold decorations, leopard patterns and lion heads often appear in Versace design. They are both symbols of power and wealth in ancient western countries. This aesthetic system is also applicable in China, and has brought special interest to Versace in recent years.

However, in recent years, the frequent problem of security in Europe has led to a decline in tourists, and luxury fashion retailing has been shuffling. The performance of Versace began to decline in 2014. The group thought that Versace's Chinese business had not been well developed, especially in Hongkong.

In order to restore the Chinese market, Versace officially entered Tmall Luxury Pavilion last year.

It is reported that most of the products sold in Versace Tmall flagship store are the first in China, including Versus and Versace Jeans, which are basically in line with European goods.

In order to better grasp the Asian market, Capri group appointed Michael Kors Greater China director and CEO Li Dakang as president of the Asia Pacific region. Andrew Cai is the president of Michael Kors brand Greater China, reporting directly to Li Dakang.

Some analysts believe that under the pressure of intensified competition in North America and Europe, China will undoubtedly become a battleground for Michael Kors and other brands.

With the structural changes of the three brands Kate Spade, Michael Kors and Coach in the light luxury camp, John D.Idol has also indicated that it will continue to expand its brand's influence in the world, especially in the Asian market in the future.

JingDaily analysts expected earlier that by acquiring Versace, Capri group's revenue in Asia will further increase from 11% to 19%.

In addition, in order to save operating costs, Versace has announced that it will no longer participate in the Paris advanced custom fashion week. The brand CEO Jonathan Akeroy pointed out that the brand needs to hold 8 shows a year. Because of its poor performance, the high cost customized fashion week has become a heavy burden for Versace.

Donatella Versace also admitted that next will focus on the development of men's wear series.

Capri and Coach are standing on the same starting line, Tapestry group.

The group has now become a multi brand group including Coach, Kate Spade and Stuart Weitzman. The group was changed from "Coach" to "Tapestry" in 2017, and the Chinese meaning is "tapestry".

The Group believes that the new name can better convey creativity, technology, authenticity and inclusiveness to consumers, and provides more possibilities for the group's future acquisition plan.

In the second quarter ended December 29, 2018, Tapestry Group sales increased by 1% to $1 billion 800 million, while net profit surged 301% to $254 million 800 thousand.

During the period, core brand Coach sales increased by 2% to $1 billion 250 million, Stuart Weitzman sales increased from 3% to $124 million, and Kate Spade sales declined by 1% to $428 million.

Coach CEO Victor Luis has revealed that the resources integration of Coach, Kate Spade and Stuart Weitzman in the supply chain has basically been completed. In the future, it will reinvest in the marketing and international expansion of all brands on the existing basis.

For rival Capri group, Victor Luis believes that this has not put pressure on the group, and Tapestry will continue to look for suitable takeover targets.

With the achievement of Versace acquisition and the beginning of a new round of turbulence, the ambition of Capri group and Tapestry group to challenge LVMH and Kai Yun group is becoming more and more obvious.

Despite the fact that the Capri group and Tapestry group now have no comparable ability with the group of LVMH which owns more than 70 luxury fashion brands and three trump cards holding Gucci, Balenciaga and Saint Laurent, the emergence of Tapestry and Capri group is a major breakthrough in the American luxury fashion industry, which means that the concept of the luxury market in the United States represented by the two represents a rapid rise, and the concept of light luxury market is also being dispelled.

As of last Friday, Capri group rose 0.83% to $48.46, and its market capitalization is about $7 billion 303 million.