• Home
  • Gucci turns to China for…

Gucci turns to China for new sneakers amid sales slump

Gucci has started selling new luxury sneaker models labelled “Made in China”, breaking from its long-standing tradition of Italian manufacturing as the fashion house seeks to win back middle-class shoppers.

The move highlights the challenge facing Gucci designer Demna, who is under pressure to introduce innovative products while controlling costs and appealing to “aspirational” consumers, who make up the bulk of the luxury market but are more price-sensitive than the wealthiest customers.

Some industry watchers have warned that producing the sneakers in China could weaken Gucci’s high-end image, particularly given the brand’s strong association with Italian craftsmanship.

Demna is set to present his latest collection at a Milan runway show on Friday, with the designer’s performance seen as crucial to parent company Kering and its CEO, Luca de Meo, as the group works to revive Gucci.

De Meo, who took over last year to lead Kering’s turnaround efforts, initially benefited from a rise in the company’s share price, but those gains have since faded this year.

Gucci, Kering’s flagship brand, has seen its sales halve over the past three years, putting pressure on margins and prompting the group to close dozens of stores.

Drawing on his previous work at Balenciaga, Demna has also introduced a futuristic sneaker called Drip.

Gucci’s website identifies the shoe as “Made in China”, while Reuters observed Drip models carrying the same label at a Gucci store in Paris.

Gucci said in a statement that Italy would “always be at the heart” of its manufacturing model and identity.

However, the fashion house said it had chosen to work with a Chinese manufacturer, noting that it had previously partnered with Swiss and Japanese suppliers to produce items such as watches and eyewear.

“The partner selected offered the technological know-how and capabilities most appropriate for achieving the performance and quality standards we were seeking,” it added.