French luxury conglomerate Kering is shaking up its executive ranks again.
A month after naming Stefano Cantino chief executive of its flagship Gucci brand, the group has promoted Balenciaga chief Cédric Charbit to Iead Saint Laurent, its second-biggest label.
The moves will allow Francesca Bellettini, Saint Laurent’s CEO since 2013, to be “entirely dedicated” to her role as Kering’s deputy CEO of brand development, steering designers and brand-level chief executives across the portfolio, the group said in a statement Monday.
Kering, which has been pummelled by a wider slowdown in demand for luxury goods, has seen its shares plunge by more than 40 percent since the start of 2024. Last month, it issued its third profit warning this year as third-quarter sales fell 16 percent, missing already-low analyst expectations.
Gianfranco Gianangeli will replace Charbit at the helm of Balenciaga. The executive joined Kering last year as chief commercial officer at Saint Laurent, following three years as CEO of Margiela.
Charbit has led Balenciaga since 2016, overseeing the brand through a period of rapid, streetwear-driven expansion; a deft image rebalancing; and a public relations scandal that damaged sales in the key US market and beyond.
His appointment at Saint Laurent — a return to the label where he was previously executive vice president of product and marketing — will come with fresh challenges. Saint Laurent, long a bright spot in Kering’s portfolio, has been cooling off, with sales falling 12 percent last quarter.
Since Bellettini was promoted to deputy CEO last year, analysts have raised questions over whether she would still have bandwidth to steer Saint Laurent through a rocky luxury market.
The label has been lauded for designer Anthony Vaccarello’s cinematic point-of-view on Parisian style and Bellettini’s slick, ultra-consistent execution. But declining interest in its family of quilted leather bags has left a major gap in its business, exacerbated by rising prices and a slower market.Gianangeli will also have his hands full in his new role. Kering’s Other Houses unit, which comprises Balenciaga, McQueen and Boucheron, reported sales down 14 percent last quarter.
Balenciaga has been hard-hit by slowing demand from aspirational shoppers, who previously drove sales of its hit sneakers and baseball caps. And yet Charbit has worked with creative director Demna to build a loyal following for its relaunched couture offer among the kind of top-spending clients Kering plans to prioritize across its brands, a track record he could leverage at Saint Laurent.
