With its creative vision that combines audacity and authenticity, Kering's ambition is to be the world's most influential luxury group in terms of creativity, innovation, sustainable development and economic performance.
Embracing creativity for a modern, bold vision of Luxury
As mega trends emerge, our world evolves: cultures collide, disruptive technology appears and a younger generation of “always-on” consumers arrives on the scene. This new generation is changing the rules by bringing new expectations and desires to the market. They are continually searching for meaning and for a way to stand out and be seen – and their behavior influences people of all ages.
Kering’s singular vision of Luxury enables every individual to express what makes him or her unique. It promises more than a rich tradition and a superior level of craftsmanship; it also produces original and bold content. Kering’s vision of Luxury both arouses emotion and empowers imagination. With creativity at the heart of everything it does, the Group daringly strides toward its ultimate ambition: to be the world’s most influential Luxury group in terms of creativity, sustainability and economic performance.
A focus on Luxury
In 2008, Luxury represented a mere 17% of its revenue; today the Group is solely dedicated to the Luxury market. This transformation has been years in the making, and Kering is now in a position where it can focus its attention and resources on its Houses to support their development and further strengthen their value-creating capacity.
A focus on growth
Kering has developed a powerful, integrated business model whose combination of agility, balance and responsibility has spurred the rapid growth of its Houses. The Group pools and coordinates all functions that can be shared among its Houses, freeing up precious time to focus on the essentials: creation, crafting a genuine and inspiring story, the development and renewal of collections, customer relations and excellent execution at every step. Giving its Houses the space they need to thrive has led to extraordinary successes and has helped the Group become one of the foremost players in the luxury market.
A focus on expertise
Outperforming the market stems not only from the potential of each House, but also from the Group’s integrated business model. While its Houses maintain their distinctive positioning and unique blend of emotions and creations, they play complementary roles in a coherent ensemble. By pooling resources and streamlining
certain strategic functions — logistics, property, information systems and media buying, for example — the resulting best practices developed and shared across the group benefit all. The Group also carefully curates a mix of mature and emerging brands — each with a variety of customers, products and locations — yet another strength of its business model.
In recent years, the Group has also added vertical integration to its business model, investing heavily in capabilities that can be tapped into across the Group, with Kering Eyewear being the best example today. Kering develops its own expertise in an accessories category that is paramount to the image and strategy of its Houses. Likewise, the Group invested in strategic acquisitions of tanneries to supply its Houses with the highest quality raw materials and rare know-how.
A focus on the people within
In a Group where imagination and creative thinking are vital, giving employees the chance to grow and realize their full potential is crucial at Kering. Through its bold human resources policy, the Group pays particular attention to the professional development and satisfaction of the women and men working in its Houses and headquarters. With diversity, equality and ever-greater mobility as pillars, Kering’s human resources framework gives employees the tools and support they need to advance and express their creativity. In fact, many of the House CEOs were promoted from within the Group and many employees move from one House to another, building on their strengths and creating a strong Group culture that extends beyond individual brands.
A focus on sustainability
It is no longer possible to conceive of Luxury as anything but sustainable and perceptive of the society and the environment to which it is committed in the long term. More than ever before, Kering cares about its impact on the planet, on climate change and natural resources; it collaborates for the good of its employees, suppliers and clients; and it creates pioneering ideas to safeguard its rich heritage and empower future generations. The Group’s three-pillar sustainability roadmap, Strategy 2025, will drive the Group’s role and responsibility in crafting tomorrow’s Luxury.