By Mimosa Spencer
PARIS (Reuters) -British fashion designer Kim Jones is stepping down as artistic director for menswear at Christian Dior, the LVMH-owned label said on Friday, signalling a potential shift in its design approach as the brand struggles with slowing sales.
Dior, which has a separate womenswear and couture designer, Maria Grazia Chiuri, did not give a reason for Jones’ departure which comes a week after he held his final menswear show for the label.
Industry speculation about changes in design direction at Dior has been growing in recent weeks as luxury fashion houses face their slowest growth in years, with LVMH’s latest results disappointing investors hoping for stronger signs of a rebound.
The luxury conglomerate, which does not break down sales for its individual labels, said that Dior’s performance was weaker than Louis Vuitton over the final quarter of last year.
“We have seen the Dior brand slowing due to brand fatigue — when there’s a designer change generally it generates more momentum,” said Carole Madjo, analyst with Barclays.
“Brands need renewal”, she added.
Dior said in a statement that it was Jones’ decision to leave the label after seven years in the role. It did not name his successor.
CEO Delphine Arnault has made top management changes at the label in recent months, including the recruitment of Benedetta Petruzzo as managing director. Petruzzo previously ran one of the industry’s fastest growing labels, Prada-owned Miu Miu.
The sector is grappling with its slowest sales in years, with consultancy Bain & Company estimating they fell globally by 2% last year, weighed down by China’s sluggish economy.
Many high-end labels are struggling to reignite interest from consumers squeezed by high inflation and interest rates, after hiking prices extensively over the post-COVID period.
A focus on the wealthiest clients, who are most immune in an inflationary environment, prompted criticism prices may have been raised too far.
Over the fourth quarter, sales of LVMH’s fashion and leather goods division, home to Vuitton and Dior, were down 1%. The division accounts for almost half of LVMH revenue and three-quarters of its recurring profit.
Other top design changes at other labels in recent months include the nomination of Matthieu Blazy as new creative director at Chanel and Glenn Martens at Maison Margiela.
(Reporting by Mimosa Spencer and Tassilo Hummel;Editing by Sudip Kar-Gupta and Emelia Sithole-Matarise)
