Kering Potential Canary in the Coalmine as Shares Drop by 9.3%

We have been waxing lyrical for some time about the possibility of a decline in luxury goods consumption and growth.  Something difficult to advocate for given the constant success of Hermes.  Yet Hermes is an outlier, and the Kering Group, parent of Gucci amongst many others, is showing things might be less rosy than they want you to think.

The fire comes from the fact that following Gucci reporting a slump in earnings, the conglomerate has seen a 9.3%.  This is a significant drop, and it’s our sense that, as the title suggests, we are witnessing the beginning of a downward spiral of the luxury industry.

We’ve been wrong before, but the multitude of competing global factors lend us to say were more likely right.  Time will however, as with all things, tell.