On March 13, 2025, the fashion world got a big surprise: Demna Gvasalia, Balenciaga’s creative director, is leaving. And he’s not just leaving—he’s heading straight to Gucci, another major brand owned by Kering.
Demna spent a decade at Balenciaga, where his signature exaggerated streetwear became synonymous with the brand. He never deviated from his vision, starting from the founding of Vetements with his brother Guram. Even in Balenciaga’s couture collections, elements of streetwear were noticeable, from oversized bombers to jeans, which didn’t win over everyone.
At first, people wondered: Is Demna really leaving Balenciaga, or will he manage both brands? The answer came soon enough—he’ll present his final collection for Balenciaga in July during Couture Fashion Week in Paris.
So, Why Move Demna to Gucci?
Especially when Kering’s stock dropped over 11% after the announcement—shareholders clearly weren’t thrilled.
The reason? Pure business. Kering owns big brands like Balenciaga, Alexander McQueen, Bottega Veneta, Saint Laurent, and Brioni, but Gucci brings in two-thirds of the company’s profits. If Gucci performs poorly, the whole group suffers.
Since Alessandro Michele left in 2022, Gucci’s sales have kept dropping. The attempt to recreate Michele’s magic by promoting an “unknown talent” from the design team didn’t work out. Sabato De Sarno, who took over, got a lot of criticism from the fashion world. His collections didn’t do well, and Kering eventually cut ties with him, handing over an 18-million-euro severance package.
Gucci is in trouble right now. After De Sarno couldn’t improve sales, the brand needs a big change. They want someone who can turn things around fast, and Demna seems like the right pick. Before he joined Balenciaga, it was a small name that only serious fashion fans knew. Now it’s super popular (even if it gets made fun of sometimes). Demna hugely increased Balenciaga’s sales, and Kering hopes he can do the same for Gucci.
What’s next for Gucci’s vibe? Gucci doesn’t have a sharply defined DNA, which leaves plenty of room for experimentation. Will Demna bring his bold streetwear flair, or will he surprise us with something totally fresh? We’ll likely find out this fall!
