We've been studying the luxury landscape and are fascinated by the valuation of Capri Holdings. We're trying to determine the quality of the business and whether it deserves that valuation or not. Versace is a significant part of Capri Holdings and represents the most clear luxury portion of the company. When thinking about Versace as a brand, where does it fit in terms of the continuum of timeless products? On one hand, there are brands like Hermès, and on the other end, there are brands that take a lot of fashion risks every year. Where would Versace fit in this spectrum?

I wouldn't consider Versace a timeless fashion house like Hermès or Chanel.

We've been studying the luxury landscape and are fascinated by the valuation of Capri Holdings. We're trying to determine the quality of the business and whether it deserves that valuation or not. Versace is a significant part of Capri Holdings and represents the most clear luxury portion of the company. When thinking about Versace as a brand, where does it fit in terms of the continuum of timeless products? On one hand, there are brands like Hermès, and on the other end, there are brands that take a lot of fashion risks every year. Where would Versace fit in this spectrum?

Pre-Capri, the creative direction was more iconic and recognizable for their colors and prints. Post-Capri, you start seeing a change towards more solid colors, more bland, more black. The latest collection, for example, is not a typical Versace collection. It's simple and black, with only a few touches of gold and Greca. This change is due to the influence of Capri and John Idol, who has expressed the desire to have a line for everyone, not just for Versace lovers. Personally, I think it's a mistake, and the numbers support this idea that it is a mistake. Versace, in the United States and Europe, is not acquiring new customers as expected because of the new collection, but they are losing customers who used to buy Versace for its iconic style.

We've been studying the luxury landscape and are fascinated by the valuation of Capri Holdings. We're trying to determine the quality of the business and whether it deserves that valuation or not. Versace is a significant part of Capri Holdings and represents the most clear luxury portion of the company. When thinking about Versace as a brand, where does it fit in terms of the continuum of timeless products? On one hand, there are brands like Hermès, and on the other end, there are brands that take a lot of fashion risks every year. Where would Versace fit in this spectrum?

In terms of being timeless, Versace became more commercial, but that doesn't necessarily make them more sellable. They are recognized for what Gianni and Donatella Versace created over the past 20 years. Changing their DNA carries a massive risk, and that's what's happening now.