Versace Tries to Stave off Recession Cut Backs
Monday, August 31st, 2009The Versace empire with its lines of luxury goods, fragrances, apparel, and accessories is now having to deal with the decline in the fashion and luxury goods markets. The iconic brand with its extravagance, glamour, and a huge celebrity following, now has to cope with sluggish sales and an economic recession.
Versace is a cutting-edge fashion brand with various different lines of apparel, luxury goods, Versace eyeglasses, and accessories. The Italian company was launched by the late Gianni Versace and is now by Gianni’s siblings Donatella and Santo. Although Donatella is the primary designer and is considered the face of the brand, she only owns 20 percent of the company.
Now that the revenue for luxury goods is down, Versace is being pressured to rethink its business strategy. We all feel the economic downswing in our paychecks and our wallets so slashing prices would be one of the first things to consider. Nowadays, even the mega-wealthy are scaling back on the shows of excess and consumption. Taking a cue from this, Donatella may want to tone down the designs for the apparel collections. And finally, the accessories are a big hit and could ultimately save the company. With the economy in mind, we can justify a pair of Versace eyeglasses from Eyeglasses.com before we could explain paying retail for a new Versace cocktail dress. Not to mention, those glasses can be worn everyday for years, while the cocktail dress is good for a few spins on the dance floor. Luxury accessories give us the same luxe feeling without the enormous price tag. These accessories could be just what we (and Versace) need to get through this recession.