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K-pop star Dahyun joins as Michael Kors global ambassador. Will it boost owner Capri Holdings’ revenue?

August 1, 2023
in Entertainment
K-pop star Dahyun joins as Michael Kors global ambassador. Will it boost owner Capri Holdings’ revenue?
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What Happened: Michael Kors last week formally introduced K-pop girl band Twice’s Dahyun as its newest global ambassador, strengthening an established relationship. The star, who has previously collaborated with the American brand, now ascends to a more pivotal role as a global face of the fashion giant. Her elevated presence was felt in the recent Michael Kors Spring/Summer and Fall/Winter 2023 runway shows at New York Fashion Week.

Dahyun, who boasts 9.3 million followers on Instagram, features in Michael Kors’ new Autumn/Holiday 2023 campaign and will also be front and center in the forthcoming Spring/Summer campaign, with more social media collaborations planned for the rest of the year. 

The Jing Take: Micheal Kors has enjoyed widespread popularity globally and in China over the past few years. The brand has launched large-scale activations in China, such as its Sanya Jetset extravaganza, and in the same month announced actress Shu Qi as a global ambassador. The latest signing of Dahyun seeks to further amplify its Asian presence as well as tap into K-pop’s huge global influence among Gen Z. 

Actress Shu Qi at Michael Kors’ Sanya Jetset extravaganza. Photo: Michael Kors

However, the brand only achieved mid-single-digit year on year global revenue growth in fiscal 2023, the latest earnings report by owner Capri Holdings revealed. Furthermore, Capri posted a 10.5 percent year-on-year revenue decrease in fiscal 2023, despite achieving record revenue contributions from Versace and Jimmy Choo, with both houses generating double-digit revenue growth. 

Luxury goods stocks, led by Richemont, have tumbled due to concerns about weakening demand in the US, one of the industry’s largest markets. During the three-month period to June, Richemont unexpectedly posted a revenue drop in the Americas, and its stock price suffered its biggest intraday decline (10 percent) in over a year, while sales in Asia increased. LVMH and Hermès’ share prices also fell significantly, highlighting growing uncertainty in the luxury sector. 

China’s uneven economic post-pandemic recovery is raising concerns about reduced consumer spending. But Capri Holdings has been doubling down on the China market with executive visits to the country in March this year. Despite the group’s recent lackluster financial performance, the strong performance of its luxury labels Versace and Jimmy Choo offers hope, and Michael Kors’ aggressive and ambitious activations in Asia may bolster the company’s ability to generate growth across its higher-end brands. 

The Jing Take reports on a piece of the leading news and presents our editorial team’s analysis of the key implications for the luxury industry. In the recurring column, we analyze everything from product drops and mergers to heated debate sprouting on Chinese social media.

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : JingDaily – https://jingdaily.com/dahyun-michael-kors-capri-holdings-performance/

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