Chairman of Ferragamo Says They "Must Stay Independent To Survive"
Salvatore Ferragamo SpA isn’t looking to sell, but it is considering bringing in investors for the first time since 2001. That’s according to Leonardo Ferragamo, the last surviving member of the family who still holds full control of the luxury shoemaker following a recent visit to Hong Kong.
“What is important for us is to maintain coherence behind the brand,” he said, detailing that the house is currently focused on appointing a new CEO after sacking Marco Gobetti earlier this year. “There will be a new management, there will be a new team, a new creative team — everything needs to blend together.” That teamwork is part of a broader effort to evolve the identity of the brand over the last three years, which includes the group’s recent strategy of focusing on shoes, handbags, and ready-to-wear.
“We have to reinterpret our values in a contemporary way,” he said. “There are many things that we have not exploited enough—like travel retail, for example.” Ferragamo’s sales were down in the fourth quarter of 2024, with a 7 percent year-on-year drop in revenue.
Still, the group’s strategy of increasing prices this year and doubling marketing spend over the next five years is designed to reverse that trend. “The market is not easy at the moment,” Ferragamo said. “There are many luxury brands and they are all shooting at the same people.” You can view a Ferragamo stock quote here. That difficulty is compounded by Ferragamo’s insistence on maintaining its status as an independent brand in a market dominated by larger groups, big conglomerates, and their private equity backers.
“It’s not easy to be independent,” Ferragamo said. “You need to be strong enough to be quite autonomous.” He added that Italy’s high taxes make it particularly difficult for luxury companies based in the country to compete. “The luxury market in Italy is very strong,” Ferragamo said. “Made in Italy is very much appreciated in the world. We should exploit this even more.”
The Ferragamo family established their eponymous business in Florence in 1927 and led it through its growth in the 80s and 90s, before selling a majority stake to Britain’s Phillips successor companies in 2001. The family’s remaining 30 percent meant it retained control and its members have since held senior management roles. You can read more about the Ferragamo brand in Vogue business.
That history of control means Ferragamo is ideally suited to welcoming outside investors for the first time, Ferragamo said. “We have excellent people within our family that can attract excellent other talents that can blend with the family.” Ultimately, Ferragamo’s aim is to develop the brand to its full potential. “The values and the tradition are there,” he said. “We need to exploit this tradition to the maximum.
