Valentino must be wary of becoming Gucci 2.0 as it welcomes Alessandro Michele as creative director

Get ready for Granantino. Fashion house Valentino, 30% owned by Kering SA, has named Alessandro Michele, the former creative director of its flagship brand Gucci, as its new top designer. He replaces Pierpaolo Piccioli who stepped down last week. (Also read | Pregnant Suki Waterhouse looks stunning in open-back red Valentino gown,

The appointment has the potential to replace the label controlled by Qatar’s Mayhoola. It also underscores the growing crossover between the two Italian brands: Michele’s replacement at Gucci, Sabato DeSarno, joined from Valentino. But to make the latest switch work, Kering and Valentino will have to avoid some of the same pitfalls that caused Gucci to go from being popular to being popular.

It’s hard to overestimate Michele’s influence on Gucci. From 2015, she transformed the brand with her “granny chic” designs, which included clashing prints, cat-motif sweaters and pussy-bow blouses. His maximalist aesthetic disrupted prevalent minimalism, ushering in a bold new era in fashion retail with bright colors, embroidery-like details, and reinvented logos.

In doing so, he and former Gucci Chief Executive Marco Bizzarri more than doubled revenues from €4 billion ($4.3 billion) in 2015 to €10.5 billion in 2022, when Michele left.

Valentino is an iconic name with roots in haute couture. In recent years, it’s gone from classic to cutting-edge with hit pieces like its studded shoes, V-logo bags, and vertiginous platform heels. So it’s easy to see Michelle’s style transferring into the home. For example, two years ago, under Piccioli, Valentino launched a show exclusively in bright pink, sparking a frenzy for the color throughout fashion retail. Michele will also reunite with Valentino CEO Jacopo Venturini, who was Gucci’s chief merchandising officer and was also instrumental in the brand’s revival.

There are signs that consumers are starting to tire of quiet luxury, so now might be the right time for something new. And Michele brings in a network of A-list celebrities like Harry Styles, Jared Leto and Lana Del Rey, who will make Valentino more visible. At Gucci, he was also an efficient collaborator, for example with Adidas AG.

But Mehula and Kering, which have an option to buy the remaining shares in Valentino until 2028, should tread carefully.

Although Michelle initially won an army of young fans with her G-logo belt and horsebit loafers, their enthusiasm became out of touch with reality — first amid pandemic concerns and then rising inflation. Kering has now taken a fascinating look at Gucci under De Sarno, though those collections have received a mixed response so far.

Valentino must ensure that Michele’s designs reflect the grandeur of the house and have their own identity, avoiding becoming Gucci 2.0 or “Valentucci”. This is necessary because many consumers, especially in China, are now tired of their prosperity.

Perhaps the biggest risk for Kering is that if Michele gets it right at Valentino, the brand could compete for customers with Gucci. Although Kering will benefit from a turbo-charged Valentino, Gucci is far more important. Last year it accounted for almost half of the group’s sales and 70% of its operating profit; Valentino to have sales of €1.4 billion in 2022. Kering said last week that it expected Gucci sales to fall about 20% in the first quarter.

One option would be to complete the Gucci-Valentino switch and have Piccioli join DiSarno at Gucci. While such a move might raise eyebrows, Miuccia Prada has shown that co-creative directors can work: She’s joined forces with Raf Simons at Prada Spa, breathing new life into the label.

As Michelle demonstrated with her show that sent a set of identical twins down the runway, sometimes it’s good to see double.

(Andrea Felstead is a Bloomberg Opinion columnist covering the consumer goods and retail industry. Previously, she was a reporter for the Financial Times.)