Gucci's new 'Made in China' sneaker models break with Italian tradition

Rome [Italy], September 25: Gucci has begun selling new luxury sneaker models labelled "Made in China", a ​break with its Italian manufacturing tradition that some industry watchers say could undermine the brand's high-end image as it races to win back middle-class shoppers.
The move highlights the challenge facing Gucci designer Demna, who must create innovative products while keeping costs under control to attract so-called aspirational shoppers, the bulk of luxury consumers who are more price-sensitive than the super-rich.
Demna will present his latest collection at a Milan runway show on Friday. His success is crucial for parent Kering and CEO Luca de Meo, ​who took over last year to lead a turnaround but has seen an early share price bounce fall flat this year.
Gucci, Kering's flagship ​brand, has seen sales halve over the past three years, squeezing margins and forcing the group to close dozens of ⁠stores.
In a move reminiscent of his tenure at Balenciaga, Demna has created a futuristic sneaker model called Drip. The shoe is labelled as "Made in China", according ​to Gucci's website. Reuters also observed Drip models displayed in a Gucci store in Paris carrying the same label.
Source: Fijian Broadcasting Corporation