Demna Gvasalia - Designer, Creative Director of Gucci

[PDFSD]

She's the archetype of a pearl-clutching lady.

exactly what Demna likes to do archetype´s cosplay

 

[Lola701]

I don’t know. I find it pathetic when designers do that. I don’t mind them being shady in private situations but nobody wants to be seen as bitter.
Frida did what she did but unfortunately, her contribution to fashion is anecdotique at this point. I would rather have her being concentrated in maybe finding her voice again in fashion rather than reposting those kind of things.

Demna is at Gucci. She won’t change it,

 

[Monsieur Cristobal]

As much as I am very critic with Demna's last years at Balenciaga, that woman sounds so utterly evil that she made me want Demna to succeed at Gucci 🤭

 

[carla56]

I really hate Demna’s Balenciaga (except when he does the archive and the impeccable couture dresses) but at the same time I really can’t wait to see his Gucci! I really hope he’ll do a show in September and not just a lookbook! I think I’m waiting for him more than I’m waiting for Matthieu (and I love Matthieu lol)

 

[HigthaVandah]

I haven't been actively following Demna in lately (he's unavoidable though), so I'm going to start paying attention and try to make an honest attempt at understanding™ his Gucci.

 

[tourbillions]

hope his gucci is not what where all thinking already.. but after ruining balenciaga.... its hard to believe he will come up with anything good.

 

[Creative]

Nicolas. And I’m sure JWA is going to be paid way more than MGC or Kim Jones.

It’s much more about the status of the designer than the position.

I have heard that the Mayhoola people pays well!

You think, Lola? I don’t know…

Nicolas was not at his best when he left Balenciaga, was he? And then, he was coming from quite a small brand at the time, so I think his first paycheck was not that high, idk.

I thought he could be around the 20M, but then, Raf was around the 20M at Calvin Klein… so maybe Nicolas is getting more since it’s the biggest brand of them all.

Tisci was also paid like a super star at Burberry, does anybody know got much Daniel gets now?

48M for Demna… I kind of believe it. I think it makes sense in this new era. I remember they called me several times for positions in which they were paying WAY below the market lol

Jonathan at Dior will also get a huuuuge paycheck. I would love to know how much.

 

[chalayan]

You think, Lola? I don’t know…

Nicolas was not at his best when he left Balenciaga, was he? And then, he was coming from quite a small brand at the time, so I think his first paycheck was not that high, idk.

I thought he could be around the 20M, but then, Raf was around the 20M at Calvin Klein… so maybe Nicolas is getting more since it’s the biggest brand of them all.

Tisci was also paid like a super star at Burberry, does anybody know got much Daniel gets now?

48M for Demna… I kind of believe it. I think it makes sense in this new era. I remember they called me several times for positions in which they were paying WAY below the market lol

Jonathan at Dior will also get a huuuuge paycheck. I would love to know how much.

what on earth are you on about? even karl lagerfeld, at the height of his powers, wasn't being paid anywhere close to 40 million per annum. 20 million for raf at calvin klein? absolute bullsh*t. nowhere near. most creative director positions are within the 2-5 million euro range. demna won't ever see more than 10 mill a year in his lifetime. 48 million is pure nonsense.

 

[Creative]

what on earth are you on about? even karl lagerfeld, at the height of his powers, wasn't being paid anywhere close to 40 million per annum. 20 million for raf at calvin klein? absolute bullsh*t. nowhere near. most creative director positions are within the 2-5 million euro range. demna won't ever see more than 10 mill a year in his lifetime. 48 million is pure nonsense.

Things have changed so much, my dear. A mid managerial position gets around 1M now in some brands. Those are nobodies that could be replaced by whoever.

Fashion is more competitive and difficult than ever. And these brands have the means to pay these amounts.

A footballer is getting paid 200M, art pieces are being sold for 100/200/300M… we live in a crazy world now.

I do not believe Karl was getting paid 10M.
Maybe at the beginning of the century… but in 2019? 10M is peanuts for him.

You know how much the rent of a store is in Milano Montenapoleone? I know a store paying 400M for the annual rent of just ONE store. Or Montaigne? I think people don’t even realize how expensive everything is atm.

You also have just one necklace at Dior getting sold for 2M, just one wedding dress for 1M… I think you don’t realize the escale of the luxury world in 2025.

Also, in Europe 50% of the salary is tax. Imagine Maria Grazia getting 1M clean 🤣 Maybe in another life.

 

[chalayan]

Things have changed so much, my dear. A mid managerial position gets around 1M now in some brands. Those are nobodies that could be replaced by whoever.

Fashion is more competitive and difficult than ever. And these brands have the means to pay these amounts.

A footballer is getting paid 200M, art pieces are being sold for 100/200/300M… we live in a crazy world now.

I do not believe Karl was getting paid 10M.
Maybe at the beginning of the century… but in 2019? 10M is peanuts for him.

You know how much the rent of a store is in Milano Montenapoleone? I know a store paying 400M for the annual rent of just ONE store. Or Montaigne? I think people don’t even realize how expensive everything is atm.

You also have just one necklace at Dior getting sold for 2M, just one wedding dress for 1M… I think you don’t realize the escale of the luxury world in 2025.

Also, in Europe 50% of the salary is tax. Imagine Maria Grazia getting 1M clean 🤣 Maybe in another life.

please stop spreading misinformation. even the CEOs of these companies (and i mean specific brand CEOs, not the CEOs of wider fashion groups/conglomerates) aren't being paid that much. and fashion designers are NOT footballers. that brands might have the means to pay as much as you say does not mean that they actually do.

even chanel, despite being one of the most profitable operations in luxury fashion for at least the last thirty years and making double-digit growth in the last year (where other major luxury brands are floundering), is being notoriously stingy right now (see lauren sherman's newsletter at the time of blazy's appointment where she confirms this).

the rent for boutiques of course cost that much because these are enormous plots of land in some of the most prestigious streets in the world. it would be ridiculous for a 12,000 square foot, 5-story townhouse in the heart of mayfair, on one of the most prized shopping streets in the world, to not cost anywhere upwards of 300 or 400 million. but the salaries of creative directors, who are more than expendable, are a mere drop in the ocean compared to the costs of running and maintaining a boutique in a major city.

i can guarantee that these numbers are total hogwash. 10 million is the ceiling for large brands like louis vuitton, chanel, etc. i expect nicolas is probably the highest-paid creative director working in fashion right now, with a figure just under 10 million. we know that blazy is getting paid somewhere around 4 million as he does not have the resume that karl had to command a higher salary. with bonuses, he might be able to push it to 5 million.

we know that hedi reportedly asked chanel for 40 million and they quite rightly laughed in his face, because that is a ludicrous amount to ask for when the most impressive parts of your resume are dior homme and a six-year stint at celine.

whatever you've been told, i can assure you that you've been misled, or lied to lol

 

[PDFSD]

Luxury companies are stingy with paying creative in general it's not like sports industry or podcasters that make more than the best paid creative director out there etc

some recap on what's out there on KL money to bring more perspective reality:

Karl when he past away in February 2019 at the age of 85, had a net worth of $300 million - All of side jobs , along with his fashion collections, brought him fame and a net worth of €450 million estimate.

He was creative director of Fendi from 1965 until his death and Chanel from 1983 until his death. Lagerfeld had lifetime contracts with both brands. The two contracts reportedly left him with a minimum of $50 million per year in income.estimate

In an interview with Numéro in April 2018, Lagerfeld did not put a number on his fortune, saying: “It’s not like I have 72 billion euros in my current account.

• Choupette (Cat) Reportedly inherited a substantial portion of the fortune, including $1.5 million, according to Yahoo and Us Weekly.
  
  
• Baptiste Giabiconi: Lagerfeld's longtime partner, who received 30% of the estate.
  
  
• Sébastien Jondeau: Received 20% of the estate.
  
  
• Brad Kroenig: Received 20% of the estate.
  
  
• Virginie Viard: Chanel's artistic director, who received a portion of the estate.
  
  
• Other Beneficiaries: Included former models and other associates of Lagerfeld's.

Tax Dispute:

• The French tax authority, DGFIP, claimed Lagerfeld owed a significant amount in taxes. (Glitz paris )
  
  
• The tax authorities placed mortgages on Lagerfeld's assets, including his Paris apartment and other properties, to secure the debt. (Glitz Paris)
  
  
• The heirs were involved in a legal battle with the tax authorities for several years.
  
  
• Eventually, the heirs reached a settlement with the tax authorities and were able to divide the estate in accordance with Lagerfeld's wil
• Quai Voltaire in Paris that was Mr. Lagerfeld’s last residence — sold at auction at the Chamber of Commerce and Industry of Paris on Tuesday for 10 million euros ($10.8 million)
• In 2016 The French newspaper L’Express ran an explosive report that Karl Lagerfeld has been using offshore tax havens to avoid paying French taxes. The story, which quickly made worldwide headlines, claims that the designer owes the French government more than 20 million euros. Lagerfeld is saying, via a spokesperson, that he “had no wish to evade the law,” and that his financial advisors are working on the situation with the authorities.
• All of jobs , along with his fashion collections, brought him fame and a net worth of €450 million . Until his death in February 2019, he earned at least €40 million a year. The fashion designer died in early 2019 at the age of 85.

all in 48M for Demna does not add up at all just by mere fact that compared to the big growth that gucci went through with alessandro he did not make 40 mil per year

Sales for Kering’s top brand have boomed ever since Bizzarri’s appointment, and last year France awarded the 55-year-old Italian with the Legion of Honour.

But this talent comes at a cost.

At the end of 2014, the businessman negotiated with his bosses for a net salary of eight million Euro a year to lead Gucci.

During the first years of this new job, Bizzarri paid just 13 per cent income tax, compared to a 45 per cent rate for high earners in Italy.

That could mean a massive tax saving of around 3.2 million Euro per year.

The Italian brand managed this feat of accounting wizardry by paying Bizzarri through a company in Luxembourg and a residence in Switzerland.

The scheme was in the interests of Kering. The company paid just 0.36 per cent in social security contributions on Bizzarri’s 9.5 million gross salary at Gucci – a small amount of 34,000 Euro. From this only 0.2 per cent was paid in Italy, a tiny figure of 19,000 Euro.

Bizzarri also has a more convenient home in Milan. In 2009, his employers procured him an apartment in the centre of Italy’s financial capital - but very discreetly. On 23 July 2009, an Italian company called BV Servizi, represented by its chairman Marco Bizzarri, signed a four-year contract for a luxury penthouse apartment in Piazza Diaz, central Milan, not far from the Duomo.

The annual cost was 88,500 Euro for the rent, plus 30,000 Euro in expenses, such as cleaning and security. It is hard to live in a better location in Milan. The ‘BV’ in BV Servizi stood for Bottega Veneta, Kering’s luxury bag brand, where Bizzarri was working at the time.

The contract stated that the apartment could not be used as an office, and only as a living space. The real purpose was to provide an apartment for Bizzarri in Milan, indicate later emails. In one of the messages, the suite is referred to as ‘Bizzarro House Milan’. Later in 2015, in a discussion concerning whether Gucci should take over the lease from Bottega Veneta, Bizzarri joked in an email: “Just do not let me end up under a bridge.”

This is revealed in a mail to Bizzarri, which came shortly after the meeting. Kering’s managing director Jean-François Palus, the right-hand man of Pinault, confirmed the offer: “You will see in the attached documents that, given your status as a non-resident in Italy, the salary components give an estimated total remuneration of 8,041 K Euros as net salary.”

That means 8.041 million Euro in the Gucci boss’s pocket.

The residence in Switzerland was not the only trick. Bizzarri had two employment contracts - one with the Italian subsidiary Guccio Gucci, and a second with a letterbox company in Luxembourg, Castera. This ‘shell’ firm in Luxembourg was already set up to employ Bizzarri at his previous Kering job at Bottega Veneta.

“We suggest two employment contracts,” said Pinault's close aide Jean-François Palus. The first was an employee contract with Castera in Luxembourg - worth 5.8 million Euro per year, and the second a director's contract with the Italian company Guccio Gucci at 3.6 million Euro. (Home - The Black Sea)

 

[Creative]

please stop spreading misinformation. even the CEOs of these companies (and i mean specific brand CEOs, not the CEOs of wider fashion groups/conglomerates) aren't being paid that much. and fashion designers are NOT footballers. that brands might have the means to pay as much as you say does not mean that they actually do.

even chanel, despite being one of the most profitable operations in luxury fashion for at least the last thirty years and making double-digit growth in the last year (where other major luxury brands are floundering), is being notoriously stingy right now (see lauren sherman's newsletter at the time of blazy's appointment where she confirms this).

the rent for boutiques of course cost that much because these are enormous plots of land in some of the most prestigious streets in the world. it would be ridiculous for a 12,000 square foot, 5-story townhouse in the heart of mayfair, on one of the most prized shopping streets in the world, to not cost anywhere upwards of 300 or 400 million. but the salaries of creative directors, who are more than expendable, are a mere drop in the ocean compared to the costs of running and maintaining a boutique in a major city.

i can guarantee that these numbers are total hogwash. 10 million is the ceiling for large brands like louis vuitton, chanel, etc. i expect nicolas is probably the highest-paid creative director working in fashion right now, with a figure just under 10 million. we know that blazy is getting paid somewhere around 4 million as he does not have the resume that karl had to command a higher salary. with bonuses, he might be able to push it to 5 million.

we know that hedi reportedly asked chanel for 40 million and they quite rightly laughed in his face, because that is a ludicrous amount to ask for when the most impressive parts of your resume are dior homme and a six-year stint at celine.

whatever you've been told, i can assure you that you've been misled, or lied to lol

If you google, many articles mention the 20M of Raf Simons in 2016, 10 years ago.

In 2016 Dior was not even a top5 brand, for instance, and Gucci was way far away of the huge business it was 3 years ago.

I know someone very close to Tisci that told me he was getting paid more than Raf at CK. It would make total sense.

Being Gucci a top5, it would not surprise me AT ALL that he is getting paid around 40M.

 

[chalayan]

If you google, many articles mention the 20M of Raf Simons in 2016, 10 years ago.

In 2016 Dior was not even a top5 brand, for instance, and Gucci was way far away of the huge business it was 3 years ago.

I know someone very close to Tisci that told me he was getting paid more than Raf at CK. It would make total sense.

Being Gucci a top5, it would not surprise me AT ALL that he is getting paid around 40M.

riccardo tisci at givenchy OR burberry making more than this alleged 20 million??

now i know you're trolling lmfao.

i'd suggest everyone put @Creative on ignore for the sake of our collective sanity.

 

[tatouejeremie]

the CEO of Tesco makes £10M with a turnover of £61B, why go to business school when the real money is in becoming a CD in fashion

 

[Creative]

riccardo tisci at givenchy OR burberry making more than this alleged 20 million??

now i know you're trolling lmfao.

i'd suggest everyone put @Creative on ignore for the sake of our collective sanity.

My god, you know how much Christopher Bailey was paid more than decade ago when fashion was a still a baby? You mention Karl Lagerfeld and Chanel like if it was the peak of something paycheck wise. That’s such a… “S€x in the city” approach.

Christopher Bailey would get from Burberry around 10M€ in total. Riccardo went to Burberry like if he was the Mesias. He even moved in helicopter all the time he was in London…

 

[Lola701]

If you google, many articles mention the 20M of Raf Simons in 2016, 10 years ago.

In 2016 Dior was not even a top5 brand, for instance, and Gucci was way far away of the huge business it was 3 years ago.

I know someone very close to Tisci that told me he was getting paid more than Raf at CK. It would make total sense.

Being Gucci a top5, it would not surprise me AT ALL that he is getting paid around 40M.

It’s likely impossible. Raf in 2012 was not worth 10M.
Remember that they asked MJ to take over Dior and he asked 10M and it was too much.

The status of Riccardo leaving Givenchy to join Burberry, where his ex-CEO was is totally different from Raf coming to Dior from Jil Sander.

Designers don’t have insane contracts. What makes their contracts interesting are advantages but then again, it’s incomparable to others fields.

Riccardo left Givenchy turning the brand over to more than 500M. He got his contract renewed 3 times.

They were not in the same league from that aspect. The same way Jonathan Anderson will make more than MGC now at Dior than her. However, the success of Valentino allowed MCG to make more than she did at Valentino.

However, designers get bonuses. So yes, you can have a 10M contract worth 20M with the advantages and bonuses.

European companies are not like Americans. Even more when it comes to France and Italy.

It’s not so much about the brand than the designer.

 

[oioioi]

Nicolas. And I’m sure JWA is going to be paid way more than MGC or Kim Jones.

It’s much more about the status of the designer than the position.

Completely true regarding status as you say Lola. Jonathan is coming from a hit tenure at Loewe (specifically this last 1-2 years being such a hot brand balancing both critical and commercial success).
I remember in 2012/2013 Alexander Fury said that Balenciaga by Nicolas used to always be the most anticipated show for PFW, that without him there for others to pillage ideas from, it was weaker overall for the industry.

Like for Raf, Calvin Klein didn't really hit the notes the industry was expecting (for me other than the first HC debut, neither did Dior so much), his value post-CK was quite low, now he is making 3-4 million euros as an entire package per year at Prada. Lucky for him they took him off designing Pre-collections (collezioni they call it at Prada), Capsules, commercial strategy projects after his 1st collezioni because allegedly, he was very uncomfortable, unable to work on them. So, a 76 year old Miuccia and 79 year old Bertelli is still doing all of them (on top of Miu Miu..).

 

[Lola701]

You think, Lola? I don’t know…

Nicolas was not at his best when he left Balenciaga, was he? And then, he was coming from quite a small brand at the time, so I think his first paycheck was not that high, idk.

I thought he could be around the 20M, but then, Raf was around the 20M at Calvin Klein… so maybe Nicolas is getting more since it’s the biggest brand of them all.

Tisci was also paid like a super star at Burberry, does anybody know got much Daniel gets now?

48M for Demna… I kind of believe it. I think it makes sense in this new era. I remember they called me several times for positions in which they were paying WAY below the market lol

Jonathan at Dior will also get a huuuuge paycheck. I would love to know how much.

Nicolas owned 10% of Balenciaga. And he had his salary as a CD. Yes on his first contract under Bogart, he probably earned enough for a young designer at the time but from the moment the brand was bought by the Gucci Group and he renewed his contract many times, he was getting already rich. I suspect he was getting around maybe 3,5M when he left Balenciaga. And he received 32M from his 10%.

Nicolas was frustrated by his decisions and his creative process not being respected by the group, not his money.

Nicolas leaving Balenciaga could have already asked for the same salary as MJ at Vuitton. And I believe Nicolas has his own company too.

Salaries are very different in the US.
That’s probably why they don’t hire stars designers anyway.

Nicolas could get 10M annually fixed. But with bonuses and advantages, his salary could actually be more like 20 or more. Louis Vuitton became a 20Billion brand under his creative direction with womenswear leading and driving the sales.

Raf maybe got 20M at Calvin but it ended quick and it surely decreased when he went to Prada.

 

[yslforever]

Non comparable; in some sectors CEOs are paid less than some heads of department or CEOs of crucial subsidiaries. It happens all the time in banking for instance.

 

[yslforever]

Nicolas owned 10% of Balenciaga. And he had his salary as a CD. Yes on his first contract under Bogart, he probably earned enough for a young designer at the time but from the moment the brand was bought by the Gucci Group and he renewed his contract many times, he was getting already rich. I suspect he was getting around maybe 3,5M when he left Balenciaga. And he received 32M from his 10%.

Nicolas was frustrated by his decisions and his creative process not being respected by the group, not his money.

Nicolas leaving Balenciaga could have already asked for the same salary as MJ at Vuitton. And I believe Nicolas has his own company too.

Salaries are very different in the US.
That’s probably why they don’t hire stars designers anyway.

Nicolas could get 10M annually fixed. But with bonuses and advantages, his salary could actually be more like 20 or more. Louis Vuitton became a 20Billion brand under his creative direction with womenswear leading and driving the sales.

Raf maybe got 20M at Calvin but it ended quick and it surely decreased when he went to Prada.

Nicolas was also offered a retainer by Chanel, to sit, wait, and be available for Karl’s retirement. So LV offered him the opportunity to continue to work and probably more money than Chanel.
So Nicolas being at a flat 10/12 millions plus bonus on his creations’ revenue, so 20/24 millions a year, would not surprise me at all.
And I suspect the head of accessories and leather good might be paid higher.