Versace just announced its revenues fell 13 percent in the first quarter of the year due to the recession and CEO Giancarlo Di Risio may soon leave the company or get fired. He was pissed that Donatella wanted to hire Testino again in the middle of this recession, who charges up to 150,000 dollars or something for a single day's work. I wonder what he feels about Ms. Bundchen's hefty paycheck.
I do not understand why Versace is so adamant about hiring the most expensive model season after season on ad campaigns that no one really seems to care about. The ads are not edgy, ground-breaking and they are obvisusly not working. Testino only works if he delivers the provocative campaigns like D&G Light Blue and Tom Ford Gucci campaigns.
Frankly, all Versace ads are all boring. Donatella tries hard to make the brand come off as sophisticated, but along the way they make the brand look extremely stale. Same is true with Dior. I do not think almost no one here on tfs cares about the business side of things and only care about how pretty Gisele looks, but she is not worth all the money in the means of promoting luxury brands. She sells Stefanel, V's Secret, Max Factor etc. like crazy, but I do not think people who are ready to spend 5,000 dollars on a bag really cares if Gisele is pretending to carry it in some ad or not.
I prefer Prada's approach: showing clothes on a bunch of cheaper models, but displaying a variety in products and garments.