Salvatore Ferragamo’s revenues rose 2.3 per cent in 2019. Footwear sales increased 3.8 per cent and those of handbags and leather accessories by 3.7 per cent. Fragrance sales were down by 6.7 per cent. Asia-Pacific is the Italian luxury label’s main market, accounting for 37.1 per cent of sales, which rose by 1.1 per cent in the course of the year, with a notable 13.8 per cent increase in China. The region’s performance was however negatively affected in the fourth quarter by the troubled political situation in Hong Kong, where retail sales for Ferragamo fell by over 50 per cent, having already slipped by 45 per cent in the third quarter. Revenue instead rose by 7.1 per cent in Central and South America, by 5.3 per cent in Europe and by 0.7 per cent in North America.

Ferragamo has been suffering from brand positioning issues in recent years, and its revenue lost 3.4 per cent in 2018, with net income down 21.1 per cent, after experiencing difficulties in 2017 too. To get back on track, the label has embarked on an in-depth organisational overhaul, trying to strengthen its position in the product categories where it was weaker, while consolidating its footwear business.