For nearly three decades, Donatella Versace has been the creative force behind Versace, shaping its bold and glamorous identity. However, in a surprising move, she is stepping down as Chief Creative Officer, sparking speculation about the future of the iconic brand—especially amid reports of a potential acquisition by Prada.
A New Chapter for Versace
The announcement, made by Capri Holdings, Versace’s parent company, has sent shockwaves through the fashion industry. Donatella, who took over after the tragic murder of her brother Gianni Versace in 1997, will now transition into the role of Chief Brand Ambassador. Her influence on the brand has been undeniable, creating some of the most memorable red-carpet looks and maintaining its status as a symbol of luxury and power.
Replacing her is Dario Vitale, a former Design and Image Director at Miu Miu, a brand under the Prada umbrella. His appointment, effective April 1, comes at a crucial time as Versace faces declining revenues and increasing competition in the luxury market.
Prada’s Growing Interest
The timing of Donatella’s departure raises questions about Versace’s future ownership. Prada has reportedly been in talks to acquire Versace from Capri Holdings for nearly €1.5 billion ($1.6 billion). If this deal goes through, it would unite two of Italy’s most prestigious fashion houses, creating a powerhouse in the luxury industry.
Prada is also rumored to be eyeing Jimmy Choo, another Capri brand, in what could be a strategic expansion move. Analysts suggest that a leadership change at Versace could be a step toward making the brand more appealing for acquisition.
Can Vitale Reignite Versace’s Magic?
With Vitale taking the creative helm, fashion insiders are eager to see how he will reshape Versace’s identity. Having spent over a decade at Miu Miu, he is known for a refined and sophisticated design approach—quite different from Versace’s bold, flashy aesthetic.
“Versace and Miu Miu cater to very different audiences,” said Federico Giglio, CEO of Italian fashion retailer Giglio.com. “Miu Miu is about intricate details and elegance, while Versace has always been about sex appeal and confidence. A great designer, however, knows how to balance tradition with innovation.”
Versace’s Financial Struggles
The brand has faced significant financial hurdles, with revenue dropping 6.6% to $1.03 billion in 2024. Projections suggest a further decline to $810 million in 2025, before a potential recovery in 2027. In contrast, competitors like Gucci and Louis Vuitton have maintained stronger market positions.
Donatella’s leadership kept the brand in the spotlight, but changing consumer preferences and economic challenges have impacted its growth. The transition to new leadership and a possible sale to Prada could be a turning point—either revitalizing Versace or marking a significant shift in its legacy.
What’s Next for Versace?
Fashion enthusiasts and industry experts will be watching closely as Vitale takes charge. Will he preserve Versace’s signature audacity, or will he bring a more subdued, Prada-inspired approach? And more importantly, will Prada officially take ownership of the brand, reshaping the Italian fashion landscape?
Only time will tell, but one thing is certain—Versace is entering a new era, and the world is watching.
