YSL’s Record-Breaking Performance Last Quarter: Is an Idol the Key Contributor?

The influence of social media stars may now be large enough to shift the fortunes of an entire brand.

Kering Group’s results for last year have been released, with its core brand Gucci in the spotlight. However, the outstanding performance of YSL, Kering’s second-largest brand, has been largely overlooked.

According to Fashion Business News, Yves Saint Laurent saw a significant 44.5% rise in annual revenue to €2.521 billion, setting a new record. Operating profit surged 28.3% to €715 million. YSL’s 44.5% increase surpassed Gucci’s 30.8% and Bottega Veneta’s 24.2%, making it the fastest-growing independent brand in Kering’s portfolio last year. Meanwhile, Kering’s other brands, driven by Balenciaga, also posted a remarkable 43% growth, though still slightly behind YSL’s gains.

In the fourth quarter alone, YSL’s revenue skyrocketed 46.8% to €822 million, outperforming Gucci’s 35% and Bottega Veneta’s 13.7%.

Compared to 2019, YSL’s revenue saw an 18.7% increase last year, while Gucci only just managed to reach its pre-pandemic sales levels. Interestingly, despite Bottega Veneta receiving heavy attention from social media influencers in recent years, YSL, which has remained relatively low-key, has shown even stronger growth momentum.

Kering attributes YSL’s rapid growth to a strategy of streamlining third-party distribution channels. Wholesale revenues were up 23% from 2020 and 6% from 2019, while sales in directly operated stores grew by 55%, up 35% compared to 2019. In the fourth quarter, the increase compared to 2019 reached 61%.

Although these impressive numbers can be partly attributed to a lower base in 2020, it’s clear that attributing the rapid growth solely to distribution strategy adjustments isn’t entirely convincing.

YSL’s performance in terms of both quarter and full-year growth exceeded that of Gucci and Bottega Veneta, which enjoy more buzz among younger demographics. When compared to Balenciaga, another of Kering’s top-performing brands, YSL’s social media presence is significantly smaller, despite both brands seeing over 40% growth. In the latest Lyst Q4 rankings, Balenciaga surpassed Gucci to become the most popular luxury brand.

Behind YSL’s explosive growth, there must be an underestimated driving force.

Over the past two years, there hasn’t been a noticeable change in YSL’s creative direction. The brand has, however, emphasized its classic symbols while creating several hit bags aligned with market trends. These include the Le 5 à 7 bag, which followed the underarm bag trend, the Le Manhattan, Monogram, and classic Nikki bags.

Although YSL’s success in leather goods and accessories has contributed to business growth, it hasn’t resulted in a significant brand-wide shift that would have triggered industry-wide attention.

In contrast to the heated debates around other celebrity designers, YSL’s current creative director, Anthony Vaccarello, has generated far less controversy. After Hedi Slimane’s departure, Vaccarello has continued the style established during Slimane’s tenure, without initiating a new round of reforms.

This decision led to some awkwardness, especially after Slimane’s transformation of Celine in 2018. In the early years of Slimane’s Celine era, both brands seemed to share similar stylistic elements.

It wasn’t until 2020, when Slimane’s Celine underwent a drastic transformation towards a more youthful and trendy direction, that YSL managed to maintain its unique style. Additionally, the brand has quietly reverted to using Yves Saint Laurent’s name, moving away from the earlier “Saint Laurent Paris.”

Overall, the brand has not undergone significant changes over the past two years. Its methodical approach can hardly account for the explosive growth seen recently, leading to the consideration of other, often overlooked, influences.

Looking at social media trends, YSL’s rise may be closely linked to the involvement of Blackpink’s Rosé, one of the hottest young idols.

Since 2019 and 2020, when Rosé frequently attended YSL fashion shows, she established a strong relationship with the brand. In 2020, Rosé appeared in YSL’s denim collection under Vaccarello’s design, attracting widespread media attention.

In June 2020, YSL announced Rosé as the brand’s global ambassador with a video of her wearing their 2020 Fall/Winter collection, which went viral with over 800,000 likes.

Shortly after, YSL launched an ad campaign with Rosé holding the Solferino 32 bag, featured prominently in fashion magazines, which helped drive bag sales and solidified the deeper collaboration between Rosé and YSL.

Following this, Rosé regularly wore YSL at events, on street style shoots, and in music videos, further boosting the brand’s visibility. In September 2021, Rosé attended the Met Gala, invited by YSL and Vaccarello, becoming one of the few Korean idols to grace the prestigious red carpet.

Rosé’s frequent appearances in full YSL looks have made her a central figure in the brand’s marketing. Unlike traditional luxury brand ambassadors, Rosé’s global influence has actively helped YSL sell products, which has become an irresistible allure for the brand.

On Chinese shopping-sharing platform Xiaohongshu, there are over 6,500 posts related to “YSL Rosé,” showing the influence Rosé has had in driving YSL product purchases. Many consumers, who may be purchasing YSL for the first time, reflect the strong purchasing demand among young people and the powerful influence of the ambassador.

The new season’s metallic Blade heels have also been trending as “Rosé’s style,” becoming a hot item on Xiaohongshu. Given Rosé’s numerous appearances in YSL’s signature pieces, her role in creating these hit products is inextricable.

While some may argue that celebrity endorsements have a ceiling, for global superstars like Rosé and Lisa, their influence goes beyond simply amplifying a brand’s voice; they play a pivotal role in driving the brand’s commercial success, a point that has become undeniable for luxury brands.

Lisa, another Blackpink member, played a major role in Celine’s turnaround. In 2020, she was appointed as the global brand ambassador, quickly becoming a leading figure in the brand’s shift to appeal to a younger, TikTok-savvy generation. Subsequently, Celine experienced rapid growth and became one of the most beloved luxury brands among younger consumers.

The commercial power of global superstars like Rosé and Lisa cannot be understated, with the ability to dramatically reshape a brand’s performance and market presence. As these idols continue to shape the fashion industry, the influence of social media and entertainment stars on luxury brands will only grow, signaling a shift that the fashion industry must take seriously.