Chanel: Transitions, Risks & the Role of the Creative Director

Image: Unsplash

Chanel: Transitions, Risks & the Role of the Creative Director

For several months, Chanel, one of the most iconic luxury houses, has found itself at a crossroads. Following the death of Karl Lagerfeld in 2019, Virginie Viard, his long-time right hand, stepped into the role of creative director. However, Viard announced her departure for ...

December 17, 2024 - By Delphine Dion

Chanel: Transitions, Risks & the Role of the Creative Director

Image : Unsplash

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Chanel: Transitions, Risks & the Role of the Creative Director

For several months, Chanel, one of the most iconic luxury houses, has found itself at a crossroads. Following the death of Karl Lagerfeld in 2019, Virginie Viard, his long-time right hand, stepped into the role of creative director. However, Viard announced her departure for June 2024, signaling a pivotal moment for Chanel as the search begins for a new artistic leader. The next creative director faces high expectations: to usher in a new chapter for Chanel, redefining its aesthetic while honoring its storied heritage.

The challenge is monumental. Karl Lagerfeld, who led Chanel’s artistic vision for over three decades, left an indelible mark on the fashion world. Known for his signature ponytail and witty (and sometimes, controversial) remarks, Lagerfeld masterfully balanced the privately-owned house’s legacy – shaped by founder Coco Chanel – with his own visionary creativity. His impact was so profound that imagining Chanel without him seemed almost impossible.

Brands as dynasties

Understanding the stakes of a successful leadership transition requires viewing a fashion house as akin to a dynasty. Much like monarchies where successive rulers embody power in their unique ways, artistic directors at fashion houses reinterpret a brand’s legacy while making it their own. Since Christian Dior’s death in 1957, for example, six creative directors – from Yves Saint Laurent, Marc Bohan, Gianfranco Ferre to John Galliano, Raf Simons, and Maria Grazia Chiuri – have each left their imprint on Dior’s identity.

When a new artistic director joins a house, they delve into its heritage: the founder’s vision, iconic designs, symbols, and associated locations. They decide which elements to emphasize and reinterpret, sometimes reviving lesser-known aspects to refresh the brand’s image. Lagerfeld excelled at this for Chanel, building its legacy around materials such as tweed and quilted leather, black and white colors, and source-indicating symbols, such as the camellia and double C logo. Over 25 years, he continuously reimagined these codes while introducing new ones, such as the lion, an homage to Coco Chanel’s zodiac sign, which became a jewelry icon.

The fragility of transitions

Leadership transitions are notoriously tricky for fashion houses. The departure of a creative director can be devastating. Lanvin, for instance, never recovered after Alber Elbaz – once dubbed the darling of fashion – left the brand. A revolving door of successors failed to reignite the magic he brought. Similarly, Gucci’s sales plummeted after Alessandro Michele’s departure.

On the other hand, a new director can breathe fresh life into a brand. Hedi Slimane’s tenures at Saint Laurent and later Celine brought both creative reinvention and soaring revenue. His work revitalized the brands, satisfying customers, the press, and shareholders alike. This underscores the critical nature of selecting the right successor – a decision fraught with strategic implications.

The risk of stagnation & the perils of breaking away

Some directors lean heavily on a brand’s legacy to reinforce its identity. Virginie Viard, for example, drew extensively from Chanel’s heritage, incorporating iconic elements like tweed, two-tone ballet flats, and floral chiffon. However, this approach can risk “mummifying” the brand, where collections become repetitive and lack innovation, leading to audience fatigue. Chanel’s recent years have shown signs of this stagnation. Viard’s exit marks the end of a cycle and a pressing need to redefine Chanel’s creative vision.

The danger of clinging too tightly to the past lies in missing market trends. Fashion has evolved with the rise of athleisure – a blend of sportswear and everyday clothing – sustainable fashion, understated luxury, and the influence of new designers. Some creative directors tend to distance themselves from a brand’s heritage. While this approach can bring fresh energy, it risks destabilizing the brand’s legacy if taken too far – a potential flashpoint for backlash. For instance, when Hedi Slimane joined Yves Saint Laurent, he rebranded the house’s ready-to-wear collection by dropping “Yves” from the name, sparking a wave of criticism from loyal fans on social media and getting the ball rolling on a branding trend that would come to be known as blanding.

Slimane further broke from the brand’s heritage by introducing a highly personal aesthetic that diverged sharply from its history. He employed a similar strategy at Céline, revitalizing sales for both labels with his distinct vision. However, this approach often complicates the task for his successors, who struggle to establish aesthetic continuity. Successive shifts in style can confuse the market and erode the brand’s identity and legacy.

The success of a new artistic director also depends on how cultural intermediaries – journalists, influencers, and celebrities – perceive their work. Fashion houses strive to secure endorsement from these tastemakers by showcasing the director’s creativity and decoding their vision for the public.

A crucial turning point for Chanel

Chanel now faces a defining moment: the need to reinvent itself with caution and creativity. While respecting its heritage remains paramount, bold decisions may be necessary to ensure Chanel retains its place among the great fashion houses. This delicate transition offers an opportunity for the brand to write a new chapter, one that remains faithful to its past while embracing the challenges of the future. The choice of Chanel’s next artistic leader will not only shape the house’s trajectory but also influence the broader fashion industry, which is watching this transition with keen interest.


Delphine Dion is a Professor in Consumption and Market dynamics at ESSEC Business School.

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