CARCELLE TAPS BROZZETTI FOR 2ND-IN-COMMAND
Byline: Sarah Raper
PARIS — For nearly a decade, Yves Carcelle has been alone in the cockpit flying one of the world’s largest luxury brands, Louis Vuitton, but on Wednesday he confirmed reports that he was appointing a second-in-command: Gianluca Brozzetti, who is currently managing director of the fragrance division at Bulgari.
Brozzetti, who is widely respected in European industry circles for creating Bulgari’s successful fragrance division and piloting the perfume alliance for Ferragamo and Ungaro, will take over as managing director at Vuitton, a new post, on Dec. 1.
Vuitton is the main cash cow for parent LVMH Moet Hennessy Louis Vuitton — the leather goods company’s operating margins are near 50 percent, the highest in the industry — and financial analysts and competitors credit Carcelle for that success. Naturally, any tinkering with the organization is carefully scrutinized.
“It will be a matter of teamwork at first and Gianluca Brozzetti’s position will expand over time,” said Carcelle in a telephone interview. He noted that he would continue as president of Vuitton in addition to his expanded responsibilities as head of the new fashion and leather goods division at LVMH, which was announced over the summer.
“Typically we favor promotion from inside the group, but I have run Vuitton for nine years — it’s probably the longest charge like that in our group — and this is a case where we thought it could be quite interesting to bring in a new brain to our team,” Carcelle said.
Even though LVMH executives have hinted that they’re interested in eventually doing a Vuitton fragrance, Carcelle said he had hired Brozzetti, 45, for his diverse background and management record, not for his fragrance background.
“I am very impressed by the personality and the vision of Mr. Brozzetti, and I have also been very impressed by him as the man who successfully helped Bulgari diversify,” said Carcelle.
Brozzetti has spent 12 years at Bulgari, first as manager for sales and marketing for the core jewelry and watch business. In 1993, he oversaw the creation of the fragrance division, which quickly garnered attention for its creative products developed in-house and ultra-selective distribution strategy. In 1997, Brozzetti pulled together a joint venture with Ferragamo that brought the new Ferragamo and Ungaro perfumes together with Bulgari. Consolidated sales for that business total $150 million, Brozzetti said.
Brozzetti studied law in Italy and started his career at Procter & Gamble Italy in 1980, where he spent 5 1/2 years in marketing and sales. After a stint with McKenzie & Co. in Italy, he joined Gucci in 1986 as part of a team of managers brought in to shore up the Gucci family, but he left and joined Bulgari a year later.
Brozzetti is married with two young children. He plans to relocate to Paris.
Carcelle said there may be some other shifts as he tweaks the Vuitton organizational lineup and beefs up divisional management. But he added, “I believe in soft moves.”