Armani Turns to Boston Consulting Group for Its New Growth Strategy

This decision comes as the company navigates a crucial phase. The first financial results released following the founder’s death revealed a slowdown in sales amid a struggling luxury market. In 2025, revenue totaled approximately 2.2 billion euros, down 2.8% (at constant exchange rates) compared to 2024. Total business volume, including sales from licensed operations, reached 4 billion euros.

While fashion remains the group’s historic core, it is precisely the licensed operations that now constitute one of the main economic drivers of the fashion house founded by “Re Giorgio.” The beauty licenses, managed by L’Oréal, and the eyewear licenses, developed with EssilorLuxottica, generate particularly profitable revenue thanks to the royalties paid to Armani. Conversely, direct operations, such as ready-to-wear sales, are feeling the pressures affecting the entire luxury sector more acutely.

It is in this context that the decision to engage the Boston Consulting Group makes perfect sense. The firm is tasked with assessing the categories in which Armani still has significant potential for value creation. Leather goods emerge as a priority: unlike several major luxury players, the house has never built a global narrative around an iconic bag capable of generating margins comparable to those of industry leaders. The hospitality sector, through the Armani Hotels brand, is also a key area of development. Already well-established with properties in Dubai and Milan, it could become a driver of expansion for the Armani lifestyle brand in a market where experiential luxury is growing in importance.

This strategic thinking goes beyond a mere desire for diversification. The will of designer Giorgio Armani provides for the gradual sale of an initial 15% stake. This provision paves the way for the entry of a partner from among luxury giants such as LVMH, L’Oréal, or EssilorLuxottica. Highlighting the potential of the group’s business portfolio thus appears to be a major strategic lever for increasing its value, while respecting the creative independence envisioned by its founder.