After Jennifer Lopez wore that head-turning, low-cut green dress at the 42nd Grammy Awards in 2000, everyone was talking about Versace. That dress embodied the brand in a way that made people take notice. And while the fashion house became more well-known due to that publicity stunt, many still asked, “Is Versace a luxury brand?”
They wondered if this introduction to the masses would impact the overall role of the brand in the high-end market and if it could hold onto its position as one of the top luxury brands in the world.
Is Versace a Luxury Brand?
A luxury brand will have specific characteristics that will allow you to identify it as such. The key factor of a luxury fashion brand is exclusivity.
Exclusivity is about supply and demand. It has to be something that not everyone can buy, and while high prices usually will weed out a significant portion of the market, it is exclusivity that ensures they can’t get the products.
Luxury brands do this by limiting the supply. They do not strive to serve everyone. They have a specific target market and will make products to cater to them.
A trademark of a luxury brand is it has a niche market of high-end customers, such as celebrities, royalty, and socialites.
In addition to exclusivity, these brands often have a strong heritage and sophisticated image. They will base their company on fine craftsmanship and only use the best materials.
The designs, while they can be edgy, will also have a timeless feel to them. Most of these companies are also socially and environmentally conscious so as not to offend their customer base.
When asking, is Versace a luxurious brand, it ticks off all the boxes quite well. The fashion house offers something unique and scarce to a carefully cultivated segment of consumers.
Versace from the 1970s to Today: Rallying from Tragedy
Versace is a fashion brand that began in 1978. Gianni Versace launched the brand in Milan with the help of his brother, Santo, and sister Donatella.
He learned design from his mother who has her own dressmaking operations. The young Versace soon dreamt of creating is own fashion house. But it wasn’t until 1989 that the fashion house introduced its first couture Versace collection, which made a big splash in the fashion industry.
Celebrities, from Madonna to Princess Diana, have worn Versace in various settings. The brand also produces home goods and perfumes in addition to clothing, shoes, and accessories.
Known for using unique materials in its dresses and the signature Medusa head emblem, Versace hit a low point in 1997 when founder Gianni tragically died.
A 27-year-old on a murder spree shot the fashion designer outside his home. His funeral was a who’s who of the rich and famous.
After Gianni’s death, Donatella Versace took over creative control of the fashion house. The company now has 200 boutiques and 1500 wholesalers globally.
In 2018, the brand sold to Michael Kors Limited, and in 2019, the Versace owner became the luxury group Capri Holdings Limited.
It Isn’t Easy to Get Your Hands on a Versace
If you ask, “Is Versace a luxury brand,” your answer lies in the exclusivity. The brand strives to be so exclusive that it battles counterfeiting.
Knock-offs are all over the market in an attempt to rip off the brand’s designs and bring them in a cheap, throwaway quality to the mass market.
You can easily check if something you own is a legitimate item on the brand’s website. Versace is a luxury brand because it targets elite customers and attracts the rich and famous with its limited edition collections and high prices.
The average person simply cannot afford to have a spending spree at a Versace boutique. The brand maintains its exclusive image by dressing some of the best-known names in the world.
From royals to influential people, those wearing items from this fashion house are not run-of-the-mill individuals.
Showing up anywhere in a Versace dress will turn heads because it isn’t something you see every day. Versace is also known for pushing boundaries in its advertising campaigns.
The drive to be controversial and provocative has always created a buzz that grabs attention and gets people talking.
It is part of what makes this brand stand out among other luxury offerings, allowing it to grab onto a part of that very small consumer market to which it caters.
Through careful positioning, the brand has been able to maintain its exclusivity while also working its way into pop culture.
The Jennifer Lopez green dress is just one good example. By staying relevant, the fashion house has been able to maintain that desire for its products and keep control over its place in the luxury market.
Collaborations Raise Eyebrows
The fashion house also works to ensure it stays on top through careful collaborations. Versace has put itself beside some very well-known names.
The Kith partnership created something a little different. It helped to produce ready-to-wear fashion collections.
The urban edge follows some of Versace’s more edgy productions, but this collaboration opened the brand to a larger audience.
Although, it did not hurt its standing as a luxury brand, which is important to note. Many high fashion companies do read-made collaborations to introduce their aesthetic to those who wouldn’t normally be able to afford their products.
Still, these collaborations result in items that are typically higher priced than the usually ready-made wear.
Working with celebrities is always a trademark of luxury brands, and Versace is not shy to do so. The fashion house partners with Fendi, singer Rhianna’s brand, for a Fendace collection of modern and fresh designs.
It also worked with Cher for a Pride Month 2022 charitable event to introduce a t-shirt, baseball cap, and socks honoring the LGBTQ+ community.
Proceeds went to the community. Versace also branched out to bring its design into home goods through a partnership with Rosenthal.
The luxury household goods in the collection included serving wear, plates, and cups made of porcelain.
Is the Price Right? Is Versace a Luxury Brand?
One of the biggest trademarks of a luxury brand is a large price tag. Designers cannot put their goods out there at low price points or there would be no way to separate them from the other brands on the shelves.
It is the price that really makes a fashion house stand out and what adds to its exclusivity as a luxury. Versace is a designer brand based on its pricing.
Looking at a few examples, a Versace handbag will cost anywhere from $850 for a Virtus Clutch to $23,675 for a La Medusa Small Handbag.
The Versace collection of shoes starts at $350 for the Medusa Sandals. These are thong style with a simple design.
The highest-priced option is the $2,225 Gianni Ribbon Cage Pumps. Looking at clothing options, you can get a Greca Border Gym Sports Bra for $375.
The priciest option is the $18,275 Crystal Cutout Mini Dress. This flashy and youthful lilac stunner will never have you questioning is Versace a luxury brand ever again.
Reselling Versace: Is It Worth It?
One of the nice things about most luxury brands is they can be an investment. While some people may hold onto items in hopes they become a much-sought-after classic, others may try their hand at the resale market.
If you are considering reselling Versace, it is good to know upfront that most items will sell for about 25% of the original value.
Unless you have something very rare or unique, such as a haute couture piece, you can expect to net far less than you paid for the item.
The good news is there is a resurgence in resale as people are more accepting and even eager to buy used goods, especially luxury brand items.
And the luxury resell market is huge, bringing in billions of dollars each year. Looking at what you might want to sell from the Versace lines, note that bags don’t hold value as well as other items.
Watches do the best. Also, Versace doesn’t do as well as some other luxury brands in the resale market. Some examples from TheRealReal include:
- Crossbody bag: around $3000 retail, now selling for $1,295
- Logo band ring: $225 retail, now selling for $175
- Swim trucks: $420 retail, now selling for $225
- Slingback sandals high heel: about $900 retail, now selling for $235
Quality Is Everything If You Want to Compete in the Luxury Market
One of the hallmarks of a luxury fashion brand is high-quality goods. Versace makes most of its items in Italy at its manufacturing headquarters in Milan.
But the company also outsources some items to Asia and Eastern Europe. About 82% of all the Versace brand items come from Italy.
Only about 2% originate in Asia. The company makes all of its perfumes in Italy, and the bags are premium Italian leather made in Milan as well.
The fashion house also uses only 100% silk or cotton in its clothes regardless of origin. When it comes to outsourcing, the manufacturing of all denim items is in Eastern Europe.
China makes some of the shoes and select clothing items. The key to maintaining the luxury quality that consumers expect from this brand is a strict control process.
The fashion house does not skimp on materials despite manufacturing in lower-cost areas.
Is Versace a Luxury Brand Due to Design?
One of the main points that helps a brand become exclusive and gain that luxury label is the quality of designs.
Versace made a splash in the industry with bold and out-of-the-box ideas. The fashion house doesn’t shy away from creating items that would cause a stir.
the 1990s bondage collection really put this brand on the map as a coveted fashion house. This collection stood out among the other designs making waves at that time and showed Versace was willing to step over the line to create something people would talk about.
It featured lots of straps and buckles for a very dominatrix feel. The overall aesthetic of Versace is quite metallic.
The brand uses various metals, specifically the Oroton fabric, which looks like fluid metal. The fashion house also uses Baroque patterns, old-world techniques, gold details, pop art, safety pins, and heavy-handed embellishments to create designs that catch the eye.
Of course, the biggest indication of a Versace item is the Medusa head label. Overall, the fashion house churns out clothing, shoes, and other goods that are edgy, bold, and maximalist.
Ironically, there is also a timeless feel to these trendy designs. This paradox is a hallmark of the Versace brand.
It easily creates something that seems to capture a moment in time that can still withstand the test of time.
Does the Brand Commit to Ethical Practices?
Versace has multiple projects that make it stand out as a brand with a conscious. It has collections that use nothing but recycled materials.
The headquarters in Milan is LEED-certified, and Donatella Versace received the CNMU Award for recognition of the brand’s sustainability commitment.
She’s also outspoken on keeping the fashion house fur-free. The company has various campaigns to go green, protect the environment, and reduce waste.
It is also a major supporter of sustainability in all aspects of its operations, making this a key part of the brand’s mission statement.
Customer Service Can Make or Break a Company
When looking at the question is Versace a luxury brand, one point where it seems to fall short is customer service.
The reviews for the company are not good with people complaining about long wait times for returns and refunds, difficult processes to get assistance, and horrible experiences shopping online.
The company has a basic return policy, accepting them for all purchases within 30 days. It doesn’t offer warranties on most items, except watches and sunglasses, which have a warranty of two years.
Is Versace a luxury brand? Looking over the key indicators, it is easy to say this is a high-end brand. It can hold its own against other big names, such as Louis Vuitton, Gucci, and Dior.
The fashion house’s designs are all over runways and red carpets. The products are something people are willing to pay a premium price to own.
Despite losing its founder, the company has managed to continue to stay in the spotlight as a sought-after brand.
Is Versace a Luxury Brand? FAQs
Is Versace higher than Gucci?
While both brands are well-known, Gucci has a higher net worth. Note it also sells for higher prices. Despite that, there is no clear winner as defining something as better depends on personal preference.
Is Versace very expensive?
Versace rates as the sixth most expensive luxury brand. In comparison to other high-end options, Gucci ranks as number one.
Is Versace a Luxury Brand?
Versace has established itself as a luxury brand, celebrated for its extravagant fashion pieces, impeccable attention to detail, and unmatched allure.