The Tamesis
The timing of Ganni’s move upmarket may be unfortunate. Over the past two years, consumers have become more price- and value-conscious, reassessing their expectations at different price points. While Ganni’s promotion strategy appears to be targeting adult millennial Ganni girls, this group also faces cost-of-living pressures that limit their spending power. There is also a view that product changes are inconsistent with customer needs. “Many customers no longer need [or] says stylist and personal shopper Paolo Casseb, 39, who worked with Ganni at Selfridges and Browns and was a customer of the brand in its heyday. At this price point, they want something less popular, or a completely different brand.
In addition to its core Millennial customers, Ganni’s elevated positioning may also affect its resonance with Generation Z consumers, the most important generation in the future. A survey of 750 Generation Z by youth culture agency Archrival showed that only 29% said they were willing to pay higher prices for luxury brands, while only 54% considered luxury brands “aspirational.” Ganni has historically had a clear and accessible contemporary positioning, but its promotion strategy has pushed it upwards without completely redefining what the brand stands for. That leaves it in a more ambiguous middle ground, while a wave of affordable brands like Reformation and Damson Madder are increasingly appealing to the customers Ganni once had.
I asked longtime Ganni customers on Instagram about the brand’s direction. Many pointed to rising prices as a key issue and expressed doubts about perceived value, with some saying they were now waiting for discounts, buying used, or switching to a range of lower-priced competitors.
Some described a shift in the brand’s early image. “Before, it felt more fun and unique; now, it’s cleaner and more commercial. It feels like it’s grown into something that everyone likes,” said one regular customer.
Brands like Ganni have historically been able to capitalize on the growing desire for quality design at affordable prices. Borrell-Persson describes it as not just a marketing ploy but “part of the cultural ethos” of Scandinavia. She added that the “seemingly ubiquitous desire for everything to be high-end” is unsustainable as the industry and popular culture “encourage the desire for fashion while making it unattainable”.
What to do next?
This all provides broader lessons for brands growing in today’s market. Elevation can be difficult to achieve; it depends on whether a brand’s assets, products, and customer base can reliably extend upward. At a time when consumers are resisting luxury pricing and seeking better value, the mid-range segment is proving more resilient than expected. It is possible to gain altitude, but only if there is a clear reason to do so.
Where Ganni goes next depends on how well the brand aligns with its core customers. On Friday, the brand sent a survey to customers offering a 15% discount in exchange for feedback on changes in their shopping frequency; how attributes like “happy,” “approachable” and “community-driven” apply today; how they see Ganni’s growth over the past two to three years; and how they describe the brand’s value for money. The move shows the company is in listening mode when customers signal a shift in mindset.
From an industry perspective, returning to CPHFW also helps solidify the brand. Borrelli-Persson said the move would be “a victory” and help restore the cultural context of Gunny’s early success.
“To cut through the noise and carve out a niche in the attention economy, companies need to take a leadership role, and having a clear brand identity is a key component in building trust,” she said. “My feeling is that people just want Gunny to be Gunny.”
