A decline in luxury fashion sales is leading to changes in leadership at top fashion houses like Gucci, Chanel, and Dior to revitalize their brands without making drastic changes that could confuse their wealthy customers. The global luxury goods market, worth 363 billion euros ($395.09 billion), is facing challenges due to low sales caused by a slowdown in China's economy and rising inflation, leading high-end consumers to be more cautious with their spending. Brands are now facing the pressure of balancing creativity and profitability while staying relevant in a constantly changing market landscape, according to Lydia King, the group buying and merchandising director at London's high-end department store Liberty. Gucci and Chanel, both owned by Kering, are looking towards emerging talents from smaller fashion labels to refresh their brands, with LVMH's Dior likely to follow suit soon. However, these new designers have the difficult task of bringing innovation while facing investor expectations to show results quickly. The recent appointment of Balenciaga designer Demna to lead Gucci's design teams caused a drop in Kering's shares, raising concerns among investors that his avant-garde style may not align with Gucci's recent move towards more classic designs. Creative directors play a pivotal role in shaping a brand's identity, sometimes even overshadowing its heritage, according to Jacques Roizen from consultancy DLG. Luxury brands are aiming to boost sales in the U.S. as the Chinese market remains subdued, despite signs of economic uncertainty. Chanel is turning to Matthieu Blazy, known for his successful work at Kering's Bottega Veneta, to bring a fresh perspective after the long reign of Karl Lagerfeld and Virginie Viard. The role of the creative director can vary across brands, noted Flavio Cereda, who oversees GAM's Luxury Brands investment strategy. Chanel, in the absence of Viard, has focused on trademarks and iconic designs to maintain its brand identity.