Kering revived Balenciaga via Demna's streetwear-flavoured disruption.

Balenciaga was a grand but quiet couture house whose founder had closed his ateliers in 1968 when he thought fashion had become too casual. By the 2010s it was a respected but small niche business, a long way from driving Kering's growth.

The seed of the change was planted in 2015, when Kering approached Demna, the Georgian founder of Vetements, to lead the brand. He replaced the house's restrained image with deconstructed streetwear, oversized silhouettes and deliberately provocative runway stunts.

The disruption worked commercially. In 2019 Kering said Balenciaga was set to surpass €1 billion in revenue, and by 2021 Bloomberg estimated the label at about $2.3 billion. The provocative aesthetics were of Balenciaga's making, and the company's culture and fame circulated through social media.

In the autumn of 2021 Demna returned the house to haute couture for the first time since 1968, staging its 50th couture presentation to prove the brand could move upmarket without abandoning the edge that had made it famous.

Revenue climbed past €1 billion by 2019 and to an estimated $2.3 billion by 2021, making Balenciaga one of Kering's fastest-growing brands.

Balenciaga had a powerful name but no commercial engine.

Demna gave it a signature aesthetic that stood out in a crowded market.

Provocative, meme-worthy designs spread organically through social media.

Kering was willing to let a designer take risks other owners would veto.

Betting on a provocative designer can turn a sleeping luxury house into a growth engine, if the parent tolerates the noise.

Balenciaga became one of Kering's most visible brands but also its most controversial, with a 2022 campaign backlash triggering an apology and the loss of some brand heat. Revenue growth still validated the revival, even as the risk that powered it became a liability.