Louis Vuitton
Louis Vuitton (LV) is the world’s leading luxury brand. It is ranked number 1. It is also regarded as the leading brand of the LVMH group and the 1st world group of luxurious goods which were produced and distributed. This brand was created in 1987.
LVMH earned worldwide sales of €16.5 billion in 2007 (+7.7%). This achievement has ensured and conquered competition with its revenues being three times greater than its follower Richemont Group. The group has been split into five core activities with a rich portfolio of over 60 brands. Fashion and leather goods constitute €5.6 billion sales which accounts for nearly 34 % of the group’s turnover. It is also this sector that stimulates the group’s growth engine. LV dominates the luxury segment by reaching a target of €1.659 billion turnover in 2006 (which is nearly 2 times its two main followers PPR and Valentino),. Further, LV owns 405 stores (+15 net openings in 2008).
Its mission focuses on aiming at being the ’ambassador of the occidental art of life’, to be the symbol of elegance and creativity by realising its selling dreams crossing tradition and modernity. Hence, it frames its core values with concepts such as creativity and innovation, state-of-the art product quality, and an invaluable brand trademark appeal. The high dynamism of the global group is driven by the exceptional appeal of the LV branding, its efficiency in strategic development, and a long standing presence worldwide. Credit goes to factors such as the strong organic growth, innovative and creative product development, the influential and impact driven communication means and messages on luxury voyage and thematic ideas, the French prestigious lifestyles, the authentic know how and the well managed distribution network. All these factors have fuelled LV’s dynamism.
The current strategy has been developed on three main axes1:
Strengthening of its position in the emerging market segment: As growth relays when mature markets slowdown
LVMH earned worldwide sales of €16.5 billion in 2007 (+7.7%). This achievement has ensured and conquered competition with its revenues being three times greater than its follower Richemont Group. The group has been split into five core activities with a rich portfolio of over 60 brands. Fashion and leather goods constitute €5.6 billion sales which accounts for nearly 34 % of the group’s turnover. It is also this sector that stimulates the group’s growth engine. LV dominates the luxury segment by reaching a target of €1.659 billion turnover in 2006 (which is nearly 2 times its two main followers PPR and Valentino),. Further, LV owns 405 stores (+15 net openings in 2008).
Its mission focuses on aiming at being the ’ambassador of the occidental art of life’, to be the symbol of elegance and creativity by realising its selling dreams crossing tradition and modernity. Hence, it frames its core values with concepts such as creativity and innovation, state-of-the art product quality, and an invaluable brand trademark appeal. The high dynamism of the global group is driven by the exceptional appeal of the LV branding, its efficiency in strategic development, and a long standing presence worldwide. Credit goes to factors such as the strong organic growth, innovative and creative product development, the influential and impact driven communication means and messages on luxury voyage and thematic ideas, the French prestigious lifestyles, the authentic know how and the well managed distribution network. All these factors have fuelled LV’s dynamism.
The current strategy has been developed on three main axes1:
Strengthening of its position in the emerging market segment: As growth relays when mature markets slowdown