Why Louis Vuitton is struggling but Hermès is not
Worries that the luxury business is peaking are overblown
There will be fewer designer handbags and high heels under Christmas trees this year. Spending on personal luxury goods is set to fall by 2% in 2024, according to Bain, a consultancy. Sales of fashion and leather items at LVMH, the world’s biggest luxury conglomerate, have tumbled. Kering, which owns Gucci, has issued a string of profit warnings. Anyone who receives Versace goodies from Santa may feel a little less flattered than usual. The luxury brand is selling 40% of its products at a discount.
Explore more
This article appeared in the Business section of the print edition under the headline “Luxed out”
Business December 21st 2024
From the December 21st 2024 edition
Discover stories from this section and more in the list of contents
Explore the editionMore from Business
Will Mark Zuckerberg’s Trump gamble pay off?
He risks making enemies elsewhere
Alcohol-free booze is becoming big business
But will it ever be as good?
A new electricity supercycle is under way
Why spending on power infrastructure is surging around the world
MAGA’s war on talent frightens CEOs—and angers Elon Musk
American businesses’ ability to tap the world’s human capital is under threat
Beware the dangers of data
Numbers have an authority that disguises their flaws
Meet Silicon Valley’s shrewdest talent spotters
An elite group of early-stage investors make supersized returns