LVMH - The Luxury Goods Conglomerate

[JohannesL]

Thanks for the WTO and NAFTA propagandized by neo-liberalism that also killed its workers in other sectors.

 

[yslforever]

Thanks for the WTO and NAFTA propagandized by neo-liberalism that also killed its workers in other sectors.

Because American CEOs were greedy and wanted manufacturing in Mexico, for a third of the US cost. And who pays political parties the best, companies.
But it's deeper than that, there is a strong tropism from US consumers towards European brands and "Made in Europe", especially in luxury fashion.
I think I said earlier that LV has problems with US consumers returning the goods when they are not sure they came from a French or Italian plants, though the plants are in Texas and California (but probably with migrant workers).

 

[JohannesL]

Because American CEOs were greedy and wanted manufacturing in Mexico, for a third of the US cost. And who pays political parties the best, companies.
But it's deeper than that, there is a strong tropism from US consumers towards European brands and "Made in Europe", especially in luxury fashion.
I think I said earlier that LV has problems with US consumers returning the goods when they are not sure they came from a French or Italian plants, though the plants are in Texas and California (but probably with migrant workers).

I think historically American high fashion in general just didn't the prestige like French/Italian brands and its high society ladies would always fly to Europe and prefered the latter. But the same can not be said about the mass market pre-outsourcing(late80s and 90s) brands, there were used to be decent deparment stores items for women and well-made suiting for men, both of which were made in US catering to its middle class. I think in the 80s middle-class Japanese were very fond of American fashion and they practically had buyers purchased from the US and doubled its price in shops. I also remember when I was in college in the late 2000s, one of the few brands that kept its Made in America trademark was Martin Freeman who ran his factories in Brooklyn compared with Brooks Brothers who only kept a small fraction of its factotries in US, which also had to do with the decreasing number of men wearing suits). To me, the long-gone Made in US always embodys the ideal of what a middle class can afford and enjoy in contrary with the gap of the high fashion landscape nowadays and the diminishing of middle class.

 

[JohannesL]

I think historically American high fashion in general just didn't the prestige like French/Italian brands and its high society ladies would always fly to Europe and prefered the latter. But the same can not be said about the mass market pre-outsourcing(late80s and 90s) brands, there were used to be decent deparment stores items for women and well-made suiting for men, both of which were made in US catering to its middle class. I think in the 80s middle-class Japanese were very fond of American fashion and they practically had buyers purchased from the US and doubled its price in shops. I also remember when I was in college in the late 2000s, one of the few brands that kept its Made in America trademark was Martin Freeman who ran his factories in Brooklyn compared with Brooks Brothers who only kept a small fraction of its factotries in US, which also had to do with the decreasing number of men wearing suits). To me, the long-gone Made in US always embodys the ideal of what a middle class can afford and enjoy in contrary with the gap of the high fashion landscape nowadays and the diminishing of middle class.

Oh, my bad, it was Martin Greenfield whose factory is still running today. I remember things wrong when combing it with Hickey Freeman which is also a historical suits manufacturer.

 

[mrrene]

LVMH is due to report earnings this coming Tuesday 28th January.

 

[yslforever]

LVMH is due to report earnings this coming Tuesday 28th January.

In French, but they are describing a "black year" for Tiffany and blaming Alexandre Arnault:

INFO BFM BUSINESS. "Ça va vraiment mal": année noire pour Tiffany, le joyau américain de LVMH

Selon nos informations, les résultats du joaillier américain, racheté à prix d’or il y a quatre ans, sont décevants. Sa relance prend du temps.

www.bfmtv.com

Also an intervention call from BA to another French billionaire, Rodolphe Saadé, who owns also a media company, because his media reported on losses at Tiffany and blamed it on Alexandre:

BFM : Saadé met en sourdine une info sur Tiffany après un coup de fil de Bernard Arnault - LA LETTRE

Une enquête sur les piètres résultats de Tiffany mettant en cause Alexandre Arnault a déclenché un discret appel de son père au patron du groupe RMC BFM, Rodolphe Saadé. L'article a été mis en

www.lalettre.fr

Both respectable financial sources.

 

[GRCF]

In French, but they are describing a "black year" for Tiffany and blaming Alexandre Arnault:

INFO BFM BUSINESS. "Ça va vraiment mal": année noire pour Tiffany, le joyau américain de LVMH

Selon nos informations, les résultats du joaillier américain, racheté à prix d’or il y a quatre ans, sont décevants. Sa relance prend du temps.

www.bfmtv.com

Also an intervention call from BA to another French billionaire, Rodolphe Saadé, who owns also a media company, because his media reported on losses at Tiffany and blamed it on Alexandre:

BFM : Saadé met en sourdine une info sur Tiffany après un coup de fil de Bernard Arnault - LA LETTRE

Une enquête sur les piètres résultats de Tiffany mettant en cause Alexandre Arnault a déclenché un discret appel de son père au patron du groupe RMC BFM, Rodolphe Saadé. L'article a été mis en

www.lalettre.fr

Both respectable financial sources.

Not his first time calling someone to complain about an article to have taken down. Though at least this one is still in the website. He's a very sensitive man.

 

[Lola701]

Im a it confused by how the Beyonce and Jay-Z 2021 campaign had an impact on sales in 2024 and 2023…

For me the underperformance of Tiffany is in the positioning.
LVMH is trying to position Tiffany as Cartier’s competitor when they have Bulgari for that.

The strength of Tiffany has always been in silver and in their lifestyle approach. That is almost a niche in the big luxury mainstream market (I don’t think Cristofle is having those kind of numbers).

They have been trying their hardest to establish Tiffany as the force of jewelry with launching more and more exclusive, expensive lines in order to attract a certain clientele when the icon of Tiffany is there. More Elsa Perretti!

 

[Nimsay]

Based on FW25. The Louis Vuitton Homme would beat up the Dior Homme for his Croc Saddle Bag.

There is a disconnect in how the Arnaults perceive the essence of Tiffany. The brand is very Montauk - U.E.S., Le Cirque for lunch in Oscar de la Renta. It is far removed from the international world of Louis Vuitton. Tiffany is like Ralph Lauren.

However, the recent release of those puffy heart pieces is a step in the right direction. It seems to better align with Tiffany's identity.

As for the lock bracelet I can't help but view it as a misstep. The notion of it being positioned as part of a stack feels far too calculated and lacks timeless appeal.

 

[SophiaVB]

The pricing is crazy. The Elsa Peretti pieces have gone up several hundred dollars over the last year for the basic silver bone cuffs.

 

[Frederic01]

When asked by an analyst about Dior’s performance, Arnault noted that among couture houses, Dior had the best performance of 2024. “We’re lucky to have the best designers in the group, and to keep them for a long time. It’s important, we have a relationship with them that goes far beyond a classic business relationship that one can see in some houses. Continuity is essential. Changes that are too rapid in these professions are difficult.” Pressed by reporters to comment on rumours about upcoming creative changes at Loewe and Dior, he said: “You’re talking about hypotheses, there’s been no announcement.”

VOGUE BUSINESS

 

[SophiaVB]

Phantom Bonuses, Staff Exodus: Inside the Troubled House of Tiffany

Tiffany & Co.‘s initiative to boost staff morale with the “Tiffany Joy” app backfired, evolving into a source of frustration as employees faced increasing pressure to engage, highlighting broader challenges in the company’s culture and sales strategy.

www.businessoffashion.com

Kilaniotis told the directors he didn’t want to hear excuses that the US luxury market was slowing when stocks of companies like Meta Inc. were soaring and billionaires were pouring money into the US elections, these people said.

He said that if the wealthy were donating to the US election, they could also afford to buy Tiffany jewelry, according to current and former staffers. The lack of interest from clients, Kilaniotis said, was proof the directors hadn’t worked hard enough to cultivate relationships with America’s richest shoppers.

 

[GRCF]

VOGUE BUSINESS

LVMH also said divesting from Stella McCartney was fake news and yet...