I’m not a fan of Louis Vuitton. I just don’t like the monogram, mainly because it is so heavily counterfeited that you can’t spot a real from a fake. Some key takeaways from LVMH unit sales growth disappoints:
- “It depends on aspirational demand and new consumers.” This is true for all luxury products. Austerity measures, economic downturns, etc. will hit you where it hurts.
“The risk of ubiquity is that . . . the consumer, seeing the same products everywhere, all the time, starts to perceive a brand as being too common,” said analysts at HSBC in a note published in January.
So if you’re a luxury brand, exclusivity is important too. A fine balance for growth vs. exclusivity is key it seems.