Introduction
Luxury industry spreads worldwide; luxury is of an alternate nature in our sources' eyes. It concerns-liberality, be it private or open. Luxury is interfaced to subjective observations of comfort, excellence and a luxurious lifestyle in destination certainty (Dubois and Czellar 2002). The main idea is that of saw incredible quality. The first notion is that of perceived excellent quality. The mental association between luxury and quality is so strong that for some respondents, the two words are almost synonymous. For mass-market items, consumers have many opportunities to judge product or service quality, primarily through multiple purchase and personal consumption experiences. But how can they assess the quality of a luxury good or service that they buy and consume very infrequently, sometimes only once in their lifetime(Dubois, Laurent and Czellar 2001).
However Louis vuitton and Gucci both companies comes under luxury industry and these both companies are high rated companies in the market for the luxurious brands. louis vuitton and Gucci have market prestige all over the world and have many quality products such as clothing items, handbags, wristwatches, wallets and belts. Both companies handbags are well-known and most selling products by the consumers. Logos of these companies are very famous.
Industry background
Luxury goods market has been on an upward move since a long time. Separated from the setback brought about by the 1997 Asian financial Emergency, the business has performed well, especially in 2000. In that year, the world luxury products market – which incorporates beverages, style, makeup, aromas, watches, adornments, baggage, purses and handbags– was worth near $170 billion and these developed 7.9 ...
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...s with famous models . Besides, Louis Vuitton pushes its items with Chinese stars Zhang Ziyi to draws in Chinese market.
4. Place
Both of Louis Vuitton and Gucci are worldwide brands and luxury goods, it brings about their requirements on the decision of stores are high. Consequently, they open stores in the upscale business area, for example, and Champs Elysees. They partition into diverse level stores to meet distinctive public opinion classes, flagship stores and speciality stores. flagship stores with larger amount, in which centered the design of stores as well as reflect the spirits of the brand. In this year, Louis Vuitton opens two stores in significant city on that day in China, Shanghai. From this can reflect that the economy and the number of inhabitants in urban communities likewise are the important variables to luxury brands while choosing places.
People are often deceived by some famous brands, which they will buy as useless commodities to feel they are distinctive. People require brands to experience the feeling of being special. People spend their money to have something from famous brands, like a bag from Coach or Louis Vuitton which they think they need, yet all that is just people’s wants. Steve McKevitt claims that people give more thought on features or brands when they need to buy a product, “It might even be the case that you do need a phone to carry out your work and a car to get around in, but what brand it is and, to a large extent, what features it has are really just want” (McKevitt, 145), which that means people care about brands more than their needs. Having shoes from Louis Vuitton or shoes that cost $30 it is designed for the same use.
The prestige of Tiffany and Co. is so important that their stores are soundly located in the world famous Avenues and streets of metropolises known for their prestigious stores. The mother house is located on New York’s Fith avenue, where everything started, but we can also find stores in Paris, London, Los Angeles, and many more. In fact, a new flagship store will soon be opening in Paris, on the famous Champs-Elysées. This store location strategy is a key point of their popularity around the world.
Veblen’s work was, and continues to be, quite controversial; however, his dissections of human behavior as it relates to social structure and consumption were far from inaccurate. Interestingly enough, it seems that his theories have even become increasingly accurate over time, as proved by the way conspicuous consumption and “Veblan effects,” have both played a significant role in changing not only the luxury fashion industry as a whole, but also in changing the image and symbolic nature of the luxury good.
Since 1967 Polo Ralph Lauren the brand is impeccable example for how a company must develop strong brand equity through the years. Indeed, the brand has established its image across a diversity of products and markets using a perfect lifestyle marketing approach. To understand how the brand has achieved strong brand equity, and resonance with its customers, analy...
...specific, the prices of leather goods, accessories, watches, jewelry, shoes and ready-to-wear of Louis Vuitton dropped by seven percent in 2008. Besides, Fujii takes some actions to face the challenges. For example, he sets an Internet business to follow the world trend and to enlarge the distribution channel. Also, he increases the product line to cover the children clothes and enlarges the market by opening stores in mid-size and small cities. Since Japan is still a developed country with wealthy families, the Japanese luxury market would still be a healthy and attractive market for Louis Vuitton and these challenges could be overcome in large extent.
However, by clearly identifying its market segment and focusing on the niche of high-end and one-of-a-kind designs allowed ES to take a place between labels such as Dior, Chanel and Valentino as they have been addressed to be fashion leaders in the globe. And that resulted from the international reputation ES gained from the extensive media coverage when he featured his first collection at the Casino Du Liban in Beirut. It worth mentioning that ES insisted to maintain its position by
The unique heritage and Burberry’s Britishness are the significant resources that contribute to its success and premium price. Strong brand image as part of intangible assets contributes approximately 25% value to the organization in average (Keen 2003). To avoid discount or oversupply, Burberry needs to continue maintaining its long-term brand image (Berends 2004). Also, Burberry has a variety of product lines and attributes to high worth that makes it more competitive
For one, luxury can be defined through good health. For another, luxury can be defined through comfort. To many, luxury is defined through lavish possessions such as cars or jewelry. Regardless of how we perceive luxury, there is a journey behind how we achieve it. Cartier produced an exquisite commercial to celebrate the brand’s history. With the worldwide icon, the leopard, we went through the odyssey of Cartier’s history. The commercial started with a leopard statue of diamonds and jewels coming alive which symbolized the birth of the legacy of Cartier, the start of the odyssey. Then we start watching the leopard visit significant places of Cartier’s history: China, India, and France. All these places are important to the luxury industry. After the journey across different continents, we finally arrive in Paris where Cartier was founded, where
The high pressure luxury brand industry has evolved over the last few decades from a small and selective to a multibillion dollar arena offering significant potential and growth opportunity for the luxury brands that compete within its realm. With many luxury brands competing for over $225 billion (The Economist, 2009) in revenue each year it is easy to see how strategy plays an important role.
For the past several decades, globalization has been a hot topic and it also anticipates every aspect of the world to connect each other. Likewise, globalization also allows consumers to have more access to catch up with updated fashion. The advantages of globalization bring a new philosophy called fast fashion, which holds quick response time and enhanced design in fashion apparel industry. In this paper, I will deliver By exploring all the aspects of each system, I will conclude the reason why fast fashion becomes the mainstream of the fashion apparel industry, and use one particular brand, Zara, as an example to discover the impact on consumer behavior in detail. Finally I will make some comments on the future of fast fashion and what luxury brands will react to this circumstance……..
By 2002, Moet Hennessy Louis Vuitton was the world’s largest luxury products company, enjoying annual sales of 12.2 billion euros. LVMH carries the most prestigious brand names in wine, champagne, fashion, jewelry, and perfume. Upon entrance of this luxury product industry, LVMH was aware that they produced products that nobody needed, but that were desired by millions across the world. This desire in some way fulfills a fantasy, making consumers feel as though they must buy it, or else they will not be in the moment, and thus will be left behind.
In Conclusion, Burberry, Vera Wang and Chanel are brands and designers with different stories and completely distinct styles and specializations.Burberry is known for its iconic trench coat and check pattern, Vera Wang is famous for her alluring bridal gowns and Chanel prominent for its women clothing revolution, The Chanel Suit and it’s LBD (Little Black Dress). Nevertheless, these three brands and designers all share the common factor of adaptation throughout time.
-Status symbols: Sophisticated customers who value the distinctive, exclusive collection seem to value the corporate-branded version of luxury. –Philip Martiz, chairman of the board
“Despite worldwide softness in the sale of luxury goods, LVMH has cemented its position as the world’s largest and most profitable player in the category. To stay there it must keep its customers loyal and its brand strong and find new markets worldwide” (Hazlett C. 2004). That is why in its mission they state to represent the most refined qualities of Western “ art de vivre” all around the world. Their objective is to be the leader in the luxury market, continuing to transmit elegance and creativity. This poses some major challenges, the main one is to keep being the leader in the luxury market through a sustainable growth. The main problem to achieve it is the high dependency on three main countries, France, Japan and USA. This becomes a threat because if there is an economic downturn in one country it affects LVMH directly that is why.
Louis Vuitton, Coach, and Dior’s advertisements portray a picturesque scene consisting of simple, yet elegant, details (Coach; Dior; Louis Vuitton). Each ad displays similarly styled handbags with clean lines and only two handles, indicating each company’s desire to keep purses feminine and traditional. The handbags presented are similar to the more traditional style used in the early 20th century, perhaps to invoke a sense of timelessness and luxury. While each handbag advertised consists of differing aspects, it is evident Louis Vuitton, Coach, and Dior are