The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
The French luxury giant is partnering with Google Cloud to help brands like Louis Vuitton and Dior develop more personalised shopping experiences for their customers. The partnership will also focus on using artificial intelligence and machine learning technology to help power LVMH’s back-end operations, like inventory optimisation, the companies said in a press release. The financial terms of the partnership were not disclosed.
The partnership comes as the pandemic has accelerated a move online for the fashion industry, a particularly marked shift in the luxury market. Late last year, LVMH appointed its first chief omni-channel officer, a position filled by former Louis Vuitton vice president Michael David.
Disclosure: LVMH is part of a group of investors who, together, hold a minority interest in The Business of Fashion. All investors have signed shareholders’ documentation guaranteeing BoF’s complete editorial independence.
Hermes saw Chinese buyers snap up its luxury products as the Kelly bag maker showed its resilience amid a broader slowdown in demand for the sector.
The group’s flagship Prada brand grew more slowly but remained resilient in the face of a sector-wide slowdown, with retail sales up 7 percent.
The guidance was issued as the French group released first-quarter sales that confirmed forecasts for a slowdown. Weak demand in China and poor performance at flagship Gucci are weighing on the group.
Consumers face less, not more, choice if handbag brands can't scale up to compete with LVMH, argues Andrea Felsted.