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 author has shared a YouTube video.
You will need to accept and consent to the use of cookies and similar technologies by our third-party partners (including: YouTube, Instagram or Twitter), in order to view embedded content in this article and others you may visit in future.
LONDON, United Kingdom — As part of the #BoFLIVE series, Executive Editor Lauren Sherman sat down with Browns Chief Executive and Farfetch Chief Brand Officer Holli Rogers and Retail Consultant Steve Dennis for a virtual discussion, reflecting on what’s next for luxury retail as multi-brand retailers face increasing challenges during this time of unprecedented uncertainty.
“Maybe this crisis will teach some of the retailers that have sat on the sidelines that they need to be fundamentally more agile and they must be building a culture of experimentation,” said Dennis. “This is a great time to be testing things… it’s too hard to figure out if something's going to work out by sitting in a conference room.”
The coronavirus crisis exacerbated the challenges that were already underway in the luxury retail market, where supply outweighs demand, brands compete for customers and discount culture has taken hold. Now that stores across the globe have closed their doors and as consumers are limiting their discretionary spending, retailers are enhancing their digital capabilities.
“A big part of luxury is the ceremony around the shopping experience,” Rogers said. “[It’s about] augmenting that retail experience… [because] the thing with online shopping is it becomes very functional ,and fundamentally that will be the biggest challenge moving forward.” Rogers predicts the future will involve more contactless shopping services and tech-enabled personalisation.
To participate in #BoFLive, BoF’s digital events series offering insight, advice and inspiration, visit our calendar where you can find details of upcoming digital events.
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.
As the French luxury group attempts to get back on track, investors, former insiders and industry observers say the group needs a far more drastic overhaul than it has planned, reports Bloomberg.