Louis Vuitton sells Le Tanneur stake

Louis Vuitton Malletier has sold its stake in the French leather goods company Le Tanneur. Louis Vuitton Malletier's parent company LVMH Moët Hennessy Louis Vuitton has confirmed that 375,000 Le Tanneur share were sold to investors in December for €3.9 million. The group of investors included Le Tanneur president Hervé Descottes.

Vuitton owned just over a quarter of Le Tanneurs total shares. It purchased a third of the company's shares in 1999 when it signed a licensing deal with the leather goods specialist to produce leather goods for Michael Kors. The designer was the then-designer of Celine, the luxury fashion brand owned LVMH. However, Le Tanneur had difficulty growing as fast as the luxury goods firm's other brands. In 2005 the company finally broke even with sales of €45.7 million, up 5.2 percent from 2004. Nowadays, the company manufactures the Le Tanneur and Soco brands.

www.letanneur.com
3 January 2007

Louis Vuitton shows in Tokyo

Louis Vuitton staged its first ready-to-wear catwalk show outside Paris this week in Tokyo with the Marc Jacobs-designed autumn/winter 2006/07 collection bidding to entice new customers in Asia's fashion capital, according to WGSN.
"This is a landmark presentation of our entire show, not a pre-collection or a presentation of selected items," Louis Vuitton president Yves Carcelle stressed after the presentation at a dome-shaped tent in Yumenoshima Park, in the east of the Japanese capital.
"This is an opportunity for us to communicate directly with our important Asian audience, while giving them a small thank you for their support for Louis Vuitton throughout its history," he said.
Carcelle noted, however, that the Tokyo show "will remain the exception... It may be the only one... We don't want to do 14 shows around the world, as that would just descend into something very commercial, and these shows must remain a snapshot of the fashion world at a given moment."

8 June 2006

Louis Vuitton Sunday shut-down

A French court has ordered Louis Vuitton to close its Champs-Elysées flagship store for business on Sundays. A spokesman for the luxury retailer's parent, LVMH Moet Hennessy Louis Vuitton said the court's decision undermined customer service and business in France . He added that the ruling would cost the jobs of the 70 extra staff the store hires for the extra day a week and said that the company would most likely appeal the decision when the complete ruling is given in two to three weeks.

“There are 5,000 to 10,000 shoppers who visit the store on Sundays, mostly tourists,” he told WWD. “They now will have to go to Milan or London .” The case was brought to court following the complaint of the French Confederation of Christian Workers labour union. Although none of its members are actual Louis Vuitton employees, the CFTC complained that the Sunday opening set a precedent in France , where most stores must close on Sundays. Meanwhile the spokesman for LVMH said that the store's workers had unanimously voted in favour of remaining open for business on Sundays.

www.louisvuitton.com
1 June 2006

Louis Vuitton and Morgan Stanley in court battle

LVMH Moët Hennessy Louis Vuitton and Morgan Stanley presented their cases last week in LVMH's long-running bias suit against the investment bank. The latest arguments in the case, brought to courts in late 2002, is not expected to bring a decision from judges just yet. But the hearing could be explosive, with both sides airing old grievances in a long and bitter luxury war. In January 2004, the Paris commercial court ordered Morgan Stanley to pay LVMH 30 million euros, or $36 million at current exchange, for "gross misconduct" related to equity research LVMH claimed was biased toward rival Gucci Group, a client of the investment bank.

LVMH accuses Morgan Stanley and its star, analyst Claire Kent, of a premeditated and systematic effort to denigrate it. Kent suspended coverage of the firm's stock in the wake of the ruling. The luxury group is seeking an additional 182.9 million euros, or $219.5 million at current exchange, in damages. An expert is still tabulating material damages at the behest of the commercial court.

Vuitton opens stand-alone ready-to-wear shop

Luxury brand Louis Vuitton has opened a stand-alone ready-to-wear shopping space in Harrods earlier this month. The new space is located on the second floor, among the Gucci, Prada and Chanel spaces, while its leather goods will still be sold on the ground floor. This is the first time that Vuitton will be recognized as a ready-to-wear brand.

“It's a pragmatic decision,” Vuitton president Yves Carcelle told the FT. “We would have like to put everything together in our leather goods space on the first floor, but we would have needed the whole floor, and I don't think Mr Al-Fayed (Harrods owner) would have liked that. We think of it as one store in two locations.”

With the bulk of its sales derived from leather goods, the fashion industry is watching for the effects of this new ready-to-wear space on the rest of the Vuitton business. Especially brands such as Hermes, Tod's and Bottega Veneta, who began as leather goods companies but are raising their fashion stakes, this experimental venture will be of great significance.

The ready-to-wear space in Harrods is but part of Vuitton's plan to reach new markets. Another part is to open stores in cities that are not generally perceived as fashionable, such as Leeds, where it will open store in October.

The brand is also venturing into e-commerce. This past November, the brand was the first in the LVMH stable to launch its own internet shop in France. Last month, Vuitton opened an internet shop in the UK. Parent company LVMH already sells products from its range of luxury brands via its American internet subsidiary, ELuxury.

“There is a generation whose access to the world is partly through the internet,” said Carcelle. “They might feel more comfortable on the web. Why refuse that contact? In any case, it will always be a minority of the business – probably the size of the biggest store in every market, but no more. I remember when they said a few years ago: sell all your real estate, because people are going to buy everything on the internet. Bullshit.” Instead, the brand is investing aggressively in real estate. Carcelle said that the company wants to open at 50 more locations worldwide.

Vuitton's move into accessible luxury does not mean that it its downgrading, says Carcelle. “I hate it when people start talking about the democratisation of luxury. It has a connotation of going downmarket, cheapening your products. We may be more accessible, but our offerings get more and more sophisticated.”

Of the brand's 347 worldwide stores, only 70 carry fashion, which was positioned as a “destination purchase”. The Harrods space, where according to Carcelle “the whole world shops”, changes all this.

www.louisvuitton.com
21 March 2006

Gisele in new Louis Vuitton campaign

Louis Vuitton's forthcoming spring advertising campaign features a bronzed Gisele Bündchen lounging poolside in one of Marc Jacobs' sexiest collections to date.
Jacobs unveiled the campaign last week in Hong Kong for the opening of new Vuitton flagship. Slated to break in February magazines, the ads mark a change in direction after two seasons with Uma Thurman.

"We just wanted a fashion icon more than the celebrity thing," Jacobs explained told WWD. "I certainly feel Gisele is iconic and recognized all over the world as Gisele. Also, the clothes were hot and sexy and colorful, and we thought she would exaggerate the strength and the heat of the collection." Shot by Vuitton regulars Mert Alas and Marcus Piggott at a private home in Ibiza, the images are colorful and graphic, with water glinting with sunlight in the background. The designer said the three-day shoot went off without a hitch.

LVMH continues to thrive

Luxury goods group LVMH Moët Hennessy Louis Vuitton has survived natural disasters to report an organic growth of 12 percent in third-quarter sales to €3.43 billion (£2.34 billion).

Finance director Jean-Jacques Guiony told WWD during a conference call on Tuesday that the group's performance was “outstanding”. “We really expect the rest of the year will be in line with what we've seen. The growth is coming from all directions,” he said.

Especially the Louis Vuitton brand is helping to drive sales, with double-digit gains. Only in Japan did the brand's sales fall short of the double digits. In the US, the brand's performance was “robust”, despite its New Orleans store having been destroyed by Hurricane Katrina. “Katrina's impact has been fairly limited in our business,” Guiony told analysts. “The US market is showing no signs of slowing down.”

LVMH expects the recent opening of its new Louis Vuitton flagship store on the Champs-Elysées in Paris to have a positive impact on the brand's recognition and global sales. Guiony estimated that the increase in floor space during the fourth quarter would amount to 10 to15 percent, but remained vague about projections for the period. In the first nine months of 2005, group sales rose 11 percent to €9.59 billion. Fashion and leather goods rose 9 percent to €3.38 billion, while perfumes and cosmetics climbed 9 percent to €1.62 billion.

Besides the Vuitton brand, LVMH highlighted strong performances by Fendi, Marc Jacobs, Loewe and Emilio Pucci. However, Guiony said that Donna Karan sales were “flat” and “quite weak”. Kenzo was also proving to be a disappointment for the group; Guiony indicated a negative quarter for the brand in terms of sales and profits and said that designer Antonio Marras had “a lot of work” in store.

Meanwhile, in a separate release, LVMH's parent company Christian Dior SA reported sales for the nine-month-period up 12 percent to €10.06 billion. The company said total sales for the third quarter at fashion house Christian Dior amounted to €179 million, a rise of 14 percent. It, too, spoke of strength across all products categories.

www.lvmh.com
19 October 2005

Louis Vuitton reached out to the victims of hurricane Katrina by issuing a number of Red Cross charity debit cards. The cards, which hold a value of up to £1,000, were handed out for victims to be able to buy living essentials. It has now emerged, however, that some customers having been using the cards to buy luxury fashion items instead.

“We have seen three cards,” said a spokesman for Louis Vuitton in Atlanta , Georgia . “There's nothing legally that prevents us from accepting them. Morally, it's wrong.”

www.louisvuitton.com
13 September 2005

Louis Vuitton Paris to open

Louis Vuitton is set to open its biggest store at the closing of Paris Fashion Week. On 10 October, the doors to its Champs-Elysées flagship store will open for a select group of clients. These “VICs” (very important clients) are believed to spend in excess of $200,000 a year on Louis Vuitton items.

Celebrities such as Sharon Stone, Uma Thurman and Serena Williams have also been invited to attend the opening party, which consists of a dinner and visit to the Vuitton museum in Asniéres. Guests will also be able to purchases limited-edition items at the preview of the store.

www.louisvuitton.com
29 August 2005

Vuitton renews software contract

Luxury goods brand Louis Vuitton is renewing its contract with marketing, commerce and service software supplier Art Technology Group. The brand continues to enhance its sales through it online storefronts on the ATG Customer Experience Platform.

Louis Vuitton uses ATG's commerce and marketing elements to improve content, thereby reaching multiple audiences and driving up-sell and cross-sell opportunities. This stimulates Vuitton's order size and revenues. ATG offers innovative software to high-end consumer-facing companies. It helps them create an interactive platform for their customers and partners throughout the marketing, commerce and customer service experience.

www.vuitton.com
25 May 2005

New Louis Vuitton bags

Fashion house Louis Vuitton is launching a new line of bags, the Voile Trianon. The original Trianon canvas was created in 1858, four years after the opening of Louis Vuitton. The original design was the house's very first creation, consisting of a flat trunk circled in iron and enhanced with wooden slats.

As a tribute to Louis, the Toile Trianon line will now make its debut. The collection will consist of three models named after old models of bags created by Louis: "Sac de Nuit", "Never Full Bag" and "Poids Plume". The models will be available in three sizes. Details from the original trunk, such as studs and metallic pieces, will feature in the new bags. Brown goatskin finishings will replace the wooden slats. The bags will be available in Louis Vuitton stores this month.

www.vuitton.com
10 November 2004

Louis Vuitton Emprise

After 150 years of designer luggage and ready-to-wear fashion, Louis Vuitton has created a most delectable jewelry collection. Emprise, the first complete collection, was designed by Marc Jacobs and features the quality you expect from the House of Vuitton.

Expect princess-cut diamonds, yellow and white gold and precise and exquisite crafting. Add in leather contrasts, mini LV trunks dotted with pink quartz and amethysts for the ultimate knock-out accessories.

www.vuitton.com
30 August 2004

Stretch It For Vuitton

With every fashion house competing for the most coveted of accessories, Louis Vuitton is ahead by a stretch with a new designer yoga mat.The Dhanura bag, which comes with a washable logo yoga mat, is guaranteed to stretch your mind, body, and wallet. Cost €680.

www.vuitton.com
20 October 2003

J-Lo new face Louis Vuitton

French luxury goods maker LVMH Moet Hennessy Louis Vuitton has signed actress-singer Jennifer Lopez for its fall-winter advertising campaign for star brand Louis Vuitton. The company said designer Marc Jacobs wanted a "contemporary icon" and "a sophisticated, influential and sexy woman" to represent the brand.

The ads will appear in magazines and on billboards from August, the leather goods and fashion operation said on Wednesday. Louis Vuitton is the main profit engine for LVMH, the world's biggest luxury goods company.

April 18, 2003
www.vuitton.com

Indian Vuitton store opened

Luxury goods giant LVMH Moet Hennessy Louis Vuitton has opened its first store in India for Vuitton leather goods brand and revealed it plans to open several more stores there in the future. The world's biggest luxury goods company said the new store, in central New Delhi, brings its global network of Vuitton stores to 298 in 51 countries.

April 1, 2003