LVMH owns the most high fashion brands

It revenues $55b per year. Karans, the second biggest, makes a quarter of that. But Kering's strategy is to own top tier brands. Gucci is the 'most popular' among genZ and TikTok. YSL and Balenciaga are also SM favorites.



Karen's:

Gucci's 'blitzkreig strategy of putting their brand on things and charging thousands for everyday items of a large variety of sorts, including baby clothes and skateboards. They sell to cheaper wholesalers department stores and and outlets where people can buy their products for less (they cross out the $1599 and put $800), in addition to their almost 500 shops where the staff sometimes wear white gloves. They sell the items that haven't changed for decades to some customers and other products to people who want the brand but also want something trendy they can wear. They capitalize on trends. New products account for 30% of their business. They do lots of licensing.

55% of their customers are 35 or younger. Gucci invests like 12% of it's budget or something in advertising.



YSL is a mid-price range, conservative company that sells their black bags with big YSL logos and other products, and doesn't change their products much.

Another brand is Hermes, who never advertises, never sold online, or even displayed publicly, and  and they're 'more lucrative and successful' than Gucci. They sell to their list of the highest spending customers. It takes no pre-orders or waiting lists, and doesn't expand inventory or scale production. Not everyone can buy their products. Their products appreciate value. They have no returns. They manufacture products by hand in France, where they have 45 factories (85% of products). Each bag is made by a single craftsman (after extensive training) in France. A craftsman makes 2-4 bags per week. They're independent. They gross close to what Gucci does. They have 306 stores. 75 in Europe (13 in France), 45 in the Americas (29 in the US), 95 in Asia (29 in Japan), and 6 in Oceania. Their star product is their handbags, which sell for $10,000s to $100,000s. You get to buy their bags by being a regular in their stores and buying their shoes and other products, and after they spend a lot they're offered a chance to buy a bag. The customer is one day notified and taken to a room in the back. Some people buy the 1-3 bags they're shown even if they don't really want them to demonstrate loyalty and stay on the list. Their bags are constantly resold and appreciate 15% per year.