Emerging Trends Within Luxury: A Market in Flux

Chanel SS25 RTW at Grand Palais, Paris

Welcome to our ongoing series where we curate the latest developments in the luxury industry, providing insights for both professionals and consumers.

In mid-March 2025, we explore significant creative leadership changes, strategic brand expansions, and innovative approaches to luxury experiences.

State of Luxury: A Market in Transition

Luxury is at an inflection point, balancing the tension between heritage and innovation, exclusivity and accessibility, and economic uncertainty and strategic investment.

• Leadership volatility continues, with yet another round of high-profile creative director changes. While fresh talent can revitalize brands, the revolving door at the top signals an industry struggling to define long-term creative direction. The challenge? Aligning artistic vision with commercial viability, particularly as luxury consumers demand authenticity and brand consistency.

• Brand diversification is accelerating. Louis Vuitton’s expansion into beauty signals a broader trend: luxury houses seeking to establish omnipresence in their customers’ lives, extending beyond fashion into high-margin categories. This echoes Hermès' success in beauty and home, reinforcing that luxury today is more about lifestyle than just apparel.

• Heritage and craftsmanship are taking center stage as brands scale back the spectacle of fashion week in favor of more intimate, hyper-curated experiences. This shift caters to ultra-high-net-worth consumers who prioritize exclusivity and artistry over mainstream hype—potentially a response to economic headwinds impacting aspirational luxury shoppers.

The overarching theme? Luxury is recalibrating. As brands navigate these shifts, those that invest in long-term brand equity rather than short-term trends will likely emerge stronger.

Creative Leadership Transformations

Simone Bellotti Takes the Helm at Jil Sander

Jil Sander has appointed Simone Bellotti as its new creative director following the departure of Luke and Lucie Meier. Bellotti, who previously held roles at Bally and Gucci, is known for his expertise in tailoring and accessories. His approach blends heritage with modernity—aligning with Jil Sander’s commitment to understated luxury. (Read more)

Mark Thomas Ascends at Carven

Following Louise Trotter's departure for Bottega Veneta, Carven has promoted Mark Thomas to design director. Having previously worked at Givenchy and Helmut Lang, Thomas is expected to provide stability while continuing Carven’s creative evolution. (Read more)

Brand Expansions and Innovations

Louis Vuitton Ventures into Cosmetics

Louis Vuitton will launch its first makeup collection this autumn, featuring 55 lipsticks, 10 lip balms, and eight eyeshadow palettes—crafted under the creative direction of Pat McGrath. This marks a strategic move to capture a younger, beauty-obsessed demographic while reinforcing the brand’s status as a lifestyle powerhouse. (Read more)

Extreme Cashmere Introduces Cashmere Spa Concept

Extreme Cashmere is challenging perceptions of cashmere care with a cashmere "spa" in Paris, offering expert garment maintenance and care workshops in partnership with Miele. This initiative underscores a growing focus on sustainability and product longevity in luxury. (Read more)

Industry Trends and Challenges

Luxury Industry Faces Inflection Point

Despite signs of recovery in Q4 2024, the luxury sector remains volatile. Chinese consumer confidence is rebounding, but economic uncertainty still lingers. Hermès and Richemont are thriving, while Gucci struggles—a stark example of how brand perception influences resilience. Analysts warn against excessive price hikes, as affordability concerns among aspirational buyers grow. (Read more)

Luxury Brand Upheaval and Talent Turnover

Luxury brands are undergoing unprecedented creative leadership churn, reflecting both an evolving industry and internal instability. Gucci, Kering, Richemont, and LVMH are all navigating leadership shifts, which could create inconsistency for consumers and investors alike. (Read more)

Fashion Week Highlights

Haider Ackermann’s Debut at Tom Ford

Haider Ackermann’s highly anticipated debut at Tom Ford has set a new tone for the brand, with a mix of edgy leather and extravagant eveningwear—signaling a departure from Ford’s nightlife aesthetic towards a more refined vision. (Read more)

Shift Toward Intimate Fashion Shows

Luxury houses are scaling back their runway shows to cultivate exclusivity and cater to UHNW clients. As economic uncertainty tempers mass consumer demand, brands are focusing on craftsmanship over spectacle. (Read more)

What This Means for You

For luxury professionals

• If you’re in brand strategy, prioritize consistency—constant leadership turnover risks alienating consumers.

• If you're in marketing, lean into craftsmanship and heritage storytelling—aspirational shoppers are pulling back, while UHNW clients expect exclusivity.

• If you're in retail, watch consumer sentiment closely—China's rebound is promising, but pricing strategy matters more than ever.

For luxury consumers

• Expect more intimate experiences—if you love heritage brands, now is the time to engage with their exclusivity-driven offerings.

• If you're a collector, pay attention to brand leadership changes—creative shifts can impact the long-term value of your luxury pieces.

• Sustainability is in—whether it’s cashmere care or leather goods, brands are investing in longevity. Choose wisely, and invest in pieces built to last.

Luxury is evolving—whether you’re a professional or a consumer, the key is to stay informed and intentional with your choices.