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Following the post-pandemic euphoria, middle-class shoppers began to cut back on spending as the first to be impacted by the rising cost of living. Instead, luxury brands turned to ultra-high-net-worth individuals drawn to the quiet luxury aesthetic. After months of obsession with “stealth wealth”, aspirational customers are back. That’s good news for luxury. The loss of the aspirational customer was a key reason for the slowdown, as prices rose and entry-level spending shrunk. Now, as consumer confidence rises, brands are ensuring they capture that customer. Kering president and CEO François-Henri Pinault stressed the importance of aspirational customers during the group’s press conference, where he clarified that its strategy of elevation doesn’t mean leaving the entry-level segment. “It’s a matter of remaining very strong in the aspirational clientele segment that responds to the creative, fashionable side of our houses, and of adding to them the more sophisticated, more mature segments of the industry,” he said. “This is triggered by demand, but also by offer,” notes Rambourg, citing the re-edition of the Louis Vuitton x Murakami bag, which is a sell-out (the second chapter of the re-edition arrives in stores on 21 March). “We’re in a new phase where you are reconnecting with an aspirational consumer. You’re introducing better priced products that are fun, quirky, colourful, targeting a younger aspirational consumer who’s been priced out,” the analyst explains.Ou Hard To Kill Sooner Shirt
Rambourg also cites the successful launch of Dior’s D-Journey bag, a cross-body, soft leather style that contrasts with the construction of the Lady Dior bag, at a lower price point (€3,500 for a medium D-Journey on the Dior website). LVMH chairman and CEO Bernard Arnault spoke about “a wind of optimism in the US” during the conglomerate’s annual earnings presentation at the end of January. It’s not only because of uncertainties being removed after the election. “We think that there is some duration. There is a lot of investment going on in the US, on social media, on traditional media, on store refurbishments, on mega-projects,” Rambourg says. Moncler is opening a 2,000-square-metre store on New York’s Fifth Avenue in early 2026. Louis Vuitton opened a temporary NYC store late 2024, which Arnault called “an outstanding success” with “100-metre long lines”. Dior will reopen its Madison Avenue flagship in June, following an expansion, and plans to open a new outpost later this year on Los Angeles’s Rodeo Drive. “The US will be a strong [customer] recruiting ground for the next 24 months,” Rambourg says. The US is an all-important market for luxury. But that confidence may be starting to slip, as inflation spikes and President Trump’s tariffs come into play, raising uncertainties that some had expected the election to quell. Consumer confidence declined by seven points to 98.3 on The Conference Board’s Consumer Confidence Index, the organisation reported ahead of the tariffs taking effect, marking the largest monthly decline since August 2021. “Recent weak consumer sentiment data points to a softening consumer worried about inflation,” Bea Chiem, retail and consumer managing director at finance intelligence firm S&P, told Vogue Business at the time.
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