In this article, The Conversation examines the strategic shifts ahead for major luxury conglomerates LVMH and Kering, against a backdrop of declining revenues in the first quarter of 2026, fashion and leather goods revenue fell 2% at LVMH and 3% at Kering, while family-run Hermès continued to grow. The authors explore several forces behind this slowdown, including the wave of creative director changes across roughly ten major houses in 2025, and the diverging strategies conglomerates have taken on pricing and brand portfolio management.

The article draws on data from LY Price, Luxurynsight's price-tracking platform, to document the current stabilisation of prices in the sector, following several years of sharp increases in certain markets — including at houses like Dior and Chanel, which no longer sell pieces below €1,500 in France.

We thank authors Perrine Desmichel, Ben Voyer, and Clara Lecerf for this feature!