Only a third of luxury brands will end the year with positive growth, according to Bain’s new annual luxury report, down from two-thirds last year. Calls continue for luxury brands to reevaluate their value proposition - mainly for Gen Zers - and to keep meeting their growing expectations, by making products and the shopping experience more inspirational.

Historically, the US market has not been overwhelmingly receptive of ‘old world’ luxury maisons but this appears to be changing. UBS estimates that US consumers accounted for about a quarter of the luxury sector’s growth since 2015 — about the same as China — to reach 22 per cent of sales in 2023. While growth flagged last year as cost of living concerns hit aspirational shoppers, there are signs that it has revived so far into 2024.

Culture Brand Framework illustrates how the same core dynamics that make niche and cult brands so powerful and appealing can be scaled up without losing soul and spirit. Instead of conceding that meaningful interactions in the marketplace are only the territory of smaller, niche brands, culture brands demonstrate that powerful brand stories can be leveraged at any size.

Google is doing for shopping what it did for search, adding a series of updates enabled by generative artificial intelligence. Google Shopping searches will now include AI-generated “briefs”, top product recommendations, a design-heavy personalised inspiration feed, and deal finding.

Economic headwinds, high prices and a lack of novel design are all weighing on what was previously fashion’s most dynamic segment. LVMH’s quarterly results Tuesday will offer hotly-watched insights on the severity of the slowdown and how long it will last.

Consumers are quick to decry greedflation when the price of supermarket staples rises faster than the cost of raw materials. But when one is already paying silly money for a handbag or a watch, it is difficult to understand when too much becomes too much. Yet for all that, there are convincing signs that the luxury sector’s post-pandemic price rises have dented its appeal.

Where there was once early enthusiasm for Web3 on fashion week runways, recent seasons have seen designers dial back their ambitions. Calendars during and just after Covid-19 held the promise of the biggest era yet for tech-infused fashion. But optimism around Web3 has faded over the past year, as brands scale back their efforts amid muted responses and prolonged audience cynicism.

Havas Media Lux's upcoming report, "The New Codes of Luxury," has revealed a new and intriguing large group of luxury consumers - The Memory Makers. Following the pandemic, they are moving from guilt-based, emotive shopping to simplifying and redefining their values. The Memory Makers as a coping mechanism are shifting from frequently purchasing luxury pieces, to creating memories; as they reset and re-evaluate how they want to live, spend their time and their money.

What CMO doesn't dream of being at the helm of a cult brand? The sense of intimacy that comes with being a cult brand is just what makes the achievement of cult brand status such a tricky win for marketers. FerebeeLane explores the concept of culture brands and their elusive status.

Society has never been so globalised — the internet has formed a fluid worldwide connectedness. Yet, there are still very distinct nuances between markets. Brands need to master transcreation: the creative process of translating content while preserving its original meaning, style, and tone.

The British Fashion Council has confirmed CEO Caroline Rush will step down after 16 years, but will continue to run the organisation until June 2025. Rush is credited with leading the BFC through challening yeras, including Brexit, COVID and the luxury downturn.

For the first year of the newly launched Luxury & Lifestyle Lion, celebrating creative communications for luxury goods and experiences with work that brings an aspirational lifestyle to life, the LOEWE x Suna Fujita for LOEWE by LOEWE, received the Grand Prix Lion, amongst 188 entries.

Luxury goods are being discounted at rates as high as 50 per cent in China as middle-class shoppers rein in spending on big-ticket items and retailers grapple with overstocking

LVMH has spent the last few few years building out an ‘AI factory’, helping its brands make use of AI and educating the company’s workforce. Rather than using consumer facing AI and chatbots, it wlll invest in its own AI with a number of uses, including suggesting the most high-potential customers to contact and forecasting. This level of investment in AI is ahead of the game in the luxury market, and it will be interesting to see whether other houses adapt such an extensive approach to AI adoption.

Recent research by Bain shows that the so-called ‘core of the core’ of the luxury market, the personal luxury market, rose 4% on the last year to be valued at £362m in 2023. For the ultra-wealthy shoppers that continue to drive recent growth in the luxury goods market vs. the accessible luxury shoppers who have driven growth in the past decade, limited edition products are not enough, they want “carte blanche to create whatever they desire”.

Burberry have just announced a new CEO, Joshua Schulman, ex-head of Coach and Michael Kors, after a 20% tumble in retail sales earlier this year. The brand has struggled to gain traction in the slowing luxury market, and the market hopes new leadership will reignite excitement.

As the weather heats up, so does the temptation of diving into a cool infinity pool or taking a trip to somewhere with cooler climes. But while many will look to European destinations to provide the relief, here are five ways to escape the heat in the GCC.

The luxury sector faces the new challenge of sustaining momentum after the post-pandemic recovery - they must continue to cater to high spending customers, while also broadening their appeal to attract new demographics. Emerging trends in China that are resulting in a shift away from ostentatious luxury items and a crackdown on ‘money worship’ may threaten the bounceback and force luxury brands to adapt.

Italian sneaker brand Golden Goose postponed its Milan IPO this week as volatile market conditions linger, in the wake of European election uncertainties and depressed demand from China. Despite this backdrop, Bain’s 2024 forecasts for the luxury market remain broadly unchanged and ‘desirability of luxury products is still there’, so while uncertainty may be the new normal, underlying stability remains.

Luxury brands are already utilising the power of AI to cut production and operations costs - providing opportunities in fashion and retail across multiple categories ‘from the way trends are consumed to the retail customer journey’. We know it will profoundly impact the workforce - but just how much?