Louis Vuitton Has Become Too 'Ordinary' For Asia's Wealthiest According To The Luxury Brand Pyramid
Details Published on Thursday, 26 March 2015 15:35 Written by Carolina Cheah
In his new book called The Bling Dynasty: Why the Reign of Chinese Luxury Shoppers Has Only Just Begun, HSBC Managing Director Ewan Rambourg created a pyramid of luxury brands around the world, ranking brands from everyday luxury to ultra-high-end and bespoke goods. However, Rambourg observed for the ultra high-net worth, price doesnt necessarily determine popularity all the time its exclusivity that matters.
Brands that become too accessible are less appealing to super rich buyers. For example, he referred to a China Market Group Research Report from 2011 which state that Louis Vuitton, for instance, is considered a brand for secretaries by many wealthy Chinese. The findings also highlighted the Italian fashion house Gucci as suffering from the same fate of over-exposure, as reported by Business Insider.
Instead, less well-known European brands like Bottega Venetta and Maison Ullens are gaining popularity among the super elite. Of course, bespoke items remain the ultimate luxury good.
Whether its a bespoke Louis Vuitton trunk for Scotch and cigar fans or an exceptional stone at Graff, the ultra‐high‐end and bespoke category is a no‐limit segment where all the craziest dreams (and prices) come true, according to Rambourg.
In the brand pyramid hierachy, the brands are ranked on the left according to price, where anything below $100, like designer perfume or cologne, alcohol and Starbucks is considered an everyday luxury. Affordable luxury is anything below $300. Under $1,500 counts as the accessible core with brands like Gucci and Prada.
Premium core brands (anything under $5,000) includes Louis Vuitton, Cartier and Rolex. Dominating the top are superpremium (i.e. Patek Phillippe, Panerai and Hermes) and ultra-high-end (premium diamond territory), where the $50,000 mark separates the two.
- mD
http://www.malaysiandigest.com/opinion/547308-louis-vuitton-has-become-too-ordinary-for-asia-s-wealthiest-according-to-the-luxury-brand-pyramid.html