Who is Louis Vuitton?

Paris days

He started as an apprentice in a box maker and packaging workshop in Paris. This business was highly respected in the 19th century. Louis became famous in a few years. His arrival in Paris changed Louis' fortunes. Napoleon III's wife commissioned Louis Vuitton to "wrap the most beautiful clothes in an elegant way". This mission has been a great opportunity for Louis. It led him to the opportunity to serve the elite and royal family throughout his life.

Louis Vuitton Foundation

He married in 1854 and opened his own shop in Paris that year. Vuitton made useful square chests. These were designs more suitable for shipping. Demands came not only from Paris but also from abroad. Later, since round suitcases take up a lot of space, he designed more useful flat suitcases. And these suitcases were very popular.

After the start of the Franco-Prussian War in 1870, Vuitton's shop was destroyed and its contents stolen. It is very important not to give up, to start over, to start over despite all the negativities. Vuitton also had a structure that did not give up. He didn't give up. He struggled for months to build his new shop. He opened his new store in a better location and with a good promotion.

Vuitton, King of Spain XII. From Alfonso, the future Tsar II. He was the luggage supplier of many of the most famous people of the era, up until Nicholas. He made special chests for the opening of the Suez Canal for Ismail Pasha, the governor-general of Egypt, and one for Savorgnan de Brazza, who discovered the source of the Congo in 1876. The quality of materials, arrangement Interiors and finishes have made Vuitton's luxury bodies far superior to anything produced before.

When Louis Vuitton died in 1892, his son Georges Vuitton took over the management and wanted to make the brand a world brand. Georges Vuitton designed the iconic LV Monogram Canvas to prevent the brand from being imitated. The company later signed new models that were in great demand in the world.

In World War I; The production style became different, as solid military chests were used rather than luxury bag models. Part of the production was devoted to folding stretchers loaded into ambulances. During the war, there were difficulties in supplying materials and ensuring the safety of workers due to the 1918 German attack.

After the war, the Louis Vuitton customer began to place special orders again. Georges Vuitton died in 1936. At that time, special orders were few and sales were concentrated in various ballot boxes. There was another war period, II. During World War II, delivery was restricted, overseas contracts were cancelled, factories and stores were closed. The post-war brand was born from the ashes. Again they did not give up. Gaston's sons and son-in-law were influential in the management of the company.

In 1954, on the 100th anniversary of the company, Louis Vuitton moved from the Champs-Elysées to Avenue Marceau. With travel times shortening around the world, the company designed the soft-sided suitcase. Gaston Vuitton called on well-known artists to design accessories. Between 1959 and 1965, an average of 25 new suitcase models were designed each year. As Louis Vuitton became successful and famous, fake Louis Vuittons quickly spread.

Gaston Vuitton passed away in 1970. A year before his death, he wanted to take precautions against counterfeiters by opening a store in Tokyo. The company also launched successful advertising campaigns to combat fraud.

Herry Racamier, son-in-law of Gaston Vuitton, took over the management of the company in 1977. Racamier was a successful businessman. Earlier, he had sold his steelmaking company at great profit. This success continued in Louis Vuitton. The company increased its sales from $20 million in 1977 to $1 billion in 1987. During the Racamier era, Louis Vuitton stores were opened all over the world and Asia became the main export market. For the company, the 1980s were very successful years. Because the promotion was also done successfully. Sponsorships were made and a foundation was established for opera and music. In addition, modern technologies were used in production and two percent of sales revenue was used in the fight against counterfeiting.

In 1987, Louis Vuitton had a $4 billion merger with the liquor company Möet-Hennesy. With this merger, the autonomy of each company over its own management and subsidiaries was preserved. Louis Vuitton expanded its investments. Möet-Hennesy was 3 times older than Louis Vuitton, so its president, Alain Chevalier became president of LVMH and Racamier became vice president. Racamier and the Vuitton family had a 60 percent stake in Louis Vuitton and a 17 percent stake in LVMH.

The profitable and successful partnership at first, then evolved into legal battles between Racamier and Chevalier over company management and other issues. Racamier asked Bernard Arnault, a financial engineer, to buy a stake in the company. Racamier wanted to develop his position at LVMH with Arnault. However, he later realized that Arnault had other goals of his own. With the help of French investment bank Lazard Frères and British liquor giant Guinness Plc, Arnault secured for himself a 45 percent stake in LVMH.

Chevalier resigned, followed by an 18-month legal battle between Racamier and Arnault. Despite the strength of Louis Vuitton, which accounts for 32 percent of LVMH sales, they were unable to hold LVMH shares against Arnault. In court, Arnault won.

The ubiquity of the Louis Vuitton symbol in the mid-1980s damaged its status as a symbol; Profits and sales fell in the early 1990s. Arnault owned luxury brands such as Louis Vuitton, Dior, Givenchy, Lacroix and Loewe. They cooperated with each other.

LVMH adapted to growth and development in the mid-1990s. In 1997, LVMH bought French perfume and beauty retailer Sephora for $267 million and invested in Douglas International, a German cosmetics and beauty products retailer.

Despite all these acquisitions, the company's sales fell in 1997-98. LVMH was hit hard by the Asian crisis because half of the company's sales were in the Asian market. LVMH also spent a lot of time and money preventing the merger of drink rivals Guinness plc and Grand Metropolitan plc. This combined with the financial situation in Asia resulted in a 38 percent drop in LVMH's share price between July and November. This situation was temporary. “Asia will come back,” Merrill Lynch Global Securities analyst Edouard de Boisgelin told Business Week in late 1997. It will be an extraordinary source of growth for years to come. ' he predicted. In preparation for re-growth, LVMH entered the process of acquiring new brands.

1999 was a good year for LVMH. Asian economies improved, and so sales increased again in Asia, a key market for LVMH. Shares of the company rose 77 percent between January and August.

As sales increased, so did new investments and acquisitions. The company has invested in four American beauty products companies to expand its presence in fragrance and cosmetics, particularly in the United States: Hard Candy, Bliss Spa, BeneFit Cosmetics, and Make Up For Ever. Another important investment was the acquisition of a majority stake in Fendi, an Italian fashion design house run by five sisters, thus signing a partnership with Italian fashion company Prada.

In 1999, LVMH sales were at a record level, up 23 percent from the previous year. The company further consolidated its position as the leader of the luxury goods market. LVMH opened its US headquarters in New York in December 1999… The brand seemed ready to make its mark on the 21st century as well.

LVMH also made serious acquisitions and investments in the 2000s. He bought Emilo Pucci in 2000. It also increased its stake in Fendi in 2001. In 2011, Bulgari transferred its shares. He took over Rimova in 2016. in 2019; LVMH has launched Fenty to create a new luxury Maison developed by Rihanna. The musician had a 49.99 percent stake, while LVMH had a 50.01 percent majority. in 2019; Tiffany&Co announced that it will pay $135 per share, or $16.2 billion in total.

In 2018, Louis Vuitton brand value was $54,952 billion. It has been selected as the most valuable brand in luxury products in the world. Its versatility has been an advantage for many years. It was determined that LVMH had 4,592 stores in 2018. LVMH, a combination of Louis Vuitton, Moët and Hennessy, is one of the world's top luxury product sellers. LVMH sells luxury leather goods, handbags and ready-to-wear fashion under the Louis Vuitton brand, and wine and spirits under the Moët and Hennessy brands.