Luxury Brand Management A World of Privilege

The definitive guide to managing a luxury brand, newly revised and updated

What defines a luxury brand? Traditional wisdom suggests that it's one that's selective and exclusive--to such a degree that only one brand can exist within each retail category (automobiles, fragrances, cosmetics, etc.). But this definition is inherently restrictive, failing to take into account the way in which luxury brands today are increasingly identified as such by their placement in stores and how consumers perceive them. This revised and updated edition of Luxury Brand Management, the first comprehensive book on luxury brand management, looks at the world of branding today.

Written by two renowned insiders, the book builds on this new, broader definition of luxury and examines more than 450 internationally known brands from a wide range of industries. Packed with new information covering the financial crisis's impact on luxury brands, and looking towards a new period of growth, the book reconciles management, marketing, and creation with real-life examples and management tools that the authors have successfully used in their professional careers.
* Includes dedicated chapters focusing on each of the main functions of a luxury brand, including brand creation, the complexity of managing brand identity, the convergence of arts and brands, and much more
* Addresses the practical functions that can make or break bottom lines and affect brand perception, such as distribution, retailing, logistics, and licensing
* Focuses on brand life-cycle, brand identity, and licensing issues

A compelling and comprehensive examination of the different dimensions of luxury management in various sectors, this new edition of the classic text on brand management is essential reading for anyone working with or interested in making the most of a luxury brand in the post-recession world.

" Luxury Brand Management: A World of Privilege includes facts and figures never collected before which can help readers understand the main challenges of the luxury industry."
Christian Blanckaert, Chairman of Petit Bateau and Advisor to the EPI Group

"This book combines theory and practice. It is pragmatic, well illustrated, and has solid conceptual foundations. Building on their own extensive and international professional experience in luxury brand management, the authors describe and demonstrate that management and creativity can coexist and reinforce each other. Luxury Brand Management is both timely and useful."
Christian Pinson, Emeritus Professor of Marketing INSEAD, Fontainebleau, France

"Luxury Brand Management is very ambitious and it meets its goals."
Françoise Montenay, Former President of Chanel SAS, Paris

"There is no business like luxury where the brand manager's role is so essential and nearly an art, as it tries to blend the magic and the apparent irrationality of the creative process with the logic and reasoning of marketing and business requirements. The authors are the first to analyze these aspects and suggest the required comprehensive tools. A must–read for managers who want to succeed in this fascinating profession."
Carlo Valerio, Chief Executive Officer Istituto Europeo di Design, Milan

"Chevalier and Mazzalovo have written a masterful work to redefine luxury as it fits into the lifestyle of the wealthy and the newly wealthy. They have developed the concepts as well as the creative practices of luxury marketing to demonstrate the multi–channel process of 'luxury brand management.' This book provides a proactive experience in strategic business thinking."
Dr. Arthur A. Winters, Professor Emeritus & Professor Peggy Fincher Winters, Fashion Institute of Technology State University of New York

Introduction xv

CHAPTER 1 The Concept of Luxury 1

CHAPTER 2 Specificities of the Luxury Industry 27

CHAPTER 3 Major Luxury Sectors 51

CHAPTER 4 The Power of the Luxury Brand 91

CHAPTER 5 The Luxury Client 117

CHAPTER 6 Brand Analytical Tools 139

CHAPTER 7 Managing Creation 189

CHAPTER 8 Communication 215

CHAPTER 9 International Distribution 241

CHAPTER 10 Retailing 261

CHAPTER 11 Licensing Strategy 285

CONCLUSION 303

Index 307

MICHEL CHEVALIER is an expert in luxury brand management and retailing. A consultant with EIM in Paris and a visiting professor of luxury marketing and retailing at HEC and Paris–Dauphine University in Paris, he is also the coauthor of Luxury Retail Management and Luxury China, both published by Wiley.

GÉRALD MAZZALOVO is Managing Partner at Aravis S.A., a private equity firm active in luxury brands. He is also visiting Professor at Instituto de Empresa (Madrid), Université Paris–Dauphine, and Université Lumière in Lyon. A former consultant at Arthur Andersen, he has held the positions of president or CEO at luxury companies such as Ferragamo, Loewe, Bally, and Clergerie, and has consulted many multinational firms such as Pininfarina on strategic brand management. He is the author of the book Brand Aesthetics and coauthor of the book Pro Logo.