Vuitton and Dior Are Still Wardrobe Staples: Andrea Felsted

Back in January, Bernard Arnault, founder and chief executive officer of LVMH, said he would be perfectly happy with 8%-10% sales growth for the group’s fashion and leather goods division this year.

Expansion at that level now looks like wishful thinking. The unit, led by Louis Vuitton and Dior, just delivered a 2% increase in organic sales, its lowest growth since 2016 (excluding the pandemic-induced contraction).

Given that luxury is coming off of three blockbuster years, the outcome wasn’t as bad as it could have been. But if the world’s biggest luxury group is battling to lift sales, then the struggle ...