LVMH Expands Into The Asian Menswear Fashion Market - 4 minutes read
Jimin, a member of the boy group BTS.
Following the male fashion season, numerous companies have announced new additions to their worldwide ambassador roster. LVMH, the premium fashion behemoth, has appointed Jimin from BTS as its new worldwide ambassador. He joins the ranks of South Korean K-pop singers such as Jisoo from Blackpink, Sehun from Exo, and Cha Eunwoo from Astro.
Givenchy has also announced the appointment of Big Bang’s Taeyang as its first male worldwide ambassador. At Louis Vuitton, Chinese actor Dylan Wang is the brand’s newest global ambassador, and he participated in a video campaign for the brand’s cooperation with Japanese artist Yayoi Kusama.
Taeyang of Big Bang.
The wave of appointments at LVMH brands follows the reshuffle of its leadership of the various Maisons. Pietro Beccari, CEO of Christian Dior, will follow Michael Burke as CEO of Louis Vuitton, while Delphine Arnault, Bernard Arnault’s eldest daughter, will take over as CEO of Dior. Perhaps the cogs are already turning even before the new management takes over next month, with a larger emphasis on the Asian menswear market. According to market research firm Imarc, the worldwide menswear industry was worth US$533.3 billion in 2021 and is expected to be worth US$746.9 billion in 2027. The sector’s CAGR is expected to reach 5.92% between 2022 and 2027.
The increased thirst for fashion among males is supporting this expected trend. According to Euromonitor, male sales growth has regularly surpassed womenswear growth since 2016. Menswear demand has lately increased due to the advent of streetwear. With the broader move toward casualisation, it is predictable that premium companies such as Louis Vuitton, Dior, and Givenchy are investing more in their menswear departments.
Other variables at work include the convenience of purchasing through e-commerce, increased spending power, the growing importance of social media, and celebrity endorsement. These factors contribute to market expansion and male buyer interest. However, LVMH’s selection of Asian ambassadors is indicative of the group’s interest on the area. Spending power in the region has expanded dramatically over time as income has increased. According to an IMF report, Asia’s GDP will reach 4.5 percent in 2023.
Jimin, Taeyang, and Suga were most likely picked because of the enormous cultural impact that K-pop today possesses over the world. More than just music legends, these artists have evolved into embodiments of style and tastemakers. Furthermore, according to a recent Morgan Stanley analysis, South Korea is now the epicenter of luxury expenditure.
The country outspends economic behemoths such as China and the United States, raking in US$16.8 billion in sales and projecting a 24% growth in 2022. The younger generation, who have grown up listening to their idols’ music, will be very interested in mimicking them, and one of the quickest methods is through fashion. This gives a chance for firms to not only become linked with the ambassador, but it will also become the “trusted brand”.
Riding on burgeoning celebrity, like with Dylan Wang’s appointment, is a tried and true approach for success. The Chinese actor has over 17 million Weibo followers, and his video ad for Louis Vuitton’s Yayoi Kusama partnership earned over a million reports and close to 700,000 likes. Brands are undoubtedly eager to position themselves at the forefront of the cultural revolution and attract the attention of the increasing youth spenders. Consider the numerous appointments from a macro perspective.
In that situation, LVMH is attempting to boost sales in Asia since tensions in Europe and inflation are anticipated to erode consumer confidence. As a cautious approach to mitigate potential consequences and maintain growth. The company is focusing its efforts on Asia, which is widely seen as the next economic superpower. With such tremendous potential, it remains to be seen who will be picked as the next brand ambassador.