Why do the French dominate the luxury goods industry? Our Luxurist has pause for thought after an interesting question is posed over dinner
At an elegant dinner in London recently someone asked me, “Why are the French, so good at luxury? Is it about being individualistic?” As LVMH’s new head of watches and jewellery here in the UK, and a guest in their home, I resisted giving an instant reaction but went home to give the proposition some serious thought.
The French – through companies like LVMH (owner of Louis Vuitton, Krug, Marc Jacobs, Chaumet, Dior Watches, Tag Heuer and other prestigious brands), PPR (owners of Gucci Group), Hermès and others – may dominate the luxury industry, but I do not agree that luxury is the preserve of the French and I do not agree that it is born purely out of individualism. If this were true, as an industry it would have shrivelled and died long ago.
In reality the luxury goods market is born out of a marriage of our culture and history and, in fact, its origins lie in motives quite the opposite of individualism. As Montesquieu, the 18th-century French philosopher pointed out, “Were the rich not to be lavish, the poor would starve”. The demand by the French elite for highend goods and services was not only regarded as a moral duty but it was the engine that sustained the tradesmen and craftsmen of the day. The frenzy then for all things new and different inspired the designer craftsmen to produce more beautiful items. Driven by this fashionable lifestyle, accessories, food and furnishings followed and the master craftsmen of the 18th century continued to become more inventive, creating new styles and products to complement the ever-changing lifestyles of the aristocracy.
Their skills and secrets having been honed over a thousand years, the artisans operated guilds with strict apprenticeships, and maintained the highest standards, which are still applied in France and much of Europe today as a form of education, often regarded elsewhere as outmoded. The fingerprint of luxury is always the detail, and detail is second nature to us.
The French court dispatched its diplomats around the Empire and, as they patrolled the continents, they took with them gifts from home. Not only did these fabulous luxuries smooth the diplomatic path, they became highly effective shop windows for the creators. An international demand was soon generated and around the world the French came to be recognised as the undisputed arbiters of European taste and high fashion.
Luxury lies at the hub of the retail wheel and from its heart spins every form of production. Luxury can never be diluted, but it can run its course. Commodities like sugar and coffee were once considered luxuries but slowly they moved down the wheel to its outer rim and the world of mass consumerism. Another example is the Walkman; the Japanese developed this outstanding product for the mass market, leading to mass consumption. The French vision of luxury is precisely the opposite.
Unlike mass marketing, luxury beguiles and seduces and each House has its history and mythology. There is an element of magic. When a client buys a bracelet from Chaumet, he or she doesn’t just buy a bracelet: they buy into the culture, the history and the imagery. Every luxury house has its stories: the special vineyards, the charismatic founder, the re-discovery of some technique from the ancient world.
The mission they have is to the individual and to the elite; they have created a dedicated following. The need to lead, not follow, trends is in itself seductive and consumers of luxury revel in the notion of being individual. Therefore luxury is a continuum which must remain cutting edge. So, perhaps my initial instinct to refute the proposition entirely must be tempered. The notion of selfishness being entwined in luxury could well have a glimmer of truth after all.
ANTOINE PIN is Chief Executive of LVMH Watch & Jewellery (UK)