The Future of Luxury Fashion Report

#TheFUTUREisNOW
THE FUTURE
OF LUXURY
FASHION
REPORT
2021
INDEX 3
4
Letter From the Editor
State of Luxury Fashion
6 The Wake-up Call to the Luxury Fashion Industry Amber Jae Slooten
10 The Future of Retail: Gen Z style Jake Bjorseth
13 Are the days of department stores over? Ihsane El Ghazouani
17 When Luxury Meets the Metaverse Timmu Toke
20 Digital and Luxury: The love-hate relationship Anne-Christine Polet
23 Virtual Models are the new allies of Digital Luxury Cameron-James Wilson
26 How TikTok became luxury’s best friend Kristina Karassoulis
29 The turning point for Luxury Retail Fflur Roberts
32 The Next Big Thing in Luxury Retail Amrita Maria
35 After omnichannel, what’s coming next? Maghan McDowell
38 The Luxury Reset Button Is: Philosophical Geraldine Wharry
42 How and why is China saving the luxury market? Pablo Mauron
45 The Luxury Identity Crisis Martina Olbert
49 Josefinas: The luxury fairy tale Joana Esteves
53 The Future of Haute Couture Serge Carreira
57 Dreaming (about the) Store of the Future Lui Iarocheski
61 New vs Pre-owned Luxury — Who wins the battle? Maria Pimentel
66 Final Thoughts and Future Trends

68 A Thank You Note
69 AboutThePowerHouse
All written content is exclusive and coming from ThePowerHouse’s
research and for external use authorization is required.
2
LETTER
FROM THE
EDITOR And what if we told you that
#TheFUTUREisNOW ? industry. For this, we invited the most
brilliant professionals in the industry to
2020 was a year of challenges, but 2021, share their vision of the future with us,
for us, is a year of overcoming obstacles and together we began this journey into
and seizing opportunities. Some people the future of luxury fashion.
may say that thinking about the future is
a complicated and complex task, but we Is physical retail rising from the dead?
say it is a task only for the bravest and How will the next generation of consum-
most curious. ers change the meaning and concept of
luxury? Is online retail doing its best? In
That is why we decided to embrace the a battle between virtual reality and aug-
mission of discovering the future. In- mented reality, who will win the title?
deed, in this trend report, we focus espe-
cially on the future of the luxury fashion These were just a few of the many ques-
industry, taking into account the con- tions we asked the fascinating profes-
sumer of tomorrow, the retail challenges sionals and wise minds who helped us
and finally the fundamental role of tech- write the book for the future of the lux-
nological innovations for the growth and ury fashion industry. This is just the first
If you had to close your eyes and evolution of the industry. chapter, and we can’t wait to show you
think about the future, what But, make no mistake, this is not a normal
the rest!
would immediately go through

Sara Teixeira | Director of Marketing & Fu-
trend report. We decided to set up the ture Insights of ThePowerHouse and edi-
game and ask bold questions that dictate tor-in-chief of The Future of Luxury Fashion
your mind? the future of many aspects of the luxury Report.
3
STATE OF
Luxury: it’s time to say goodbye
to the old and hello to the new!
LUXURY
Statistics also say that, at the moment, This led to the need to rethink luxury
in a global comparison, most revenue is as we know it and to give birth to a new
generated in the United States, approxi- generation of luxury fashion that follows
mately $27,306m for the year 2021. modern times. So the battle between
FASHION
“traditional luxury” and “new luxury”
Actually, before the global pandemic the has become more intense and sexier than
global luxury goods market was expect- ever!
ed to increase from $285.1 billion in 2020
to $388 billion in 2025, at a CAGR of The old luxury no longer has a place in
6.4%. However, with the emergence and the minds of new consumers and with
spread of the pandemic, growth will not the growing influence o f M illenials a nd
be as linear due to reductions in con- Gen Z, the industry is gradually mov-
sumption and levels of GDPs and em- ing towards more sustainable and eth-
What’s going on with
ployment falling. ical products with a great experiential
luxury fashion? component. For some brands this can
But there is always hope and 2021 is the be a challenge, but for the most creative
year of hope! This growth and the return and innovative ones it is actually a great
This was the main question that inspired
to “normality” is expected to happen opportunity to raise the bar and be the
the whole idea of developing this trend
later this year with the help of Mainland game-changers in this new and modern
report. But first things first: for luxu-
China’s recovery, pent-up demand by luxury industry.
ry goods it is important to understand
Millennials and Generation Z, and the
that they range from fashion items such
ongoing maturity of the digital channel. Therefore, we will say goodbye to
as clothing and footwear, to prestigious
aspects such as extreme exclusivity,
cosmetics and fragrances, to luxury
It was at this time of decline and change overabundance and barriers in society
watches and jewelry and finally to luxury
that the luxury fashion industry was that were so characteristic of traditional
leather goods.
completely transformed. The general luxury, to say hello and welcome a more
idea of Luxury 4.0 is emerging, charac- thoughtful, conscious, inclusive,
The expected profit and revenue for lux-
terized not only by the growth of the transparent and above all more humane
ury fashion products worldwide is US$
online sales channel, but also by the digi- luxury.
106,850m and with a future analysis the
tization of the entire journey and experi-
market is expected to grow annually by
ence of luxury shopping for consumers.
4.81% (CAGR 2021–2025).
4
Luxury Brands - Who
is at the top?
The most notable companies are LVMH In fact, some of these luxury brands are %
(with brands such as Louis Vuitton, Fen- already opening their eyes to this fresh
di or Loro Piana), Kering (Gucci, Balen- yet complex new luxury and are devel- of the Luxury Market will be
ciaga, Saint Laurent and other brands), oping strategies that embrace the poten- composed of Millenials and Gen Z
Ralph Lauren and PVH (Calvin Klein, tial of digital to the fullest. For example, by 2026
Tommy Hilfiger). in the year 2019 Louis Vuitton released
a League of Legends collection while
What to expect in
Source: BCG Luxuryy Market Model, AltaGamma
Moschino debuted one for The Sims.
With the effects of the pandemic and
126,6
130,1
the future?
123,1 the cancellation of fashion shows, the
117,3
digital screen has become the new cat-
108,0 walk for brands to showcase their new In a short and brief Google search it is Based on the conclusions of several
Luxury Fashion Goods market
collections. Some brands, like Gucci, are possible to realize that the future will be reports and researches, we understand
94,3
developing virtual worlds with a differ- increasingly digital. Some luxury fashion that digital is more important than ever,
ent and unique shopping experience in brands are now adopting digital tech- social media is a new and important
collaboration with Roblox. nologies not only for the e-commerce stage, consumption will be carried out
platform but also to improve the store with more awareness about the impact
Among many other examples comes experience. Some of the biggest play- it has on the planet, and that values s uch
Balenciaga’s dystopian AW21 collection, ers that are threatening to be the next as ethics and transparency are great keys
which was shown both as a virtual reality successes are artificial intelligence, and for the future. But is that it? We do not
show using Oculus headsets and through immersive technologies like augmented believe that the future can be that linear
in billion US$
a precedent-setting video game entitled reality and virtual reality. 3D printing and predictable.
Afterworld: The Age of Tomorrow. It is also taking its first steps and is begin-
had the industry questioning where it ning to be recognized as an impossible That’s why we ask things differently and
might be headed next. strategy to ignore. that’s why we design and write all the
playbook chapters of the future of luxu-
2020 2021 2022 2023 2024 2025 ry fashion. Explore all the interviews and
interesting insights shared by our guests
Source: Statista Consumer Market Outlook 2020 and in the end join the conclusions and,
who knows, you might end up writing
the future with us!
5
INTERVIEW
01
THE WAKE-UP CALL

TO THE LUXURY
Amber has a traditional background in
fashion design. This could have been the
beginning of a normal career, until she
thought about doing things differently.
FASHION INDUSTRY
After learning how to use software to
create 3D clothes on the computer, she
finally realized where the real hope of
the fashion industry lay. Therefore,
Amber went from being a normal student
of design to becoming a futurist who was
ready to forge a new path in the fashion
industry. And so The Fabricant was born.
An interview with Amber Jae Slooten from The Fabricant
A Wake-up Call to the Luxury Fashion Industry

Amber and Kerry Murphy created The
Fabricant, a company of creative tech-
nologists, where fashion transcends the
Photo: Courtesy of Amber Jae Slooten

physical body, with digital identities as
new realities. The Fabricant is consid-
ered to be one of the most disruptive
and leading companies in the movement
that is taking human life to the next level
of existence, by showing the world that
clothing does not need to be physical to
Amber Jae Sloteen, co-founder and creative exist.
director at The Fabricant, calls the luxury With a disruptive, innovative and mod-
fashion industry to come to reality, and shows ern mind, Amber is leading a movement
towards a more conscious, responsible,
how brands must wake up, in order to survive intelligent, and much more technolog-
ical fashion industry. And she promises
in the digital future. that this is just the beginning.
6
INTERVIEW
01
TPH: One of The Fabricant’s sayings is, “Always

Digital, Never Physical.” How does this apply to
luxury fashion retail?
Amber: I firmly believe that brands that with younger consumers. The new con-
are afraid to move from physicality, both sumers were born in the digital world
in retail and in other sectors, are not see- and constantly live in a digital reality in
ing the impact that this has on the world, a way as or more intense than “real life”.
Credits: RTFKT X THE FABRICANT

or on the future that is approaching. Therefore, ignoring these facts is the
first step for luxury brands to fall and get
The most hesitant luxury fashion brands, lost in a market full of opportunities.
which aren’t looking at the potential of
digital technologies, are missing their I believe that innovative partnerships
flights into the future. The next and between games, virtual realities and digi-
younger generations will want some- tal worlds take luxury out of its bubble
thing more from brands. That something of exclusivity, elegance, excellence and
more is the power of technology, and the prestige and will be much more valued
commitment to changing and building a by the new consumer. Therefore, it is

better world. essential and crucial that luxury brands
start to enter this new world and think
In fact, if luxury fashion brands want to in a more concerned and thoughtful way
conquer and captivate these types of con- about the future of our planet and our
sumers, the secret algorithm is to enter resources. It is time to stop prioritising
the digital world. We have an example of the physicality of the conventional and
the impact that gaming currently has on “normal” world and be open to using
the fashion industry, and this is just one our imagination and the creation of new
of several formats that you can interact digital worlds.
7
INTERVIEW
01
TPH: In your opinion, are luxury

fashion brands retail future-proof?
Amber: The future of retail, in my opi-

nion, is based on two things: consumer
participation and using technology for
good.
Participation is one because I believe

that it is no longer just necessary to cre-
ate an experience; the consumer should

no longer be seen as a spectator but as Luxury fashion brands should stop
a creative and active part of that experi- thinking about who did it first. Fash-
ence. For example, instead of just seeing ion is no longer about who did it first,
clothes, consumers should be part of but about who did it best, and with the
the development and creation of those greatest positive impact on society and
clothes. humanity.
The use of technology for good is not just Therefore, in my opinion, for luxury fash-
using technology to hype your brand and ion brands to be retail future-proof they
be cool, innovative, trendy, and disrup- will have to rethink and work on last-
tive and then disappearing with all that ing changes in society. In fact, I believe
and going back to being “conventional”. that the store of the future will not be a
The use of digital technologies and in- shopping space, but a place to see peo-
novations must have a lasting impact on ple and hear stories and testimonies that

the system of change. Brands cannot just need to be heard. The store of the future
create a digital collection because every- will be less and less a store, but rather a
one else does and then return to normal. participation environment where it will
This is not being sustainable or being in- be possible to connect at a much deeper
novative; this is greenwashing. level with the brand.
8
INTERVIEW
01

TPH: How do you think the luxury fashion
industry can wake up?

Amber: I believe that many luxury
fashion brands will disappear if they do Luxury fashion brands should start to
not keep up with modern times and the interact more with the consumer be-
demands of new generations. The indus- yond stereotypes or financial status,
try is no longer a top-down system. It is and ask instead about their life, their
no longer brands that dictate things, but hobbies, their passions and what they
consumers. It’s all about bottom-up, so really appreciate in life. Develop a more
it’s only a matter of time before real human and intimate connection instead
changes start to happen in the luxury of something so superficial. Create di-
fashion industry. alogues based on respect, appreciation
and humility. For the luxury fashion
However, if I had to wake up the luxury industry to wake up and be ready for
fashion industry, I would say that the fu- the future ahead, it is necessary to stop
ture is not exclusive, but inclusive. The thinking about exclusivity, but rather
glory days of only certain people consum- to reduce barriers, participate and dia-
ing luxury goods and feeling luxurious is logue more with consumers in an inclu-
a very toxic and outdated idea that new sive way, because I believe that is the true
generations simply will not tolerate. and powerful luxury in modern times.
9
INTERVIEW
02
THE FUTURE
OF RETAIL:
GEN Z STYLE We all know that things will change for
this modern and disruptive generation,
however, what we still need to know is
An interview with Jake Bjorseth from Trndsttrs how the future of retail will change and
what are the main trends that luxury
fashion brands must follow to stay in the
game.
To answer this topic, we spoke with Jake
Photo: Courtesy of Jake Bjorseth

Bjorseth, a brilliant mind that at the age
of 22 gives voice to this new and exciting
The Future of Retail: Gen Z style

generation that promises to shake up the
In addition to the future of retail, Gen Z consumers are luxury market. Jake Bjorseth is the CEO
and founder of Trndsttrs, a North Amer-
already changing luxury in many different ways. From ican marketing and advertising agency
specializing in Gen Z. To understand
issues such as sustainability, purpose, impact on the these exciting consumers, the agency’s
team are social media marketing gurus,
planet and ethical concerns, the younger generation is content creators, social influencers, and
changing the industry. This fearless and digitally native trendsetters.
generation is rewriting and challenging the traditional Be prepared because we are going to en-
ter a fascinating and challenging Gen Z
rules of luxury. world.
10
INTERVIEW
02
TPH: What is the future of retail in the eyes of a Of course, some people will not agree
and will present the same argument
Gen Z consumer?
saying, “There is no way that people are
going to buy expensive products online,”
with the excuse that we need a person
Jake: Talking about the future of retail augmented and virtual reality gaining for that. Well, what do we see happen-
is an interesting topic, especially after more and more power over purchase ing now? In just three simple clicks, I can
2020 when the online world has been formats and becoming more and more buy a Tesla through my computer and
accelerating. Even after the huge breaks democratized, it will completely rock without having to deal with some sleazy
and obstacles of the world pandemic, I retail as we know it. car salesperson, and that is a $50,000 –
believe that the world will return to $60,000 car. So, those who say it is not
“normal,” and retail will make a bounce However, I believe that even with all the possible are not seeing it clearly.
Credits: PUMA RS-2K

back. However, this return must and will acceleration and digital modernization
be in line with both Gen Z’s and Millen- occurring, there is still a place for retail in So retail will need to become something
nial’s vision for the future. this world, but the purpose and function different, and that something differ-
have to change to do things that cannot ent is entertainment. With a focus on a
The funny thing is that, in my personal be replicated in the digital world. Once completely different retail just for the
opinion, I do not see a true future where VR and AR are the norm, your ability purpose of doing what is not possible
retail as we know it continues to ex- to try on anything you want in a digital to do online, I see a lot of potential for
ist. It will take the longest to affect the landscape will be possible. So why would collaborations as well as completely cre-
luxury fashion space because you are I go to a store to try something on? At that ative and crazy strategies within a retail
able to drive greater profit margin and point, retail will need to pivot and need landscape.

the consumer base is more likely to be to have some greater appeal that simply
influenced by a physical world for more cannot take place in the digital landscape. Therefore, the future of retailing in the
conservative and older consumers. But eyes of a Gen Z consumer will be com-
for younger demographics such as Gen That is really the bleak future of retail pletely different from today. Perhaps in
Z and Millennials, the way they are going as we know it. So, it will have to evolve the store of the future, luxury will be
to buy luxury fashion products is going to become more about entertainment collaborative and a store or building will
to be the same way they buy all of their rather than function. Right now, it is have 20 different brands with live mu-
products,that is 100% digitally enabled more a sense of function due to the sic, real-time interactions, and fashion
Credits: PUMA RS-2K
and purchased. possibility of physically touching, expe- designers working on the next projects,
riencing, and feeling. But in the future, and we can finally see them first hand.
That is the crucial point that many those are things that you’re not going to I think that is real entertainment, but if
brands have not yet opened their eyes need retail because that’s going to hap- there is no entertainment, there is no
to. With digital innovations such as pen in your own world. reason for luxury retail to exist.
11
INTERVIEW
02
TPH: What are the main trends that luxury

brands must adopt to succeed in the Gen Z
playbook?
Jake: In addition to all the various for us to create 3d image modelling of a can launch a apparel brand on Shopify,
technological innovations, such as aug- product and release that product digital- within an hour source product through
mented reality, virtual reality, block- ly. We can then await sales of it to actu- wholesaling such as Alibaba or others
chain and NFTs, I believe that the biggest ally even begin production. This means and immediately have their own apparel
trends and what will shake up the luxury new business models that are even more brand.
industry will be virtual influencers and sustainable and profitable.
3D modelling. What these luxury fashion brands need
So with 3d image modeling and vir- to realize is that the only thing that’s
In fact, if we think of some of the biggest tual influencers, I think luxury fashion stopping that market from getting into
influencers right now in Eastern parts brands should be investing right now in their space right now is the moat that
of the world, 100% of them are virtual creating their own virtual influencers. It they have around it, and to produce re-
influencers. We also see more and more is a short-term big investment right now, ally high quality fashion products, you
on Instagram, TikTok and other virtual but over the long haul, it gets rid of your need a scale, and that’s pretty drastic for
influencer platforms, who are gaining entire need to pay for models, actors or making the margins work.
recognition on the stage of digital com- influencers. So rather than playing Kim

Credits: @lilmiquela Instagram
munication. Kardashian to promote your product, Now, with 3D image modeling and pur-
brands can develop their own character chasing happening online, there’s a re-
So I think the luxury fashion market who can wear it completely free of charge. alistic possibility that any young person
should look at the ability to influence a That’s the technology that is massively can create a luxury fashion brand, and decade is not one luxury brand against
virtual world and give personality to new going to disrupt this industry. get pre-sales for it. Once that presale hits another. It’s not Louis Vuitton versus So the main trends and main teachings
characters who can effectively be the a certain number, then they can actually Gucci. What it is, is the 1000 young con- in Gen Z’s consumer playbook will be
faces of the big brands that have been The other thing that isn’t being talked put in a note to drive inventory to it and sumers and influencers who have more more digital and disruptive approaches
leading the market for years. The biggest about right now, and that luxury fashion finally start drop shipping the luxury than 200,000 followers on Tik Tok who and looking outside the luxury market
problem with that promotion is that with brands are totally missing the mark on, fashion items. would never be on the radar and, who because real competition may be behind
virtual influencers, we can’t just send is the fact that the barriers to entry in with the help of technology, launches the curtain. Elements such as virtual in-
them products for them to try on because all consumer markets are dissolving. We What luxury fashion brands have to their brand and little by little begins to fluencers and 3D modeling may be the
they’re not real. We need 3D imaging see this happening in the apparel indus- realize if they want to succeed is that prowl the minimum percentage that ex- next big hits that are going to transform
for that. So there is a huge opportunity try where any young person right now the greatest competition over the next ists to steal in the luxury fashion market. the luxury market in the next 10 years.
12
INTERVIEW
03
ARE THE DAYS

OF DEPARTMENT
STORES OVER? Despite its many years in business,
Galeries Lafayette has not lost its charm
An interview with Ihsane El Ghazouani from Galeries Lafayette and continues to highlight the most
beautiful, wonderful and fascinating lux-
ury products to this day.
Are the days of department stores over?

In 1912, Galeries Lafayette introduced a
disruptive way of shopping, and over the
Photo: Courtesy of Ihsane El Ghazouani

years, it has grown from the lovely streets
of Paris to great modern luxury centres,
Galeries Lafayette is a department store that such as the United Arab Emirates, Qatar,
opened in the 19th century and is still today a ma- China and many others.
jor stage for many luxury fashion brands. It is one Now the million dollar question arises: Is
the Galeries Lafayette department store
of the most famous and prominent department ready for the next generation of luxury?
stores in the world, opened by Théophile Bader To find out everything about the future
with the aim of being a “luxury bazaar” where and the adaptation of the majestic and
luxurious century-old department store,
prestigious products and luxurious items shine we interviewed Ihsane El Ghazouani,
Omnichannel Innovation Project Mana-
under the golden light of majestic architecture. ger at Galeries Lafayette Paris.
13
03
Credits: Instagram @galerieslafayette

INTERVIEW
TPH: Born in the 19th century. How will Galeries

Lafayette survive the 21st century?
Ihsane: Galeries Lafayette has a histor-

ic and remarkable place in the history and
evolution of luxury. However, the luxury
market in 1912, the year when we opened
the doors, is certainly not the same in
2021, when we kept the doors firmly shut. It has never been more important to talk We believe that the secret to this survival
about omnichannels and implementing is to consider the past together with the

It was in these long months of closed strategies focused on the interconnec- future. It is in the exclusivity, excellence
doors that we felt the real power and ex- tion of two hemispheres. We realise that and personalisation of the luxury ser-
treme need to innovate and create a new the modern consumer wants to be only vice, focusing on disruptive technology,
space, one that is as or more disruptive in a connected world, one without limits new purchase formats and new digital
than the building that was born in the or boundaries. They want to buy online functionalities.
19th century. and pick up in-store. They want to buy
in-store and get online discounts. So far, Our secret weapon: sales associates. We
With all the technological changes and in- the formula has seemed easy, but since believe that the more technological the
novations that have altered the world in March 2020, everything has changed. future is, the more innovative and full
which we live, we realised that the luxury of machines, the more consumers need
fashion market was changing and that we Now the department store’s retail has humanity. There has to be the right bal-
needed to get in and sign up for that change. to be more than that; it has to offer ance between technology and humanity.
It became clear that with the evolution something that justifies the consumers’ Only in this way do we reach innovation
of the digital world, it made no sense to presence and physical visit to our space. and the hearts of our consumers. Now it
ignore the obvious. Borders are falling, Therefore, surviving the 21st century is is up to us, the minds of the luxury retail
and the merging of offline and online not easy, but only those who lack imagi- industry to adapt and start the marathon
is approaching at a breakneck speed. nation and creativity give up. in this new and exciting reality.
14
INTERVIEW
03
TPH: Do you believe the next generation

of luxury consumers will shop in Galeries
Lafayette?
Ihsane: Of course, younger genera-

tions, such as Millennials and Genera-
tion Z are a real challenge for us. Galeries
Lafayette has been in the market for cen-
turies, so many young people may think
that we are the giant luxury dinosaur in

department store names.
However, we believe Galeries Lafayette

can reinvent itself and adapt to new gen-
erations and collaboratively develop un-
forgettable shopping experiences taking feel on the other side of our doors. We
into account the needs and desires of the will learn from the new generations; we
newest consumers. will grow with them and adapt our com-
mitments and promises to meet their
Luxury was born and evolved inside our demands, needs and interests.
doors and will continue to do so. Over
more than 100 years of our existence, We understand that the new generation
we have followed revolutions, various is going to change a lot of things in the
trends and behavioural changes within luxury market and around the world,
the world of luxury. So, it is just to con- but we are ready for this change, and
tinue this work and show the younger we can’t wait for the next generation of
consumers that true luxury is possible to Galeries Lafayette.
Credits: Instagram @galerieslafayett
15
03
Credits: Instagram @galerieslafayette

INTERVIEW
TPH: What will the department store look like

in the future?
Ihsane: In my opinion, the department

store of the future will still need a lot Of course, the main objective is always
of humanity. I believe that people will to sell luxury products, but the focus for
value going to the store and seeing fa- this to happen is on the development

miliar, friendly faces and having genuine and creation of memorable experiences
and human interactions. However, I also and on the unique interaction that can
believe that the store of the future will be built with consumers. It is in the abil-
be full of customer data and personal ity to use technology and other retail
information as soon as the consumer techniques to make the customers feel
steps into the store. This represents a the luxury brand hemisphere. Going
huge opportunity for all sales associates shopping can and will become some-
to adapt and improve services by taking thing completely different, like going to
into account the special needs and pref- a museum, an art exhibition, a concert or
erences of each consumer. listening to new music.
The department store of the future will And of course, in a Louis Vuitton store
be full of technology, like smart and easy it is possible to feel the entire universe
payments and virtual reality; however, of the brand, but in Galeries Lafayette it
what will really shape the future of a de- is possible to feel the entire universe of
partment store is the ability to transform luxury in every corner and floor. That’s
the consumer’s visit into an experience. the true luxury experience.
16
WHEN LUXURY
Photo: Courtesy of Timmu Toke

MEETS THE
METAVERSE
An article written by Timmu Toke from WOLF 3D
When Luxury Meets the Metaverse

The metaverse is a collective shared vir-
tual space that includes virtual worlds,
augmented reality and the Internet. The
word “metaverse” is composed of the
prefix “meta”, which means beyond, and But what happens when luxury meets
“verse”, which is an inverse formation of the metaverse? That’s what we tried to
“universe”. find out by meeting Timmu Toke, CEO
at Wolf3D and a strong believer in the
In addition to being a virtual universe, metaverse’s potential.
the metaverse is also a place of opportu-
nity, and the luxury industry has already Stay tuned because we will get to learn
started taking the first steps towards everything about the virtual universe
creating and developing business in the and its relationship with the luxury
virtual sphere. fashion industry.
17
Credits: METAJACKET from @rtfktstudios
I have always been a great believer in the
future of the metaverse, and in these last
few months, people have spent more
and more time in virtual worlds, wh-
ether at events, fashion shows, games,
communication apps or any type of
apps for different purposes. Therefore,
I believe that the importance of the
metaverse is in the spotlight and will
dictate the success and survival of many
businesses.
That was the main reason why I created to improving this technology and pro-
Wolf3D, the creator of Ready Player.me, cess. All of this now makes it possible
a platform that allows the creation of that, in seconds, a person can create an
a digital identity for different services, avatar simply through a selfie because
games and applications so that the user we have more than 20,000 faces in the
can always have the same identity in the background. It involves a lot of work
virtual world. For us, having only one and complexity in the background that
identity that can be used by different we are increasingly enhancing.
services makes perfect sense because it

allows users to remain in different situ- Right now, Readey Player.me is already
ations in the virtual world. For this, we being used in more than 100 video
worked for a long time to develop and games and apps in the virtual world, and
improve the technology, from building I notice that more and more industries
hardware scanners and scanning ex- are considering the metaverse as a new
pressions and people to collecting data market place.
This also applies to the luxury industry,

especially the luxury fashion industry,
because the advantage of investing and
creating new things in the virtual world
is not just for marketing purposes and
communication exposure, but a great
and profitable form of business.
18
Credits: METAJACKET X TOBY EVANS from @rtfktstudios
Fortnite, perhaps one of the best exam-
ples ever, is selling more than a billion not a losing battle but an even more ex-
dollars worth of clothing and fashion citing one because they have to find their
design virtually which is not manufac- own strategy in this virtual world. Of
tured anywhere and represents more course, it is not easy because they are not
than a billion dollars in revenue in just technology companies and do not know
one game. So virtual worlds become a how it works or in which games it makes
very interesting place for luxury com- sense to bet and create digital assets.
panies to leverage and put the brand on That’s where we come in. We tell brands
another completely surprising level in a which games to be in because we give
non-physical world. them access to different platforms and
games where they can virtually expose
The virtual world is becoming more im- their brand and sell their products.
portant every year and every decade. In
fact, if we think about it, a few decades So it’s a big opportunity, both for native- Therefore, luxury fashion brands must
ago there would be few who would agree ly digital brands that have developed into find a strategy to enter the virtual world
that the virtual world would be a new digital as well as for existing brands to because there is a new retail and sales
universe to explore so deeply. At this enter this virtual world to keep up with opportunity here. Buying digital items or
Credits: @rtfktstudios
point, we realize that even without the the market. An example of a company shopping through a video game or app is
metaverse being explored to its limit, that is dominating the virtual world per- very normal for the new generation, just
there are still more virtual interactions fectly is RTFKT, a company created in look at the numbers, right now we know

and very few real interactions. So the vir- January 2020 that uses the latest in game that people spend tens of billions of dol-
tual world is becoming more important engines, NFT, blockchain authentication lars every year on merchandising and
than the real world in a lot of ways. In and augmented reality, combined with items in a virtual game.
my opinion, the virtual world is actually manufacturing expertise to create sneak-
becoming more and more real, because ers and digital artifacts. In other words,
Of course, the traditional luxury consum-
there’s going to be economics and social it is a luxury brand created and designeder is more complex and will therefore
spheres in virtual worlds that turn out specifically for the digital world that sells
have more barriers to adopt these types
to be much more important than “real” shoes for as little as $20,000. and formats of retail, however, with the
economies and societies. new generation we are seeing a totally
So brands like these are disruptive and different behavior. The question that
are ready to conquer a new market, cre- remains for the brands most hesitant to
ating from scratch luxury fashion brands enter the metaverse is do they want to
and experiences for the virtual world. be mainstream or do they want to lose
Regarding existing luxury brands, it is the race?
19
INTERVIEW
04
DIGITAL AND LUXURY:

THE LOVE-HATE
RELATIONSHIP
An interview with Anne-Christine Polet from HATCH & STITCH
Digital and Luxury: The love-hate relationship

Photo: Courtesy of Anne-Christine Polet
Anne-Christine plays a very important
and impactful role in the future of the in-
Anne-Christine Polet, a pioneer in digitizing the fashion dustry and is currently head of HATCH
& STITCH, which has a very “simple”
industry, shared with us her wonderful insights into the mission — digitizing the fashion value
chain and helping to create the future
future of luxury fashion retail. During a fluid conversation, of fashion.
we realized that it would be impossible to talk about the Join us to learn how the fashion industry
future of retail without talking about the love-hate can and should overcome this dilemma
and prepare for a real, yet challenging
dilemma surrounding the digital and the luxury industry. future.
20
04
Credits: Louis Vuitton Maison Osaka Midosuji

INTERVIEW
TPH: Why is the luxury

industry so hesitant
TPH: Why do physical
about digital?
stores remain so
Anne-Christine: This for me is a su- important in luxury?
per interesting and challenging question
because there’s this long-held belief that
digital and luxury cannot go together. Anne-Christine: No-one does phys-
On the one hand, you have the beautiful ical retail as well as luxury stores. The
world luxury that is aspirational and ex- stores and physical spaces of luxury fash-
clusive while on the other hand, you have ion brands are so important because they
the online world that is convenient and allow for the creation of an exclusive ex-
accessible. perience and a personalized, tailor-made,
service for the consumer.
My hypothesis is that this is the main

reason why some big fashion houses have The luxury fashion stores are like tem-
been hesitant to fully embrace topics like ples of the brands where stories are
e-commerce and digital to revitalize the shared and where this luxury comes to-
luxury industry. gether. The moment you enter a store,
everything makes sense: the interior
What I think could be an unlock, is look- designs, the smells, the product display,
ing for ways that luxury fashion brands the lighting, the music. It is a shopping
can offer their unique customer service experience designed and planned to
one-to-one in the digital world. How touch all our human senses. It is all per-
do you make customers feel special and fectly and harmoniously aligned to make
unique in the online format? How can you us feel a true and special luxury consum-
create a personal, high-touch and exclu- er. And then there’s the service: some of
sive experience? Because in the end, this the store staff might know customers by
is what luxury is all about: a dream world, name, they share a history, they know ex-
something to aspire to, that feels like actly what that client likes or doesn’t like.
you’re entering the world of a brand. So, When operating in the luxury segment, This power of the physical stores, com-
I honestly think that is the million-dollar your consumers buy into the products, bined with the impeccable & personal
question that the entire industry is try- but also very much into the brand and service, is what’s hard to replicate with
ing to answer right now. the service. digital and innovative technologies.
21
04
Credits: Swarovski SoHo Broadway Store

INTERVIEW
TPH: How can we change the love-hate

relationship between digital and luxury?
Anne-Christine: From what I have

seen happening, the industry is already
trying. However, I don’t think they are
embracing it to the fullest extent yet.
Having a digital presence on social media
and using creative technologies such as not just being innovative and trendy,
gaming and augmented or virtual reality but actually creating a seamless,

is not actually enough to set the brand up easy-to-shop experience. Something
for the digital future. Nor is it enough to that is long-lasting, immersive and really
reap the gains of true digitization, from changes the industry for good.
design all the way to the consumer.
So, for me, the way to change the
The biggest challenge for luxury fashion love-hate relationship between luxury
brands is this: if your physical stores are and digital, the way to finally make them
these magical, charming, and exclusive work together is to focus on what luxu-
places, how can you ensure that your ry players do so well: their personalized
e-commerce website and other digital and exclusive service. The digital world
store-fronts have a similar experience? lends itself incredibly well to personal-
Yes, we have seen countless stores de- ized and highly tailored customer ser-
veloping and creating virtual stores, but vice. It can form the basis for unique and
some of these seem very gimmicky... I tailor-made experiences in the online
believe that the path to the future is to world that have the potential to be even
develop innovative technologies that more unique than offline! So focusing on
create new retail formats, allowing us really good CRM (customer relationship
to truly experience digital luxury. These management) is a big foundation for the
types of technologies have the role of luxury’s digital future.
22
INTERVIEW
05
VIRTUAL MODELS
ARE THE NEW
ALLIES OF DIGITAL We had the pleasure of meeting the
man behind the most beautiful virtual
LUXURY
models we’ve ever seen! Let us proud-
ly introduce Cameron-James Wilson, a
Virtual Models are the new allies of Digital Luxury

British fashion photographer and visual
artist with over a decade of experience
in the industry. Now known as “The Man
An interview with Cameron-James Wilson from The Diigitals Behind The World’s First Digital Super-
model’, Cameron created Shudu, the first
Photo: Courtesy of Cameron-James Wilson

digital supermodel who is here to stay.
In 2017, in his mother’s garden, he found-

ed the world’s first all-digital model
agency, The Diigitals, with a brilliant
team and a portfolio of models literal-
ly from another world. Some of those
There are already some virtual models and influencers names are Shudu, Dangy, Brenn, Koffi,
Boyce and J-Yung.
who are taking the next step towards a more digital and
innovative luxury. These new avatars who have blown We believe that innovative ideas like
these have huge potential to sor and
up social media represent a new era and an exciting change the luxury industry one step at
a time. And virtual models represent a
start for the luxury industry in the virtual space. huge and beautiful step.
23
05
Credits: Dagny Gram @The Diigitals

TPH: How are digital models going to change
the luxury fashion industry?
Cameron: There are many ways for These could be the most obvious reasons,
digital models to change the industry, but in my view, I believe that digital mod-
but the main reason is to make the luxu- els are equally important to give a real
ry fashion industry more sustainable and face to luxury fashion brands. When we
conscious. If you think about it, all thesethink of big brands like Gucci or Versace,
amazing and wonderful photo shoots we think of names of emblematic de-
and physical fashion weeks are very dam- signers from the luxury fashion industry.
aging to the environment in terms of the However, these global geniuses and idols
amount of waste and levels of carbons are not related to the final consumer.

that are produced. Therefore, luxury brands should invest
in personalities more related to a public
Luxury fashion brands are flying thou- personality and an opinion that matters
sands of models and teams from country on various subjects in the world.
Credits: Shudu Gram @The Diigitals

to country across the world and produce
all these samples that are simply thrown In fact, if we look closely at brands right
away or thrown away because they are now, they are interacting more than ever. sessions with the avatar of the current
no longer useful. Therefore, we hope If we look at ten, five or even three years luxury fashion brand, and thus promote
that digital models will help make this ago, we did not see the amount of pres- brands and products, but above all, the
process more sustainable and secondly ence of brands on social networks and values a nd brand identity.
more accessible. the need to start the conversation. So,
I think that if brands create their own This is something that cannot be done
In fact, this represents a completely dif- virtual models that give a real face to with a celebrity or digital influencer, be-
ferent world for the luxury that lives in the company, they could start to build cause his/her behaviour is completely
the bubble of exclusivity and privacy, but authentic personalities and share very unpredictable. While, with their own
making your activities like fashion weeks important and meaningful stories. In avatar, brands would have more control
or digital shows makes it not just a frac- fact, there are so many cool things they over writing their story - they could set
tion of the world to consume this type of could do, that would especially appeal to goals and start in-depth narratives that
yet rather, a much broader audience that a new generation as an avatar of a luxury are much more interesting and extreme-
is ready to feel included. fashion brand to do collaborations and ly fascinating.
24
05
Credits: Dagny Gram @The Diigitals

INTERVIEW
TPH: Do you believe that virtual models or

influencers will shake up luxury retail?
Cameron: Influencers or digital models

are part of something much bigger than
just digital influencers, which is digital
fashion.
Virtual fashion is a big wave that is taking

complete control of the fashion industry.
It is a movement that has grown over the
years, but now more than ever, it is begin- Based on that, I hope that virtual mod-
ning to gain momentum and start a real els will become increasingly accessible
revolution. to people so that in the future, we can
all have our own avatars as a kind of
So, what many designers are doing now is, our personas on the social networks we
instead of designing their products with create and dress according to what we
2D sketches, they are designing their prod- want to be in that group or social con-
ucts with 3D virtual clothes, which allows nection, which, in this case, is digital. So,
them to create very accurate representa- I truly believe that in the future, avatars
tions of these clothes in a more ecological, will become more part of who we are
environmentally friendly way, and it is and that they can share our personali-
much faster and more efficient. There- ty within the metaverse and the virtual
fore, virtual models are part of this move- collective space. I believe that these
ment, and I think that it will obviously be changes are here to stay and that tech-
affected by both. Consumers are increas- nologies such as these will be the real al-
ingly buying virtual products, and of lies to bring the luxury fashion industry
course, virtual models are needed to dis- to the present day and begin the journey
play and promote these products. towards an exciting future.
Credits: Shudu Gram @The Diigitals
25
INTERVIEW
06
HOW TIKTOK
BECAME
LUXURY’S BEST
FRIEND
Kristina has a fascinating track record
of driving digital growth and cross-plat-
form commercial strategies to maximize
revenue results. She is passionate about
driving digital transformations and de-
veloping innovative and outside-the-box
How TikTok became luxury’s best friend

An interview with Kristina Karassoulis from TikTok solutions for both consumers and busi-
Photo: Courtesy of Kristina Karassoulis

ness partners.
For over a year, Kristina has been work-

ing at TikTok, a short-form video and en-
tertainment app that is transforming and
Kristina Karassoulis is an Australian woman who made her dream revolutionizing global communication
and consumption. Kristina is responsi-
of working in luxury come true in London. She graduated from ble for brand partnerships in the luxury
sectors of Europe, the Middle East and
The University of New South Wales with a degree in Media, Africa.
Public Relations and Advertising, and quickly became an expert We launched the challenge, Kristina hap-
in the digital domain. Her path has led her from the music pily accepted, and is helping us to under-
stand how TikTok has so quickly become
industry and entertainment to fashion and luxury. the best friend of luxury fashion brands.
26
INTERVIEW
06
TPH: How can luxury fashion brands
Credits: @leoniehanne on TikTok

survive in a TikTok world?
Kristina: TikTok is a completely To enter the world of TikTok and inter-

different platform which allows luxury act with the consumers of the future, the
brands to be at the epicentre of trends real secret lies in cultural currency. Con-
and culture. It is a platform that offers sumers worldwide are seeking more
the potential for brands to interact with emotionally enriching relationships
the global community, and that is why it with brands. More importantly, consum-
is essential that brands start leaning into er participation is at the core, so the real
this unique full screen, sound on expe- innovation for luxury is about bringing
rience and that they raise their market- consumers into that ecosystem.
ing efforts and advertising campaigns to
a totally new level. Cultural currency moves the luxury
equation forward, and I believe that is

So, for luxury brands to adapt to a gen- the reason that people line up for days
eration with a focus on TikTok, it is now to purchase a pair of YEEZY sneakers or
more important than ever to adapt to the reason that brands such as Supreme
culture and evolve in a unique way, as are doing disruptive collaborations with
well as in a way that moves people emo- traditional luxury brands such as Louis order to sell out this cardigan. The hash- starting to realise that the platform was
tionally. I talk a lot about this idea of mov- Vuitton. tag went absolutely viral, then people designed to be creative, culture driven,
ing people emotionally because of the started to recreate their own version of full screen and sound on.
massive shift that we’ve seen in the way The hashtag #HarryStylesCardigan the cardigan and that was a big opportu-
that these brands show up on platforms. on TikTok has since accumulated over nity for the brand because they followed That said, I believe that platforms like
Brands cannot enter TikTok in the same 71 million views, and is one of the first the trend and said “You know what, let’s TikTok are a big trend when it comes to
way as they have always entered other instances when a brand, especially an release the patchwork so that people can luxury or fashion communication, but If luxury brands want to survive and
digital platforms. The times of putting a emerging one, has enjoyed this level of knit their own cardigan.” also has huge retail potential, and it’s succeed in the TikTok world with
supermodel on the front page and selling organic virality. What was really inter- initiatives like these, disruptive and in- the young generation, they have to
the products are over and TikTok and esting about that was it was the first time I think the ones that are succeeding on novative, that will shift the mindset of team up with us and be aware that the
many other social platforms have had that an emerging brand, JW Anderson, the platform are the ones that are recog- what luxury means and how to buy and future is about participation and bringing
a major impact on changing that mindset. actually jumped onboard a trend in nising the platform as unique. They’re interact with luxury in modern times. creativity to life.
27
INTERVIEW
06
Credits: @oliviaandalice on TikTok
TPH: Can TikTok change luxury retail

for good?
Kristina: In my opinion, the global pan- For instance, Burberry launched the first
demic has changed retail and purchas- social retail store in Shenzhen in col-
ing behaviour forever. I think retailers laboration with WeChat. I think we’ve
and luxury brands should optimise their started to see digital becoming a mas-
online shopping experience as much as sive trend in bringing experiences to life.
possible. In fact, consumers are increas- But I think, for me, it goes further than
ingly adopting new technologies since that. It’s not just about having a physical
augmented reality, using effects to try on or digital presence, but being in the rel-

clothes and accessories or using smart evant and beloved spaces and environ-
glasses to enter in a virtual reality space. ments for tomorrow’s consumers. And
This type of innovation promotes a new TikTok is the perfect tool for that!
and disruptive shopping experience, a completely different and simply inno-
something that retail desperately needs. A lot of these luxury retailers are now vative way of purchasing and experienc-
coming to us to create a retail experi- ing the product.
However, despite all the technologies, ence through e-commerce or different
I believe retail is not at its maximum po- advertising platforms. One of the exam- Maybe in the future, there will be a store,
tential yet. With TikTok, online retail can ples of how TikTok started to play into where all these moments of entertain-
increase and be more creative and dynam- this space, for example, was a game we ment and fun can come to life. I really be-
ic as physical stores resurrect. I always launched to sell Ray-Ban sunglasses in lieve that there is so much to talk about
say to my team “Luxury brands don’t sell which we built this amazing gamified ef- when it comes to innovation in the luxu-
products, but a lifestyle,” which is why fect with our team, where you could use ry market, especially in retail. TikTok is
I think storytelling is key to everything that your eyebrows as a pinball machine and just entering the game now, but we are
brands can do. This leads us to the impor- as you played pinball with your eyebrows sure that it is ready to redesign the next
tance of a great trend called: Social Retail. the glasses would change. This offers era of retail.
28
INTERVIEW
07
THE TURNING
POINT FOR
LUXURY RETAIL
An interview with Fflur Roberts from Euromonitor International
Photo: Courtesy of Fflur Roberts
The turning point for Luxury Retail

According to this theme, we invited Fflur
Roberts, Head of Global Luxury at Euro-
monitor International, to participate in
our trend report on what is changing in
We are entering the era of Retail 5.0. Many trends luxury retail, so we can learn how luxury
brands should adapt to this new splendid
and shifts are happening at a breakneck pace. The world. Fflur Roberts is a brilliant profes-
time has come for luxury retailers to approach sional who has worked in the luxury sec-
tor for over 22 years. She has seen a lot
the turning point and start a new era, which will of changes, and believes that the turning
point for the future of luxury retail is just
be based on innovation and technology. ahead.
29
07
Credits: Louis Vuitton Ginza Namiki store

TPH: Why is this the time for
necessary changes in Luxury?
Fflur: The ideal time for luxury brands

to change and adapt is now. Why now?
The unprecedented effects of the glob-
al pandemic have had a huge impact not
only on the way people buy luxury goods,
but it has also affected consumer behavior
and shopping patterns. In the year most
of the purchases and transactions have
come through online digital shopping.
To this end luxury brands and companies
needs to make the necessary changes now
Credits: Louis Vuitton Ginza Namiki store
to futureproof their business models and

ensure that they have a strong and effec-
tive digital strategy in place.

In fact, it is not enough just to be digital, Therefore, in my opinion, brands that
luxury brands need to integrate an omni- want to survive and be part of the turn-
channel presence in all processes and ing point of luxury have to fulfill all the
points of sale. Needless to say, there are requirements and realize that in the list
many challenges to overcome in getting to remain in the game, they have to be
your digital strategy right but moving flexible and adapt easily to the digital
forward there are countless opportuni- world. They need to rethink their strat-
ties. One of the key obstacles and pain egies in terms of sustainability, social
points that has been brought to light on responsibility, ethical issues and inequal-
the back of COBID-19 is surrounding ity, and most important of all they have
the issue of the supply chain in the fash- to make the luxury experience more
ion and luxury industry as well as having inclusive and really change the mindset of
a good last-mile delivery service. 20 years ago.
30
INTERVIEW
07
Credits: Louis Vuitton and VOGUE

TPH: What are the main trends for
Fflur: There are many trends changing This trend is something that we have reason, in my analysis, is due to changes
the future of luxury fashion retail. From been seeing more of, but with the pan- in the workplace. With countries clos-
digital innovation to 3D printing to the demic and Chinese consumers buying ing down due to the pandemic, compa-
ability to revolutionize the production luxury in the national territory due to nies were forced to adapt to remote and
Credits: Louis Vuitton and VOGUE

process, opportunities are endless. In the impossibility of traveling, local con- digital work, which made it possible for
addition, personalization, outstanding sumption has increased, and as such, the some people to work anywhere in the
customer service, and the improve- brands have to follow consumers to their world more freely and autonomously.

ments to home delivery services will homes. That is why the work environment has
also play an important role in upcom- changed forever, and that is why con-
ing trends in retail. Although local consumption has been sumers no longer have to be in big city
more intense in China, at this moment centers and can build their lives where it
I believe the biggest trend that we are in almost all of the world, the biggest is most convenient for them.
likely to see shifting more the game of cities are losing ground to calmer and
selling luxury is local shopping. Luxu- more peaceful places. In fact, if we look In fact, some brands have already un-
ry brands cannot miss this opportunity, at real estate markets around the world, derstood this trend and have started to
and I see this return of consumers to lots of people are moving out of the city open stores in strategic locations closer
their homes and the ability to work out- to smaller cities or countryside in search to consumers. Luxury brands that do
side urban centers as an opportunity to of a better quality of life. People do not not see these changes in behavior and
follow them and settle in other centers want to live in an apartment mixed with do not see them as new marketing and
that until then would not have been at- other people, and there are many reasons business opportunities are not ready for
tractive to a strategic business. behind it, however, the most important the luxury turning point.
31
INTERVIEW
08
THE NEXT BIG

THING IN LUXURY
RETAIL
Photo: Courtesy of Amrita Maria

An interview with Amrita Maria from Obsess
The Next Big Thing in Luxury Retail

In 2020, we saw the birth of the most beautiful and incredible
virtual stores of some luxury fashion brands. We couldn’t help
wanting to find out who the brilliant minds were behind the
For that reason, we contacted Amrita
building of a new retail format that gives a new life to online Maria, business development manager at
retail. After a short research, we discovered that Obsess was Obsess to share her vision with us as well
as the company’s vision for the future of
responsible for the development of the most fascinating stores luxury fashion retail.
we’ve ever seen. Welcome to the world of virtual reality!
32
08
Credits: Obsess Virtual Store
TPH: What does Obsess do?
Our mission at Obsess is to make online

Amrita: Obsess is an experiential e-com- shopping fun, engaging and interactive.
merce platform. If you think about online Therefore, we are disrupting the typical
shopping today, whether you’re buying e-commerce interface with a white back- Our technology format is designed to
for fashion, for beauty, for jewellery, what- ground grid of 2D images and develop- be very human and intuitive, as we’re
ever category it is and whichever price ing a creative, dynamic online shopping used to seeing the world in a spatial
point it is, it’s all in this white background interface that brings the essence and soul format, so having the possibility to
grid of 2D images. This interface was of the brand. buy products online in a 3D experience
created by Amazon 25 years ago to sell where we can navigate and move around
books and somehow today, everything is And it’s quite easy to access our online freely, makes the digital experience
still being sold in the same way. stores, as there’s no need for a VR headset more discovery-driven.
or any app download – users can directly
We know that today’s consumer is used access Obsess powered virtual stores on Just to conclude, Obsess has two ways to
to interacting and breathing in creative the brands’ existing e-commerce website, build these immersive shopping experi-
content on a regular basis. We know that from their mobile phones or desktops ences. One, we can recreate an existing

the next generation of luxury goods will anywhere in the world and can visit and store environment by photographing
be the generation of gaming, social media enter their favorite stores in 3D 360 im- the physical store, then add layers of
and digital avatars, and we also believe mersive shopping experience. e-commerce and interactivity and all the
that the future of luxury brands depends features that brands want. Or the second
on the ability to create and generate In fact, data confirms that customers are way is that, we can digitally build a virtu-
branded experiences online. spending equal or more time in virtual al store from scratch that doesn’t exist
stores than in the standard e-commerce in real life. This second service allows us
In the last couple of years, experiences sites of the same brands. For example, to be more innovative and to challenge So the beauty of this is that here we can
have been constrained to the physical one of our clients has seen increase in the rules of gravity and reality. Through create environments that can look how-
presence of brands, from their flagships conversion rate of up to 70%, from the state-of-the-art technology, we can build ever the brand wants to make them, and
to runways. However, today brands are traffic going from the virtual store to environments that can look very photo- we can bring that vision to life. We believe
rethinking their online presence and their site, compared to the normal site realistic or we can also build fantastical that is the true future of retail, making
how to engage with their customers on rate conversion for the same collection spaces that are not likely to exist in real e-commerce and digital shopping more
a deeper level. within the same time period. life such as an underwater store. experiential and interactive.
33
INTERVIEW
08
TPH: How can online TPH: What are the main trends you think will

retail take the next shape the future of online retail?
step?
Amrita: So one of the trends that we’re

So definitely, this is one of the trends
seeing is that luxury brands are starting
where we will see brands taking their
to realize that their .com is their new
existing retail locations/flagship stores
flagship.
and making them available on their site
Amrita: If we think about online shop- for customers. So, if I’m in Milan, I can
That said, if the luxury brands want to
ping, it has been very much focused on access a store in Paris or in Beverly Hills,
engage with their customers who are
speed and checkout, so it has been lack- and see the luxury fashion trends and
used to shopping online and to those
ing any branded experience in the digital have access to a personalized service
who prefer to shop in the comfort of their
sphere. without having to travel.
home with their friends and family, these
brands have to offer something more
Online retail, till recently, has lacked the We’re also seeing brands starting to cre-
than a catalog layout of just showcasing
ability to tell a story and provide more ate unique environments. The focus on
the product.
intimate and deeper experiences and Virtual stores have the ability to be more the future is to create a digital environ-
connections between consumers with than products displayed with price, de- ment where the consumer can immerse

luxury brands. scription and information. Virtual stores into a branded world, related to what
allow interaction, appeal to more hu- they’re showcasing in that seasonal col-

Therefore, the key for online retailing to man senses and, most importantly, allow lection. So, if the collection is inspired
take the next step is the ability to share shared interactions in which consumers by the sea, why not create an underwater
narratives. Because actually, we don’t can go shopping with friends in a com- environment? Or if it’s a collection in-
buy a 1000 dollar dress because it’s just pletely digital environment. spired by a summer pool party, why not
something that we need, we buy it be- show the collection on a rooftop?
cause it is something that we desire and In fact, virtual stores are becoming their
there is a whole story behind it that de- own established sales channel, beyond In the coming years, we will be seeing
serves to be told. the two exsiitng channels – physical retail more and more brands explore virtual
and e-commerce sites. Brands are already stores as their new sales channel and add
So how to bring that story and narrative setting up their virtual sales teams, to lev- their personality and essence to make
to life in a digital format? That’s where erage this new sales channel that brings online shopping fun and memorable for
virtual stores come in. the best of offline and online shopping. their customers.
34
INTERVIEW
09
AFTER
Photo: Courtesy of Maghan McDowell

OMNICHANNEL,
WHAT’S
COMING NEXT? To answer this question we invited
After omnichannel, what’s coming next?

An interview with Maghan McDowell from Vogue Business Maghan McDowell, senior innovation
editor at Vogue Business to help us
understand the main trends that will
shape the next big theory. Maghan is
recognised as a brilliant and innovative
mind in the fashion industry by iden-
tifying the key drivers of fashion and
We all know that omnichannel theory has led the retail, and offering digestible insights
into how technology will impact the
retail sector in recent years. However, we also know business.
that the future is unpredictable and that the next During our conversation with the fab-
great theory that redefines retail may be just around ulous expert and experienced writer
and editor, we realised that there are
the corner. So, we ask ourselves, what will be the already some clues to the trends that
will dictate the future of retail and the
next big thing to shake luxury retail? next great theory.
35
INTERVIEW
09
TPH: What trends will open new horizons for

Maghan: In my analysis of the pande-

mic, and the effects of Covid-19, we I also see the fact that due to the effects of
experienced changes with enormous the pandemic there are fewer events. So,
influence that will continue to have I identify as a trend, the need to recreate
a giant impact for many years and, more intimate moments and use one-to-
maybe forever. one technology to bring these moments
to life. We also know that the consumer which for me transformed retail and
One of those changes that I find very in- is increasingly leaning towards an online gave it new functions: the technologies

teresting was the idea that people will experience, and that is why it is neces- at the service of the sales associate. I be-
start spreading out geographically, so sary to rethink how we interact with the lieve that giving sales associates the tools
that the money isn’t concentrated nec- consumer. How do you create a shopping and technologies has meant that even in
essarily, in all these big city centers. This experience that still feels familiar, and times of pandemic, when the world has
is because people are moving to other comfortable even in the online world? been put on hold, they have managed
smaller areas, so I think that’s going to to continue to do their job and do what
be an interesting challenge for retailers. I Another major trend that is already they do best. So it is important to con-
still believe that stores will continue to be stealing attention in the luxury industry sider video clienteling tools, where they
number one for luxury brands, but what is video games and digital clothing and can have meetings that are very similar
about all the affluent luxury consumers the need to recreate and develop a virtu- to in-store appointments. We could also
who don’t live that close to a luxury store al world for younger consumers. maybe consider its tools, with direct text
anymore? Are they going to open small messaging and communication that eas-
stores? Are they going to provide that However, I often ask about all these core ily collects data to show the customer
personal in store experience remotely? I customers who aren’t playing video shopping history. I believe these aspects
truly find that matter super interesting, games and just want their sales associate have enormous potential in redefining
and a real challenge, but with countless to call them and have a personal experi- luxury retail, not only in the time of a
opportunities for luxury retailers. ence? This takes me to the next big shift pandemic but even after the storm.
Credits: Gucci Garden on Roblox
36
09
TPH: What’s next when we say goodbye

to omnichannel retail?
Maghan: This is a very interesting

question that takes me back to our Vogue
Business and TikTok Technology Forum,
where José Neves, founder and CEO
of Farfetch, mentioned that the idea of
an omnichannel is just a philosophical
thought that does not mean or represent
anything. He also predicted that with-
in the next five years, this idea of omni-
channel will totally evaporate and that
consumers when asked if they bought
something online or offline simply will
not know the answer.
I totally imagine glasses that overlay con-

So, I started to investigate and deepen tent on the physical world and make the
the topic, and with that, I believe that the experience and the way of shopping com-
next big retail theory will be just “shop- pletely different and out of the ordinary.
ping”. This notion of offline, online, mo- I believe that these great innovations will
bile shopping or virtual shopping or any be slow to pick up, but the technology al-
type of shopping will simply fold into just ready exists, and we are walking towards
“shopping” in a very practical, simple and it every second. If that happens, I think
linear way. that would be transformational not just
for the way we shop, but for the purpose
Mixed reality is another thing that I find of retail and marketing.
to be really interesting and that possibly
Credits: Vogue Business

has the potential to shake up systems. I Therefore, I believe that in the short
don’t really know how long it will take, term, the omnichannel will lose its place
but the idea of mixed reality is going to in the retail game and that in the long
be really, really interesting. I think aug- term mixed reality will be the next big
mented reality is going to be more com- thing, not only in luxury but also in many
pelling, more real and just more regular. other industries.
37
INTERVIEW
10
THE LUXURY That is why we tried to understand the
RESET BUTTON IS:

future of luxury retail in the eyes of a
brilliant and inspiring trend forecaster,
Geraldine Wharry.
PHILOSOPHICAL
Geraldine Wharry is a Fashion Futurist,
Public Speaker, Educator and Designer
with 20 years of experience working
across the Fashion Industry. As one of
the few experts with career expertise as
a macro trend forecaster and a fashion
An interview with Geraldine Wharry Fashion Futurist and Trend Forecaster design director, her work has been
implemented by global leaders and has
influenced agencies and brands in areas
as diverse as Fashion, Sport, PR, Tech,

Beauty, Retail, Innovation and Youth
Culture in the USA, Europe and Asia.
Passionate about knowledge and from a

family of educators, artists and scientists,
Trend forecasting is the art and science of predicting the future of Geraldine also lectures on the method-
Photo: Courtesy of Geraldine Wharry

ologies of future forecasting and future
something. Some people believe that with the devastating effects scenarios at universities such as the Royal
College of Fashion, the London College
of the pandemic trend forecasting is disappearing and losing its of Fashion and launched her own online
courses in 2019. She has also dedicated
impact on the analysis and study of the future. However, we think herself to mentoring and climate change
differently. We believe that, like many other professions, trend activism.
forecasting has only become a more difficult and demanding Fasten your seat belts because Geraldine
will take us on an exciting journey into
profession due to the complexity of today’s world. the future!
38
INTERVIEW
10
In fact, brands often have a very

important part in this change. It’s fair to
say that a product can change the world.
Some examples are iPhones or trains
because these inventions have the ability
to simply change the world. I believe that
TPH: What will the luxury consumer of the next invention is really just around
the corner.
the future look like?
However, for me personally, as a futurist,
one thing that I think that the pandemic
has really highlighted is that there’s
Geraldine: I think the emerging next In a very general view, the consumer of the only so much we can innovate because
consumer will be defined by some of the future will be totally about what we are there are limits to innovation. So, in my
big changes that are happening in our now. It will be a consumer who has over- opinion, the next biggest innovation will
society, which has to do with the come a global crisis and is willing to breakbe cultural and philosophical.
economy and a sense of safety, as well the rules. In fact, younger generations will
as the main focus on climate change. In assume that they do not necessarily need And we humans and consumers urgently

recent times, we are dealing with this to have a college degree to make things need this innovation and this upgrade.
black swan called the pandemic, which happen and create business. They will We haven’t had an overhaul of our
has caused massive changes in society, not adopt a traditional life path because beliefs and our social contracts in a
but also in how we consume and buy. instability was part of their growth. long time. Actually, if you think that in
the US, women are not even properly
What the mainstream doesn’t know or So, I think that in the coming years, we represented in the Constitution even
have a good understanding of is what will see disruptive innovations due to today, in 2021, we’re still really far for
climate change means in the long term, tech, ethical and economic innovations those big changes to happen. So we can
including food shortages and many other that will make consumers more likely to celebrate technological innovations,
aspects that are predicted to change by take risks and even question their role as but the main change of the future will
many scientists and experts in the next humans and as a society. With digitally be philosophical and human. It will be
10 years. So I think the future consumer native generations with state-of-the-art time to rewrite the new human society
is increasingly acutely aware of that. I technologies, the future consumer will playbook of how we support, serve and
also believe that the consumer of the have a completely different relationship treat one another.
future will look at brands as active plat- with machines, and the integration of
forms to talk about topics such as mental, technology in daily life will become a Humanity is the main revolution. Tech-
emotional and physical health. key notion. nology only grows with us.
Credits: “METAVERSE ROMANCE” by @paola_pinna_artist for @digitalvillage.io
39
INTERVIEW
10
Credits: Art of @antonitudisco

TPH: What trends will walk on the avenue of the
future luxury?
exclusivity that a luxury brand owns, by
perhaps sharing the creative process,
content and some products with the
Geraldine: First of all, the utility and end user represents enormous potential
meaning of luxury fashion is completely for this new era of luxury. For me, the
changing. There is no going back. In 2021, future of luxury retail will also need to
luxury fashion is moving away from that be very much linked in with this type of
superstar and sometimes egocentric wellness and intimate experience and
designer and moving towards a place of maybe more local as well. In fact, haute
understanding how to serve humanity. couture and luxury used to be really
intimate, the shows were in house, they
Many consumers in recent times have were very private. Maybe there’s an
migrated to online retail which means opportunity to take from that playbook
that physical stores had to look for and just bring it back to a very human
a purpose and why to continue to level.
exist. Therefore, I believe that a store to

continue on the adventure of the future The next trend I believe has immense
of luxury should be a place of pleasure potential is rental luxury fashion.
and discovery. A place of education and There’s plenty to explore in the sharing
emancipation of culture. Sustainable economy and an alignment with slower
fashion designer Mara Hoffman once consumption. I also see that some big
said something that I will never forget players in the luxury market are invest-
ing in blockchain and NFTs and there is
and that I think is perfectly suited: “We’re
due for a consciousness upgrade”. And an incredible opportunity to tell a whole
I believe that this upgrade will happen story around the ownership of that
on all fronts, especially in the future ofgarment, of that piece, and it
luxury retail. creates a type of microcosm and
community around it. And of course, to
In addition to a retail focused on finish, it’s going to be really interesting
entertainment and sharing knowledge to see what happens with gamification
and values, another major trend that will and retail entering what people are
follow us for many years is co-creation. calling the metaverse, in other words, this
So being willing to put aside some of the collective virtual space.
40
INTERVIEW
10

TPH: From a trend forecaster,
what advice would you give to
luxury fashion brands for the
future?
Geraldine: I would say to the luxury

fashion brands that there is a lot of
sameness. The time has come to think
outside the box and implement really
disruptive and different things. Of
course it is important to look at the
competition and what others do,
however, at the same time, luxury brands
have to beat the sound of their own drum
and stop following what everyone else is So my advice is just to use your vision,
doing or what the numbers are dictating. mission, values and purpose, because
in the marathon of the future the final
In fact, it is a bit disappointing to see prize is not money or profit, but who will
luxury brands completely lost, because serve humanity and creative expression
it has often been luxury brand creative better. To do that, it’s necessary to press
directors that dictated trends and at this the reset button and get ready for this
moment, I don’t see luxury brands truly new and exciting reality where the future
setting the trends. is philosophical, human and cultural.
41
HOW AND WHY IS
CHINA SAVING THE
LUXURY MARKET?
An article written by Pablo Mauron from Digital Luxury Group Credits: Burberry Social Retail Store in Shenzhen
How and why is China saving the luxury market?

Photo: Courtesy of Pablo Mauron
The old saying “All roads lead to Rome”

has become “All roads lead to China”.
China has consistently been a standout
empire that, even in times of global eco- Pablo has been based in Shanghai since
nomic and social crisis, has managed to 2012, where he leads a team in successful-
stay in the game, especially in the luxury ly managing consulting, social media, cre-
industry. ative, e-commerce, and CRM projects for
major luxury and premium brands across
For the same reason, we invited Pablo a wide range of product categories, in-
Mauron, managing director and partner cluding Pandora, Vacheron Constantin,
at DLG (Digital Luxury Group) to share Balmain, and The Macallan.
his insights on how the Chinese market
uses innovation and technology plat- Let’s travel to China and understand
forms to stand out from the rest of the why the Chinese market is saving the
world. luxury industry.
42
Credits: Burberry Social Retail Store in Shenzhen
Pablo Mauron: How China is chang-
ing the luxury market is the result of
two very important elements. The first
one is the natural growth that has been
observed for the past 10 years because
of several factors, such as the growing
appetite for luxury, obviously, but also
very importantly, linked to the growing
middle class that has a significant impact
on purchasing power.
The second thing is that, in the be-

ginning, luxury was purely perceived
and approached as a status symbol. So,
Chinese consumers were looking for

luxury to make a statement and position In the past, there was still a strong
themselves in society. However, over focus on the core luxury consumer,
time, luxury products and purchases which would be the 30 to 35-year-olds,
have become increasingly perceived as but that then expanded to Millennials,
an indulgence and something to reward and now many luxury fashion brands
yourself with. So, right now, consum- are also seeing 18 to 25 year-olds contrib-
ers see luxury as an indicator of their uting to their profits and revenue – which
taste and personality; as a means of has completely changed the game.
self-expression. This shift in thinking
has been fueled by younger consumers. Another very important element that
The average luxury shopper in China is justifies China’s importance in the future
younger than anywhere else in the world. of luxury is the continued performance
Millennials have always been an impor- of major cities such as Shanghai, Beijing,
tant part of the discussion about the fu- Shenzhen, and Guangzhou, coupled with
ture of luxury and how to buy luxury, but the rise in prominence of new Tier 1 cit-
in recent years, even Generation Z has ies, such as Chengdu and Hangzhou, as
started to climb the ladder and have also well as Tier 2, 3 and 4 cities, where there
become an important part of how brands are many new, untapped opportunities.
develop their strategies and change their The country’s geography is massive, and
approaches in the market. there is still more potential yet.
43
Actually, for me, what makes China such

a strategic key market for the luxury in-
dustry is that it’s becoming an innova-
tion hub. All technological innovations
So in my perception, logically, Chi- that change not only luxury but also new
na’s luxury market managed to survive retail formats, were born from Chinese
better than the rest of the world during companies. A very clear example of this
the pandemic period. But in reality, what is that there isn’t a single social media
changed was the increase in local con- platform in China that doesn’t have an
sumption. With consumers trapped in e-commerce component. In the West,

national territory, domestic consump- people have been talking about how to
tion was significantly boosted – and one make social media a true sales channel for
of the reasons for that was also linked a long time – while in China, every social
to the maturity of the e-commerce and platform already can directly convert us-
omnichannel model in China. ers and generate transactions.
That said, there were obvious challeng- So I think that China is fueling the luxu-
es in bringing in-store traffic still. What ry industry differently, both in terms of
we observed about the boom of e-com- revenue and growth, but also in terms of
merce, digital commerce, and social paving the way for those very strategic
commerce is that it was not created by elements that can change the game of
the effects of the pandemic, but these selling luxury. Everyone talks about the
channels benefited because the infra- importance of omnichannel, but here in
structure was already in place. Con- the Chinese market, omnichannel has
sumers were also not purchasing luxury been a reality for a long time.
products through online channels that
much previously, so the growth there It is, however, a real challenge to
was more apparent. So the pandemic embrace Chinese retail, and it is a real
didn’t create anything new but acceler- exercise for luxury brands to innovate
ated digital consumption very strongly. and stay in the game.
44
THE LUXURY
Photo: Courtesy of Martina Olbert
The Luxury Identity Crisis: How Can Luxury Brands Regain Their Lost Meaning?
IDENTITY CRISIS:
HOW CAN LUXURY BRANDS
REGAIN THEIR LOST MEANING?
An article written by Dr. Martina Olbert from Meaning.Global
in Forbes, Luxury Daily, Luxury Socie-

ty, BBC Culture, WARC, ELUXE, and
Vogue Business, and is the author of
The Luxury Report on Redefining The
We believe that luxury is experiencing symbolic meanings in our world to- Future Meaning Of Luxury.
an identity crisis, now more than ever. day impact brands and businesses and
The question is: What is luxury? For where their value shifts next. Martina is the best person to reflect on
this same reason, we invite Dr. Marti- this identity crisis and help us under-
na Olbert, the world’s leading expert Martina is a global speaker, brand ad- stand how luxury brands can overcome
on meaning in business and a visionary visor, consumer psychologist, social it by adapting their meaning to what
thinker redefining the future of luxury. scientist, and business educator giv- people value as luxury today.
She is the Founder and CEO of Meaning. ing expert advice on meaning, culture,
Global, a global strategic intelligence strategy, and the rapidly changing Dr. Martina Olbert explains the shift in
consultancy helping clients navigate consumer behavior to some of the top the meaning of luxury and where the
the fast-changing socio-cultural con- luxury, consumer, and lifestyle brands opportunity lies for luxury brands in
text and understand how the evolving in the world. She is regularly featured the future:
45
Credits: Laura Lucas@Unsplash
What has happened
to luxury?
This is the question that many people

in the luxury industry are asking them-
selves at this point.
Facing the identity
The luxury sector is facing a global reset
crisis
right now. In recent years, luxury has
experienced a massive change on many
fronts at the same time: a shift in The identity crisis of luxury mirrors the
consumer patterns, the rise of digi- identity crisis we are currently facing
tal, fast-changing geopolitical situa- today in our society. Thanks to the
tion, the shift towards China as the reminder of COVID which disconnect-
soon-to-be dominant purchasing power ed us from our everyday lives, we were
in the global market, global adoption of forced to reconnect with ourselves: with
social media as the primary e-commerce our inner essence, humanity, higher
channel, instant access to brands via dig- needs, and our spirituality.
ital, and the emergence of a completely
new generational cohort Gen Z which is The COVID pandemic has effectively
effectively rewriting the rules of luxury sent our society in search of its very own
as we know it. meaning and has pushed us to reinvent
our lives and become more authentic
All of this in the span of just a few short This overwhelming situation makes us versions of ourselves. In many ways, it
years. Count in the global COVID pan- wonder if we even know what luxury has shown us that authenticity is a new
demic that hit the luxury market in 2020 means anymore. What does luxury mean luxury. We have ventured inward to re-
and we have a recipe for the perfect to people today? How are the fast-chang- discover our authentic sense of self, es-
storm. But, all of these changes are not ing human needs and values redefining sential needs, and lasting human values.
only affecting the global luxury market the meaning of luxury today? And how This new quest for meaning in our own
from a business and economic stand- can luxury brands tap into this newly lives has fundamentally shifted where we
point. More importantly, they are also emerging meaning of luxury to become place value, what it is that we’re looking
shifting the cultural and social meaning more relevant to their global customers for in consumption and what we deem
of luxury and how we define it. in the future? luxury in our real everyday lives.
46
Credits: Brian Harro @Unsplash
Stepping into the New
Luxury paradigm
The old versus
new luxury
This new focus on human essence and

higher needs is leading to an emergence of
the New Luxury paradigm. The COVID In the past, where the majority of peo-
pandemic has served as a catalyst speeding ple had arguably very little possessions,
up the transition to the New Luxury much material excess, flashiness and opulence
faster than the luxury sector would be able were seen as the ultimate signs and sym-
to do under normal circumstances. bols of luxury. Luxury is always in the ex-
perience of scarcity and rarity as it is out
We are now moving away from the previ- of the ordinary. Therefore, in this histor-
ous conspicuous luxury consumption to- ical context, the old concept of luxury
wards the new conscientious, meaningful made sense.
luxury. The things and experiences we
now consciously choose to consume and Today, however, we live in the age of
surround ourselves with need to become over-abundance where we are facing the
extensions of who we are, to compliment opposite situation. The excess of material
us. We now aspire to luxury products as possessions has become the norm. What
value enhancements of our own lives, is scarce today are ironically the human
rather than venturing away from our own essentials: time, space, clean air, peace of
lives into aspirational brand worlds that mind, meaning, human touch, and deep-
don’t connect with our authentic values ly meaningful connections with other
and our sense of self. We still aspire, but people. Therefore, in this new context,
we aspire to many different things than luxury brands need to turn their focus to
we did before. Conscientious Luxury is the intangibles to craft more meaning-
driven by essential human needs, values, ful value and authentic experiences that
and personal identity, connecting with people can connect with based on their
what matters and adds real value and own identity, who they are, and whom
meaning to our lives. they want to become.
47
True luxury is about transcendence
Credits: Melanie Pongratz @Unsplash
At their best, brands should help us be-
come more of who we are to transcend
the present moment and experience
something deeper and more profound.
This is twice as true for luxury brands as
they are the leaders in crafting superior
value. Luxury brands were always the
leaders and never the followers. They
stand at the epicenter of craftsmanship,
beauty, timelessness, and creativity.
Luxury has always been about transcend-

ence. Its nature of beauty gives it a divine
element that surpasses the here and now
and transports us somewhere else, to a
higher state that connects us to our spir-
it. When done right, luxury is a deeply
spiritual practice that is about uplifting
our senses as well as the mind. It should
be about elevating our everyday life ex- This is the essence of luxury. This is
periences, rather than gaining social val- where the true value of luxury lies: in
idation through others. transcendence. When luxury brands
understand how to be the leaders again,
Luxury objects should be spiritual objects how to craft superior value, and create
for everyday use – that is why they’re full meaningful and authentic experienc-
of meaning. This sudden twist back to the es that allow us to identify with deeper
human and spiritual roots of luxury gives parts of ourselves, the essence of luxury
luxury brands a unique chance to return will return to the luxury sector.
to their inner essence and tell their story
in a way that catapults the customers to This is how luxury brands will regain
a more profound place where the brand’s their lost meaning: by coming back to
essence meets our human essence. their essence as well as ours.
48
INTERVIEW
11
JOSEFINAS:
Photo: Courtesy of Joana Esteves

THE LUXURY
FAIRY TALE
An interview with Joana Esteves from Josefinas
Josefinas was born in Portugal, and grew
up in the world. With their international
success, the brand has already inspired
celebrities and members of the royal
court, always with the mission of honor-
ing Portuguese talent, the magic of luxu-
ry and the female power.
Josefinas: The luxury fairy tale

One day a woman had a dream, then others joined her, and Josefinas was born. The brand defends that a woman can be
amazing and powerful in a pair of flats.
Josefinas was born from a dream. The Portuguese brand came to life in a country in
We want to learn everything about The
crisis, where there was little room for dreams. Making handmade shoes had, then, Portuguese Luxury Fairy Tale and all the
magic of this inspiring brand, so we talked
a new name: Josefinas. In Portugal, there are some things that have always existed: to Joana Esteves, Retail Sales Manager
the savoir faire of craftsmen and the passion for an idea. ‘Never give up’ has always of Josefinas Portugal, to understand the
secret formula to conquering the luxury
defined Josefinas’ path. Josefinas has a mission to inspire many other women, and to fashion market.
help them to achieve their dreams and happiness. Get ready to enter a world full of magic!
49
INTERVIEW
11
TPH: For a fairy tale that was born online, what

is the importance of the physical experience?
Joana: Josefinas was born in the digital

magical world, and it has been an amaz- shopping has gained relevant power,
ing journey because we always try to go the consumer, especially the consumer
beyond the customer’s expectation and of artisanal luxury, highly values visit-
convey the best experience they have ing stores, and their connection to the
ever had. We ally the brand storytelling physical and emotional environment
with our WOW Customer Service in or- of the store. That said, in our opinion,
der to convey the Josefinas’ effect. stores are -and will be for a long time-
places of eternal magic. We compare a
Since we create a very special bond luxury purchase to a Broadway show. It
Credits: Josefinas @Pinterest

with our customers, when we opened is something unique, something desira-
our pop-up store in New York City, we ble, something we prefer to see, live and
thought that that moment could be the in color, in a concert hall, feeling all the
bridge from the online to the “offline” glamour and prestige. It is something
world and, at the same time, our pop-up that we have to feel, live, and experience
store could be the epicenter of the magic every moment. Off-screen, off-line. So,
and charm of the shopping experience. luxury is like a memorable show, some-
Whilst online we provide the storytell- thing unique and simply fascinating.
ing, offline we provide the storyliving. At our pop-up stores we try to surprise

Credits: Josefinas @Pinterest
We regularly hold our own pop-up them every single time and convey them
Physical stores have the functionality stores, which are basically events held the best experience ever. For instance,
and potential to make us feel the essence, for one to two days in different cities and we have gifts, surprises, and novelties
the senses, and the ethos of the brand. locations, in Portugal or even abroad, for our customers during these events.
We also believe that a physical space that are very important and appealing to
would materialize and offer a holistic our dear customers. There, we have the Besides that, we also try to accomplish
experience of involving the consumer in chance to meet new customers, to get to our social commitment by supporting
our universe, our history, our values, our know our customers a little bit better, other female-led brands and asso-
soul. and also to reinforce our relationship ciations/organizations that make a dif-
with them. Some of our customers are ference in the world. That’s part of our
In fact, although the paradigm has also our friends, and we are really proud mission too, and we are always focused
changed over the last few years and online to share those moments with them. on it.
50
INTERVIEW
11
TPH: What are the most relevant dimensions in
a physical luxury fashion store?
Joana: Our biggest belief when it develop brand activism and involve our
comes to retail is that stores must go customers in themes that are so much
beyond consumer expectations. In this more important than the purchase of
period of pandemic, filled with uncer- shoes, which can actually change peo-
tainty and insecurity, there is an even ple’s lives and that are also aligned with
greater need to reinforce and intensify our values and mission.
brand loyalty using the physical store
experience. With this, we believe that retail is not
dying, it just has to reinvent itself. It is no
At Josefinas, we believe that the most longer just a place where we buy some-
important dimension is the power and thing, but a place where we feel some-
capacity of relationship and humaniza- thing. As “retail entertainment,” stores
tion with our customers. This is some- are taking on new roles and becoming
thing we are committed to doing both in places where we can learn or experience
the online and offline hemispheres. something completely new. All of this is
crucial for brands to be able to amplify
In 2016, recognizing the importance of their relationships with its customers
having a physical presence, like it was and surprise them at different points.
shared before, we opened a one year
Credits: Josefinas Pop-Store in New York City pop-up store in New York City. While That is why, here, at Josefinas, we believe

it was open, the Josefinas’ store offered that the reinvention of retail is similar to
personalized and individualized shop- inviting someone to our home. When we
ping experiences every day. In addition had our pop-up store in New York, we
to our huge focus on customer service, opened our doors, and let our customers
coupled with our mission to be more get to know our family. We wanted to
than a shoe brand, our store served as a extend the stay of our customers in our
stage to give voice to inspiring women. physical stores. Unlike with online shop-
ping, we do not want them to immediate-
We carry out countless talks and events ly go to the “checkout”, but rather, have
with fascinating women from the most lunch with us, chat with us, and share the
diverse areas to give voice to issues re- remarkable experiences of their lives in
lated to feminism, as well as many oth- a natural, genuine, and special way. That,
er causes. With this, we intended to for us, is the real luxury.
51
11
Credits: Josefinas Portugal

INTERVIEW
TPH: Josefinas is more than a luxury fashion

brand. What’s behind it?
Joana: Our mission in Josefinas was

never to be just a luxury footwear brand,
with wonderful craftsmen and excellent
materials. We want to be more for the closed during the afternoon, and we had
community, and, especially, for women an amazing time celebrating her birth-
around the world. day. We won’t forget this very special
and unique moment. It was unbelievable.
In fact, throughout my journey at Josefi-
nas, we have reached several milestones. We also had Josefinas delivered to a
There have been many exciting and un- maternity to a very special customer and
forgettable stories. From lunches with a new mother, and it was very touching
customers who became friends, to real and unforgettable, and it just reinforced
stories of how we make our customers the bond between both parts.
happier. There are moments of intimacy
and simplicity that make everything we Our passion for women’s empower-

do genuine and not at all commercial. It ment, humanitarian causes, and social
makes us authentic and true companions issues makes us much more than a luxury
for our consumers. fashion brand. It makes us successful
women, committed to changing and im-
However, the most striking moment proving the world, always wearing beau-
during my entire period at Josefinas was tiful and comfortable flat shoes.
when we were in NYC, and we had the
opportunity to organize a surprise birth- The luxury fashion market is an amazing,
day party for a very special customer that fascinating, and revolutionary market,
came all the way to visit us with her fami- but the real magic it’s in the moments
ly. We and her brother had everything or- that brands can and should create with
ganized along with our team. The store their beloved and unique customers.
52
Credits: CHANEL Spring-Summer 2021 Haute Couture
THE FUTURE OF
HAUTE COUTURE
An article written by Serge Carreira lecturer at Sciences Po, Paris
© Image: Stephane Kossmann
Haute couture was born in France and
The Future of Haute Couture

quickly spread to the entire world. So,
we ask ourselves, what does the future
hold for this prestigious form of luxury?
There is no one better to answer this

question than a French soul, and for that However, it is not possible to travel to
we invite Serge Carreira, Lecturer on the future without first knowing the past,
Fashion & Luxury at Sciences Po, in Paris, and for this reason Serge took us on an
and Head of Emerging Brands Initiative amazing and fascinating journey about
at Fédération de la Haute Couture et de the evolution and growth of the haute
la Mode, to reflect with us on the future couture market and its first steps into
of haute couture. the future.
53
Credits: DIOR Spring-Summer 2021 Haute Couture
Following Worth, many houses opened
in Paris. In 1868, the couturier founded
the Chambre Syndicale de la Couture,
des confectioners, and tailors for wom-
Serge: Considered with disdain by Personalities like Rose Bertin, Marie-An- en. The distinction between tailoring
some, announced several times as dead, toinette’s “fashion minister,” or Hip- did not emerge until a few decades later.
haute couture has managed to preserve polyte Leroy, fashion arbiter under the From a simple supplier, the couturier will
tradition while reinventing itself. For a Empire, have a reputation that goes far gradually become a personality of the in-
decade, we can consider that it has experi- beyond borders. However, we date the tellectual and social world. After Worth,
enced a resurgence of interest. It remains birth of haute couture to the opening by Jacques Doucet was one of the first to
a Parisian exception, a unique know-how, Charles Frederick Worth and Otto Gus- transform the social role of the couturier.
and an exclusive circle. Although it no tav Bobergh of a house of high novelties Collector and friend of artists, Doucet
longer has a monopoly on fashion trends, in the very chic rue de la Paix, in 1858. is recognized as a designer in his own

its influence is intact. Ready-to-wear has For the first time, a designer was not right. A few years later, Paul Poiret was
imposed its power on the market, but the content to assemble a model according the one who gave birth to the myth of the
virtuosity of haute couture corresponds to the wishes of his client, but it was his couturier. We still know him today as a
to the needs for authenticity, exclusivity, imagination that prevailed. Until then, in visionary character with international
excellence, and creativity of our time. Far fact, it was the haberdashery, fabric, and notoriety, who constantly renewed crea-
from being dusty and outdated, it attracts accessories merchants who reigned over tivity in touch with the trends of his time.
new talent, such as the young Charles de fashion. The tailor’s trade was then lim- The house was diversified with activities
Vilmorin, the artist Sterling Ruby, the ited to fitting the garment. From Worth, in perfume, furniture, and sumptuous
American designer Kerby Jean-Raymond, “the tyrant of fashion,” as the Empress parties that gather the Paris happy fews
and the founder of Pyer Moss, from herit- Eugenie called him, it is the couturier and the international jet-set. Poiret’s
age houses like Chanel, Dior, Schiaparelli, who himself will sovereignly determine aura is considerable and all of haute cou-
Valentino, Fendi or Givenchy. all the constituent elements of a model. ture benefits from this brilliance.
54
Credits: DIOR Spring-Summer 2021 Haute Couture
The dress, as a work designed by a couturi-
er, becomes an object of desire. It is she
who makes fashion, more than the quality
of the fabric, the lace or the embroidery.
We can underline that in English couturier
is called “dressmaker”, “maker” of dress-
es. The signature of the garment with a
brand that takes the name of the creator around 300,000 workers in its work- The Second World War will further
and a logo accompanies this transforma- shops. The most established houses have weaken the sector. Some are closing their
tion. In 1910, couture and tailoring sepa- several thousand employees divided be- houses like Gabrielle Chanel or Made-
rated with the creation of two separate tween the “fuzzy” workshop for dress- leine Vionnet. Despite the scarcity of raw
professional organizations. Far from be- es and the “tailor” workshop for other materials and the interruption of trade
ing a homogeneous reality, there are dif- clothing. relations with certain countries, couture
ferences within couture itself: from the continues at a slower pace under the
“little” couture made by neighborhood The houses occupy mansions such as German occupation. Lucien Lelong, the
seamstresses to “haute” couture which the modernist “Factory” of Vionnet president of the Chambre Syndicale, suc-
is characterized by creativity and origi- avenue Montaigne. Haute couture is a ceeds in keeping the houses active. Hav-
nality. A golden age is opening for haute real industry which represented 15% of ing survived the war, a decree of April
couture, worn by houses as prestigious French exports in 1925, the second larg- 1945 set the definition of fashion houses.
as Lanvin, Vionnet, Patou, Chanel, Moly- est exporting sector at the time. This They must have their own workshop,
neux, Lelong and Schiaparelli. Fashion is industry of appearance employs other present their collections twice a year ac-
dictated each season to the whole world trades such as embroiderers, shoemak- cording to the schedule established by
by these couturiers. The clientele of ers, adorners, plumsiers or milliners. the Chambre Syndicale and each collec-

haute couture is not limited to women of The 1929 crisis considerably affected the tion must include at least 75 models. Only
the world and demi-mondaines. Wealthy activity of Parisian couture. American houses classified as “couture-creation”
heiresses and wealthy American, Euro- customers stop attending the parades. can claim the haute couture designation.
pean or South American clients come to Customs taxes are increasing. To or- At the same time, the weakened houses
Paris to discover new collections and organize the sector, from 1930, a calendar ensure their promotion through the ex-
der entire wardrobes. We are starting to was established by the Chambre Syndi- hibition “Le Théâtre de la Mode”. The However, it was the arrival in 1947 of
present these collections on mannequins cale de la Couture for the presentations exhibition traveled the world in 1945 and Christian Dior with his New Look which Marne”. Gradually, haute couture moved
during parades organized in the salons of of the collections in Paris twice a year: 1946. Artists such as Christian Bérard marked the true return of Parisian haute towards the embodiment of exceptional
the houses. This unique combination of spring-summer and autumn-winter and Jean Cocteau created an enchanting couture to the international scene. The luxury in clothing. In the aftermath of
know-how, creativity, daring and talent seasons. The houses must be on the list backdrop to stage this miniature parade influential editor Carmen Snow will af- the war, there were 142 listed houses. In
has made Paris the vibrant heart of fash- drawn up by the Chambre Syndicale to of the creations of Parisian couturiers in firm, moreover, that “Dior saved Paris 1967, there were still 39, but by 1969, only
ion. At its peak, haute couture employed use the “haute couture’’ label. miniature on dolls. as Paris was saved by the battle of the 17 officially labeled houses remained.
55
The fight against copying has always With buyers, ready-to-wear and per- The Italian houses Giorgio Armani, Haute couture is a demanding market
been a struggle for haute couture. From fumes, houses are able to ensure a finan- Valentino and Versace, present, as “cor- that requires constantly pushing the lim-
1921, the designs of couturiers benefited cial balance. The licensing system thus responding members”, their artisanal its. It embodies tradition, but, above all,
from intellectual property guarantees. In developed. Taking advantage of their collections in Paris. Elie Saab, Fendi it is a land of experimentation and inno-
the 1950s, it was forbidden to draw sketch- notoriety, the fashion houses ceded the and Viktor & Rolf, among others, also vation. It “remains a place of expression
es during parades. Photographers could use of their name to manufacturers who benefit from this label. This is one way of the best of designers and techniques”,
only release their images three weeks would market designer products: tights, for these brands to increase their inter- to use the definition of Didier Grumbach,
after the presentations to allow time for ties, scarves and other accessories that national notoriety. In addition, a new former president of the Federation of
homes to deliver to buyers. These buyers, allowed the houses to expand their busi- generation of designers, integrated into Haute Couture and Fashion. Beyond is-
American or British, acquired canvases ness. Refusing this new model, Cristobal the calendar as “guest members”, were sues of image, haute couture is an inte-
as well as all the references necessary for Balenciaga decided to close his fashion able to reclaim the codes of couture to gral part of the heritage and identity of
the manufacture of these models. At the house in 1968. transform them in the image of Iris Van certain houses like Chanel and Dior. It is
same time, fashion houses were launch- Herpen, Rabih Kayrouz or Ronald Van an irreplaceable competitive advantage
ing so-called “diffusion” lines of ready- When Mr. Saint-Laurent was retiring, in Der. Kemp. Couture allowed them to for them. Jean-Paul Gaultier, who joined
to-wear. The phenomenon grew to such January 2002, Pierre Bergé declared: “It emerge. Far from being a holdover from this inner circle in the 1990s, considers
an extent that in 1957, couturiers created is the end of Yves Saint Laurent haute the past or a relic, there is a renewed haute couture to still be “the fashion aris-
a “Prêt-à-Porter Creation” section with- couture and I fear that it will become interest in haute couture. It manifests tocracy”. For his part, Pierpaolo Piccioli,
in the Chambre Syndicale de la Couture. the end of haute couture itself”. A few itself in the attraction it exerts on a gen- artistic director of Valentino, recogniz-
years later, the businessman’s prophecy eration of committed, passionate and es the power of this exercise: “I believe
did not come true. We have been an- talented designers. They show a new that it’s the invisible that makes haute
nouncing the disappearance of haute way of thinking and designing the art of couture so special, the ritual that is part
couture for several decades now. It al- couture. The activist American designer of this process. I love haute couture as a
ways remains alive. The quantitative de- Jean-Raymond Kerby, for example, ap- culture, not just for what it produces.” It

cline in no way affects the specificity of proaches couture as a major discipline to is to this ‘ritual’ that the houses that are
this creative field. Its model has evolved: express his message. Semi-finalist of the a part of it are attached. It is this almost
from an industrial craft, it has become LVMH Prize 2021, Charles de Vilmorin mysterious ‘ritual’ that allows haute cou-
a craft of excellence. In 2001, the 1945 explores a strong and colorful aesthetic ture to retain its share of dreams.
regulations were revised to adapt to universe corresponding to the current
new realities. Based on purely quanti- need for poetry and emotion. And in
tative criteria, sponsorship and election 2021, designer Demna Gvasalia brings
to the Chambre Syndicale were favored. back the house of Balenciaga to couture.
Credits: CHANEL Spring-Summer 2021 Haute Couture
56
INTERVIEW
12
DREAMING
Photo: Courtesy of Lui Iarocheski

(ABOUT THE)
STORE OF There are many ideas out there, but Lui
THE FUTURE
Iarocheski, marketing director at Plat-
formE has shared with us everything
about the future of luxury retail, and to-
gether we dream about what the store of
the future will be.
An interview with Lui Iarocheski from PlatformE Lui Iarocheski is a fashion stylist and en-
thusiast from the world of technology
and 3D. He’s committed to changing the
clothing and fashion industry through
Dreaming (about the) Store of the Future

digitalisation and virtual fashion. His
main objective is to accelerate the con-
vergence of fashion with technology to
help retailers, brands and designers solve
complex problems to create a better fu-
ture for business, people and the planet.
The last times were marked by uncertainty and unpredictability PlatformE is an end-to-end platform
solution accelerating fashion’s digital
of what the future will be. Therefore, there was a great need to transformation in product, retail and
on-demand manufacturing. It’s a Portu-
rethink and reimagine the store of the future. Many believe the guese technology company that works
store of the future will be a playground of technology, while others with major luxury brands, such as LVMH,
Kering, Gucci, Dior, Fendi and Farfetch,
believe the store will have as a fundamental role the experience through technology to drive the digital
transformation of fashion towards mass
and the offer of moments that can’t be designed online. customisation.
57
INTERVIEW
12
TPH: How technology is changing the

luxury retail game?
Lui: For me, augmented reality is already

changing the game of luxury fashion
retail in a mind-boggling way. I believe
that this type of technology, using aug-
mented reality, will greatly help luxury
consumers to not only experiment but
to generate content without having
physical possession of the product in
question.
This can range from Instagram or Tik Tok

filters to an e-commerce environment or
physical environment with the possibili-

ty of interacting virtually with something
through augmented reality tools. All of this is reflected in new opportu-
nities to personalize and customize the
A very interesting case that totally raised experience. I believe that this is the true
the potential of technology was Gucci’s core, because the main objective of us-
augmented reality strategy in which they ing technology is to simplify and deliver
produced filters for Instagram and other different and individualized experienc-
social networks for the beauty and cos- es that would not be possible without
metics line. In addition to the develop- the power of technology. Another great
ment of the creative team of the luxury opportunity that I still identify within
brand, they also challenged influencers augmented reality is the ability and po-
to produce their own filter to share with tential to produce products in 3D for-
Credits: Gucci
the community so that followers and mat. I believe that this can and should
lovers of the brand could virtually be a real revolution as it allows to
experience and have an experience with reverse the order of the system and only
various products through technological produce with orders avoiding waste and
means, in this case, augmented reality. over production.
58
INTERVIEW
12
All of this is reflected in new opportuni- on the planet, it would also be a format
ties to personalise and customise the ex- for designing an effectively unique and
perience. I believe that this is the true core new product for that consumer, and that
because the main objective of using tech- is another level of customisation. The
nology is to simplify and deliver differ- potential is countless - now it is up to the
ent and individualised experiences that brands to seek to innovate even more
would not be possible without the power within these business opportunities.
of technology. Another great opportuni- Let’s imagine, with technological tools
ty that I still identify within augmented of augmented reality, the consumer can
reality is the ability and potential to pro- see in real time the entire process of their
duce products in 3D format. I believe that order, from the creation process, to the
this can and should be a real revolution production, to the personalisation until
as it allows us to reverse the order of the the shipment of the product.
system and only produce with orders,
avoiding waste and over production. All of this, in addition to being innova-
tive, sustainable and individualised, in-
Another innovative potential that luxu- creases the transparency and visibility of

ry fashion has yet to open its eyes to is the brand in sharing its supply chain and
the need to expose the product online in processes directly with the community
a different way in addition to the stand- that it loves so much.
Credits: Dior AR Makeup Holiday Look 2020 - Peter Philips x Inès Alpha
ardisation of 2D photographs with per-
fect and luxurious scenarios and setups. I could also talk about virtual reality, but
The time has come when the consumer I think that this technology needs to be
needs more than that, such as 3D views worked on and better developed, and that
that allow the consumer to have a more is why it is far from being mainstream.
interactive and dynamic experience and Logically, in the future, we will see it be-
see the piece in its entirety. The secret is ing used especially in video games and
to make digital in a luxurious and tech- gaming platforms but, for luxury retail, I
nologically sassy way, but also more re- still think that the next step is to explore
sponsible without the need for physical augmented reality and virtual environ-
samples and waste. ments (avatars and digital personalities),
but without depending on a fully virtual
In addition to making the process more reality, because I feel that the flap is not
sustainable, conscious and responsible ready for that at the moment.
59
INTERVIEW
12
TPH: If you closed your eyes and imagined the

store of the future. What would it be like?
However, although in the future I be-

lieve that technology will be king, I also
believe that luxury will not be a pioneer
in these innovations due to its reluctant
Lui: When asked about the future, I nev- relationship with technology. I see more
is no longer on the status and quality of
er like to imagine something very much ready-to-wear fashion brands offering
the product, but on the experience and
like super futuristic fiction and technol- a disruptive and exciting experience to
value that is delivered to the consumer
ogy where humanity is distorted. But if I the new technological consumer.
during that moment.
had to close my eyes and imagine, I think
that in the store of the future we will Regarding luxury brands, I see the store
Therefore, I think that the brand culture
have all the technology from robots with of the future as a kind of extension of

must be consolidated in the consump-
artificial intelligence to very crazy things the brand universe, but something that
tion of the physical store and act as an
but in a very soft and very non-invasive goes much further than the product, and
extension of the store’s universe. The
way. that speaks of people, history, tradition
future store is therefore more intelligent
and values that allow the consumer to
and a very powerful marketing tool to
In fact, this is going to be the main mis- feel the whole environment and essence
combat the new luxury paradigm, taking
sion of technology, to have a determin- of the brand. The luxury store of the fu-
into account sustainability, social impact
ing role and function but in a very simple ture should be seen as a Broadway show
and the need for intimate relationships
and smooth way. I see a lot of artificial in- where the consumer is the centre and fo-
and almost even friendship and com-
telligence and, maybe in the store of the cus and the rest of the show’s members
panionship between the luxury brand
future, there is not even a single salesper- are experiences that make them feel un-
and the consumer.
son but avatars that can be like new store derstood, loved and desired.
operators and virtual assistants. But all
In the stores of the future, luxury brands
of this is not yet truly disruptive because I believe that physical luxury stores in
should step out of their position of supe-
it is already possible, and we already have the future will resort even more to per-
riority, sit on the edge of consumers and
the technology and resources to make sonal shoppers to prevail in the relation-
start a real conversation on topics that
these innovations happen. ship and constant interaction. The bet
go much further than just buying luxury.
Credits: Dior AR Makeup Holiday Look 2020 - Peter Philips x Inès Alpha
60
NEW VS PRE-OWNED
LUXURY — WHO WINS
THE BATTLE?
Photo: Courtesy of Maria Pimentel

An article written by Maria Pimentel from Amorim Luxury Group
New vs Pre-owned Luxury — Who wins the battle?

We have all heard more and more about
second-hand luxury in recent times and
understand that it is a huge trend that is
certainly on the horizon. However, our
big question is between new pieces and
pre-owned luxury, who wins the battle?
To answer this question and have a bet-

ter understanding of these markets, we
invite Maria Pimentel, fashion buyer &
consultant for Fashion Clinic, Gucci,
and Dolce & Gabbana at Amorim Luxury
Group, to share her wonderful and fasci-
nating insights with us!
61
Every growing market reaches a point
where the offer is so big that unless you
make it your full-time job, searching for
that special item can be a daunting task.
Plus, as every seasoned thrift shopper
knows, it requires skill, gut, and a high
level of self-confidence. Even if you find
some interesting item, who will tell you
how to style it? There’s no lookbook or
editorial to guide you through trends

or inspirations. Who vouches for that
specific piece if there was no newsletter
that your peers have also seen? Should
you trust your taste entirely and risk
looking like you came out... of a thrift
shop? It’s challenging, time-consuming,
and for most of the luxury consumers,
because they don’t NEED it, still not
Credits: @The RealReal
worth it. The majority of HNWI, just be-
cause they can, will choose to go to their
highly curated boutique or e-tailer for
Imagine a skyscraper mall, with consid- the catered service of a personal stylist
erate signage deficiency, where every or shop assistant that knows them, their
store is a thrift store, owned by a differ- fashion currently feel like. Either you taste, insecurities, and aspirations, and
ent person, with different tastes and ide- have endless time to spare or you will end if sustainability is a concern, look into
as of what a thrift store should be. And up feeling frustrated, tired, and with that some polished conscious brands. The
there you are, having just crossed the awkward sensation of having missed the biggest reasons deterring second-hand
main entrance, having no idea where best deals that are surely there but deep- from being (at times) the first option for
to begin the journey. That’s exactly ly buried under piles and piles of unin- many more affluent customers are prac-
how online marketplaces for pre-owned teresting and/or overpriced goods. ticality and confidence.
62
As any luxury marketing book will tell traded side-by-side with Dior, in some
you, motivations to buy luxury range cases. And it certainly works for the
from the need to fit into pure self-indul- mid-class fashionista who spends days
gence. It is ever more clear that motiva- searching for the best deals, or the high-
tions for second-hand luxury purchases ly-conscious youngster who promised
are also quite plural – it is not as simple not to buy another new item for life, but
as wanting to buy cheaper because you why would the well-heeled consumer go
can’t afford the original. Gen Z, who’s for it?
powering the growth of secondhand

shopping, is doing it for their conscience: As of 2020, there were more than 9 mil-
they don’t want to be a part of the hy- lion users registered on Vestiaire Collec-
per-consumerism industry, contributing tive (via TechCrunch) injecting over 140
to increasing, even more, the already 000 new items onto the platform every to say the least. Rule #1 of marketing
excessive production of goods and day. Veteran TheRealReal accounts for goes “If you market to everyone, you
damaging even further the world. For more than 17 million as we speak (via Pro- market to no one.” So, what should be
most of this generation, second-hand is ductMint). To make it clearer: Farfetch the next step for a better, future-proof,
an attractive alternative to purchasing being the biggest online platform for second-hand luxury industry?
fast fashion brands while contributing luxury shopping, accounted for roughly
to a circular economy that ultimately 2,5 million active customers as of June Luxury is not a stagnant concept. It
will lead to a better world, they believe. 2020 and over 600 000 SKUs available. evolves and changes with time. It used
Fashion Lovers do it to celebrate people Vestiaire Collective would reach this to be material, then it became just hav-
and items that have secured their special kind of assortment in less than 5 days. ing time for you and yours, now it might
place in fashion history, looking for dis- simply be the freedom to go out of the
continued, hard-to-find, or collectible Having spent the vast majority of the last house. Soon, it will not be about the full
items. They might be purchasing a new years editing luxury fashion collections look that just came out of the runway
bag and pairing it with a barely-used 90s for physical stores with a very specific bought 3 months ago at Moda Operan-
LBD that – almost 100% guaranteed – no DNA, and most of my career marketing di, but a very unique mix of new and old,
one will have. All these consumers share and communicating dozens of brands, that no one else can have but you. The
the same online spaces, with Zara being this lack of segmentation feels strange, latter might even have cost you more.
63
Since luxury is still, to a certain length,
all about limited supply, luxury brands own a piece designed by the most rep-
have historically feared that allowing utable fashion designer of many eras.
pre-owned items to be sold at a cheaper The opportunity was screaming luxury.
price would bring their value down but, Now, Halston gowns and overall late 70s
if they could engage with a younger, less original or inspired pieces are selling
affluent, or simply conscious consumer out fast in every pre-owned platform,
in a secondary market, they could grow fueled by Netflix’s series. And what has
their presence, preserve the new-items been a cherished name for savvy buyers,
experience, and contribute to enriching but an overall forgotten brand is now a
the mystique behind its products – be- solid trend, thanks to the late designer’s

cause even used and old, they still hold legacy and the mastery of costume de-
value. And that’s something a Zara dress signer Jeriana San Juan in bringing the
can hardly accomplish. On the other era back to life. Storytelling is all. Netf-
end of the spectrum - the high-spender- lix knows this, hence its collaboration
I’ll-take-also-this-and-that client – could with the luxury fashion house to create
feel excited about the possibility of hav- a 10-piece capsule collection of gowns
ing something even more exclusive, to priced between $995 and $1,595 to be
combine with their new purchases. launched in June, solely for promotion
purposes, with no direct financial profit.
Naturally, it requires a delicate balance - Halter necks and sultry maxi dresses will
reaching new consumers while keeping flood the mass market in a few weeks
the interest of its most loyal ones - but as well, there is no doubt. Legacy is key
fashion, and especially luxury, have al- for every luxury brand, and this is even
ways been about connection, feeling part more relevant when talking pre-owned.
of something, being loved. The sales of That’s why several luxury brands have
pre-owned Chanel items raised by 500% already bought or are deciding to bring
after Karl Lagerfeld’s disappearance (via their re-sale in-house. History and value
IntoTheMinds). That was it - you would are deeply connected or, as artist Tracy
either buy a piece of history at that mo- Emin puts it, “Sometimes the dress is
ment or soon you would not be able to worth more money than the money.”.
64
Luxury resale is also lacking a commu- and tracing any product with a unique
nity feeling – social events, gatherings, digital identity based on a non-fungible
fundraisings – again, people want to be token. Its Innovation Award has also
a part of something bigger. The affluent chosen The Archivist - a tool that allows
customer loves a good party, so re-sale brands to monitor resale activity from
must bring them into the game. 150 platforms selling pre owned fashion
as well as a white-label service for creat-
It is not proven that the current aliena- ing its brand resale marketplace - as a fi-
tion of the pure-luxury consumer from nalist of the 2020 edition, so the house’s The physical store of the future should
re-sale fueled by the big brands is mak- position might not be so clear. have the magic of a Hampton’s summer
ing them lose sales, but what they are party, with several generations mingling
surely losing is the opportunity to pro- Unless brands and boutiques start to look in excitement, where sparkly vintage
vide more excitement and glam to their at their product cycle in a truly holistic finds are worn alongside Gucci’s latest
tribes. And since more traditional fash- way, the painstaking challenges of man- show gown, all fusing in a one-of-a-kind
ion houses such as Chanel or Hermés aging fashion will continue inventory soirée under the moon. The luxury con-

are still very reluctant on accepting the surplus, depreciation, lack of control of sumer appreciates having someone who
fact that re-sale is a heavy player, claim- the narrative, counterfeiting. Once they edits and curates for them. Knowing the
ing their stores as the only place to sell decide to bring the responsibility for customer, their preferences, previous
authentic (and new) goods, other more the whole product cycle in-house (even purchases, size, brands, but also having
forward-thinking players like Kering are if partnering with others for implemen- that very human capacity of proposing
starting to embrace it, but still taking tation purposes not to overburden the There are concerns, of course. Re-sale something they haven’t bought in the
quite small and throughout steps - Kering structure) they will be able to regain is very costly to manage – every single past because one of the biggest challeng-
has decided to invest in Vestiaire Collec- control over stock-clearance and mark- item requires a high level of attention es with pre-owned is that exactly: they’re
tive and assume the authenticating pro- downs, enlarge their potential client and time to select, curate, upload, and not new. Browsing through these exten-
cess, for instance, but visibility is close base, be the ones to offer rare collectible that’s something we will have to figure sive feeds, no matter how many filters
to zero and all happening outside of the items to their VICs, and overall deciding out. Authentication also. Blockchain you’ve made, doesn’t give you that very
brand’s main storyline. LVMH recently which narrative to adopt in every chan- technology will most likely be the solu- special excitement you get when open-
declared it does not intend to enroll in nel, ultimately contributing to a better tion for the majority of these issues, with ing the latest newsletter from Matches.
the second-hand market while simulta- world and making their clients feel they Aura already leading the way, even if not The first retailer to nail this kind of ex-
neously investing in the Aura Blockchain are an important part of it. communicating this as a goal. But at the perience – a place where the seasoned
Consortium, which will allow tracking end of the day, for BRANDS it is all about luxury consumer will feel special just for
building relationships: huge quality cus- being there – together with a perfectly
tomer acquisition and reinforced loyalty organized online stock and custom-
in an overcrowded universe might just er-knowledge database – will have built
overcompensate for those glitches. themselves the store of the future.
65
FINAL
THOUGHTS
AND FUTURE
TRENDS
In fact, if we look closely, we already see
some changes around us, especially in
younger generations, that simply force
us to believe that the industry has to re-
Final Thoughts and Future Trends

invent itself to survive.
As I said at the beginning of this report, In addition to disruptive technologies,
discovering the future is not an easy task. the future will also feature changes in But here’s a piece of advice for luxury
However, although it may not be easy, it society and in the very concept of how fashion brands: please reinvent your-
is an incredible and unforgettable chal- we think about things. In fact, I fully be- self for good and as soon as possible. As
lenge. lieve that, as Geraldine Wharry, fashion Amber Jae Slooten from The Fabricant
futurist and trend forecaster said, the highlighted, it is time for the industry to
Throughout all the interviews and in- main innovation is philosophical. De- stop playing games and realize that the
sights from the invited professionals, we spite all the cool things that will emerge time for change has arrived and, crucial-
realized that the future holds exciting in the coming years (and trust me, they ly, that new generations will not put up
moments and that digital technologies are on their way!) the main change and with false promises and classic market-
will have a huge impact on the future of transformation will be in the human being strategies. So, consider this a free
the luxury fashion industry. ing as an individual and as a consumer. wake-up call to reality.
66
In the opposite chair, it is the side of the
more conservative and traditionalist online or offline. This may seem com-
minds who still believe that the future plicated now, but the truth is that most
of luxury is exclusivity and exquisite young people in developed countries
and splendid service to only 0,1% of the grew up in digital worlds and built their
world’s population. personality, their choices and their lives
with the help of the internet and social
Final Thoughts and Future Trends

Where to sit seems obvious, right? We platforms.For some, virtual worlds can
In fact, with all the transformations are in a period of great change, and after be a scary thing, however, for the more
and changes in recent times, luxury has 2020 nothing will be written the same innovative and those interested in writ-
FROM EXCELLENT QUALITY, INCLUSIVE
found itself having an identity crisis. The way. The industry opened its eyes to the ing things differently it is an endless
time has come to decide where it wants metaverse market, the gaming industry, world of opportunities. ACTIONS, INNOVATIVE TECHNIQUES,
to sit down. But choose quickly, because virtual reality, and the need to innovate SUSTAINABILITY, HUMANITARIAN AND
we only have two chairs available. in an exceptional way to keep up with We are moments away from witness- SOCIAL ISSUES WITH A MEANING MUCH
the consumers of tomorrow. ing what happens when luxury fashion GREATER THAN JUST CLOTHING, FOOTWEAR
Chair number one is the cool kids’ side, brands fall in love with the metaverse.
OR ACCESSORIES, THE FUTURE OF LUXURY
with innovative ideas and a revolutionary Actually, Maghan McDowell, senior in- We’ve already seen incredible results
FASHION WILL BE SO MUCH KINDER AND WILL
mind that will challenge society’s norms, novation editor at Vogue Business, said from this new love, however, I fully be-
tackling issues such as inequality, social something that got me thinking. In the lieve that the future still holds many MOVE AWAY FROM THE DREAM BUBBLE TO
injustice and sustainability and fighting future, consumers will not distinguish things and that in 10 years’ time a lot will THE BATTLEFIELD WITH A MISSION TO MAKE
for more opportunities and world peace. whether they have purchased a product be different. THE WORLD A BETTER PLACE.
67
A THANK YOU
NOTE
Articles
Maria Pimentel
Martina Olbert
Pablo Mauron
Serge Carreira
Timmu Toke
Editorial Coordination
ThePowerHouse GmbH
Po Box 580519 Interviewees
10414 Berlin, Germany Amber Jae Slooten

hello@thepowerhouse.group Amrita Maria
This report was very special for us. Therefore, to all of you Founder Anne-Christine Polet
who contributed to this research, we give our most sincere and
honest thanks. Lisa Lang Cameron-James Wilson
Editor-in-Chief & Author
Fflur Roberts
A special thanks to Joana Lacerda for all the support and mo-
tivating words that made the report even more complete and Geraldine Wharry
incredible. A hearty thank you to Lisa Lang for all the priceless
Sara Teixeira
Ihsane El Ghazouani
advice. To Adam Komůrka and Pavlína Štefková, two brilliant Director of Impact
A Thank You Note

and talented designers, we want to give a big thank you. Jake Bjorseth
Joana Lacerda Joana Esteves
And of course, we are forever grateful for the knowledge,
thoughts and visions of the future that all of our interviewees Graphic Design Kristina Karassoulis
and participants shared with us. We had many long
conversa-tions that will certainly be hard to forget. Again, Adam Komůrka Lui Iarocheski
thank you so much for writing the future with us! and Pavlína Štefková Maghan McDowell
68
ABOUT
Despite all this, none of this would be
possible without our incredible team of
super women who are brave enough to
rethink the future. For this, we thank Lisa
THEPOWERHOUSE
Lang, our founder, serial entrepreneur,
technologist and futurist, recognized by
Forbes as one of the Top 50 Women in
Tech (EU), and high-level adviser for the
European Commission for the Creative
Industries and Artificial Intelligence.
Currently Lisa has joined EURATEX
– Europe’s biggest Association for the
2021 is a year of new opportunities for Textile and Apparel Industry as Director
ThePowerHouse. It is the year where we for Skills and Innovation.
design our new identity and purpose and
we publicly present ourselves as the con- The fantastic Joana Lacerda, Director
sultancy agency committed to shaping of Impact who has been recognized by
the future of the creative industries. Forbes as one of the brightest entrepre-
neurs, innovators and game-changers
From design, fashion, entertainment, in the Law and Policy category, Forbes
creative, artistic and educational arts, 30 Under 30, and she is also a high-lev-
we believe that the creative industry has el advisor to the European Commission
to innovate and evolve, and for this, we for the implementation of the European
embrace the mission of discovering the strategy for Artificial Intelligence.
future through the connection between
arts, technology and innovation. And last but not least, Sara Teixeira, Di-
About ThePowerHouse
rector of Marketing & Future Insights
We believe that technological evolution with her mind always on the future when
is changing our vision and forecasts of it comes to innovation, consumer behav-
the future and how we are as a society. ior and forecasting emerging trends.
ThePowerHouse GmbH is the leading innovation That’s why ThePowerHouse works dai-
ly to help the creative industry recreate
agency working towards re-thinking, re-designing itself in the digital age through services
like disruptive education, future think-
and re-educating the Future of the Creative Industries. ing and strategic innovation.
69
Thanks for reading! And always remember:
#TheFUTUREisNOW
All written content is exclusive and coming from ThePowerHouse’s

research and for external use authorization is required.
https://thepowerhouse.group

The Future of Luxury Fashion Report

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

The Future of Luxury Fashion Report

Uploaded by

Copyright:

Available Formats

#TheFUTUREisNOW

10 The Future of Retail: Gen Z style Jake Bjorseth

13 Are the days of department stores over? Ihsane El Ghazouani

17 When Luxury Meets the Metaverse Timmu Toke

20 Digital and Luxury: The love-hate relationship Anne-Christine Polet

26 How TikTok became luxury’s best friend Kristina Karassoulis

29 The turning point for Luxury Retail Fflur Roberts

32 The Next Big Thing in Luxury Retail Amrita Maria

35 After omnichannel, what’s coming next? Maghan McDowell

38 The Luxury Reset Button Is: Philosophical Geraldine Wharry

45 The Luxury Identity Crisis Martina Olbert

49 Josefinas: The luxury fairy tale Joana Esteves

53 The Future of Haute Couture Serge Carreira

57 Dreaming (about the) Store of the Future Lui Iarocheski

61 New vs Pre-owned Luxury — Who wins the battle? Maria Pimentel

66 Final Thoughts and Future Trends

would immediately go through

your mind? the future of many aspects of the luxury Report.

THE WAKE-UP CALL

A Wake-up Call to the Luxury Fashion Industry

Photo: Courtesy of Amber Jae Slooten

TPH: One of The Fabricant’s sayings is, “Always

Credits: RTFKT X THE FABRICANT

A Wake-up Call to the Luxury Fashion Industry

Credits: RTFKT X THE FABRICANT

TPH: In your opinion, are luxury

Amber: The future of retail, in my opi-

Participation is one because I believe

A Wake-up Call to the Luxury Fashion Industry

Credits: RTFKT X THE FABRICANT

Credits: RTFKT X THE FABRICANT

A Wake-up Call to the Luxury Fashion Industry

To answer this topic, we spoke with Jake

Photo: Courtesy of Jake Bjorseth

The Future of Retail: Gen Z style

Credits: PUMA RS-2K

The Future of Retail: Gen Z style

TPH: What are the main trends that luxury

The Future of Retail: Gen Z style

ARE THE DAYS

Are the days of department stores over?

Photo: Courtesy of Ihsane El Ghazouani

Credits: Instagram @galerieslafayette

TPH: Born in the 19th century. How will Galeries

Ihsane: Galeries Lafayette has a histor-

Are the days of department stores over?

TPH: Do you believe the next generation

Ihsane: Of course, younger genera-

Are the days of department stores over?

However, we believe Galeries Lafayette

Credits: Instagram @galerieslafayette

TPH: What will the department store look like

Ihsane: In my opinion, the department

Are the days of department stores over?

Photo: Courtesy of Timmu Toke

When Luxury Meets the Metaverse

When Luxury Meets the Metaverse

This also applies to the luxury industry,

When Luxury Meets the Metaverse

DIGITAL AND LUXURY:

Digital and Luxury: The love-hate relationship

Credits: Louis Vuitton Maison Osaka Midosuji

TPH: Why is the luxury

Digital and Luxury: The love-hate relationship