LVMH Moët Hennessy Louis Vuitton Business Model Canvas

Partnerships with DFS, major airport concessions and premium malls extend LVMH reach into the $80bn global travel retail market (2024) and tap high-intent shoppers, supporting the group’s €86.4bn 2024 revenue momentum. Premium placements in controlled environments reinforce desirability and brand integrity, while shared POS and CRM data refine assortment and clienteling to lift basket size. Coordinated promotions and co-funded campaigns increase footfall and conversion rates across channels.

Master craftsmen, rare suppliers and long-term vendors secure quality and innovation across 75+ Maisons, enabling co‑development and contributing to LVMH revenue of €86.4bn (2024). Travel retail and DFS partnerships capture the $80bn travel-retail market (2024), boosting margin and reach. Tech, logistics and cultural collaborations drive omnichannel growth—online ~29% of luxury sales (2023).

Operating flagship boutiques and selective retail formats across over 5,000 points of sale, LVMH leverages store positioning to support group revenue of €86.2bn in 2024. Clienteling, merchandising and visual merchandising shape immersive experiences that increase basket value and loyalty. Intensive training programs certify staff to deliver consistent luxury service. Teams monitor traffic, conversion and productivity KPIs to optimize store ROI.

Architecting desirability across ~75 Maisons, LVMH drove 2024 sales €86.3bn (organic +7%) via premium storytelling, limited editions and flagship events. Vertical integration (vintages, tanneries), scarce‑input management and anti‑counterfeit controls secure quality and margins. Retail network 5,000+ points of sale; capex prioritizes leather goods, watches and Asia‑Pacific growth.

Controlled distribution sits at LVMH’s core: Louis Vuitton operates about 460 boutiques globally (2024) alongside branded e-commerce and selective retail partners, enabling strict control of pricing, assortment, and customer experience. Prime flagships in Paris, New York and Tokyo anchor brand positioning and premium pricing. Integrated OMS and CRM platforms power a unified omnichannel experience and inventory visibility across channels.

LVMH’s key resources are iconic maisons (75 maisons; market cap ~€400bn, 2024) and heritage IP that sustain premium pricing; Fashion & Leather Goods drove ~60% of 2024 operating profit. A 220,000-strong artisan and creative workforce (Institut des Métiers d'Excellence >3,000 trained) plus controlled retail (Louis Vuitton ~460 boutiques; Sephora ~2,900 stores, 2024) and >€80bn sales/strong FCF enable scale and M&A.

LVMH leverages immersive boutiques, personalized services and exclusive client events—previews, ateliers and private tastings—to deepen emotional bonds that elevate product utility and lifetime value; these curated experiences support a portfolio that generated €86.2bn in 2023 revenue, reinforcing premium pricing power. White-glove after-sales care and bespoke follow-ups convert experiences into repeat purchases and higher client retention.

LVMH delivers timeless design, exceptional craftsmanship and strict quality controls that sustain premium pricing and resale value; group sales reached €86.2bn in 2024. Exclusive experiences, limited editions and authenticated provenance drive loyalty and scarcity-driven margins. LIFE 360 sustainability, traceability and aftercare reinforce trust and product longevity.

LVMH offers repairs, restoration, resizing, cleaning and spa services to preserve craftsmanship and extend product lifespan, alongside warranty and authentication support to protect value and trust. Premium pickup and white-glove logistics, available across LVMH’s 75 maisons in 2024, enhance convenience and customer satisfaction. These after-sales services increase repeat purchases and lifetime value by improving durability and brand loyalty.

High-touch clienteling and private events drive VIP retention; LVMH prioritizes lifetime value across maisons. Sephora Beauty Insider had 25m US members in 2024, boosting repeat spend. After-sales care, repairs and authentication across 75 maisons preserve value and loyalty. CRM, apps and virtual try-on deliver personalized recommendations and seamless boutique handoffs.

Sephora's selective retail network — roughly 3,000 stores globally as of 2024 — plus DFS travel-retail boutiques and brand specialty counters deliver broad beauty reach with controlled positioning. These high-traffic, discovery-driven environments (airports, malls, flagship streets) drive trial and premium conversion. Scale of LVMH data assets (group revenue €86.2bn in 2023) enables assortment optimization and targeted merchandising. The model leverages loyalty and point-of-sale analytics to refine SKU mix and pricing.

Owned boutiques (≈5,000 worldwide in 2024) and flagship stores plus concessions drive premium service, clienteling and high AOV within LVMH (group revenue €86.5bn in 2024). Sephora (≈2,700 stores, 30+ countries) and maison sites expand omnichannel reach; click‑collect and personalization lift repeat rates. Travel retail (global ≈US$85bn 2024) and selective wholesale extend discovery and international demand.

Sephora reaches beauty enthusiasts across demographics via ~2,900 stores in 36 countries (2024) and a 40M+ Beauty Insider base (2024). Value discovery and tutorials drive conversion and repeat buys, with shoppers purchasing ~6 times/year on average. Loyalty rewards boost lifetime value, while omnichannel engagement — e‑commerce ~30% of sales (2024) plus in‑store/digital touchpoints — is critical.

High-net-worth collectors, affluent professionals, beauty shoppers and tourists/Travel Retail form LVMH’s core segments; 2024 group revenue €86.2bn, ~75 maisons. Sephora: ~2,900 stores, 40M+ Beauty Insider; e‑commerce ~30% of sales. Travel: 1.4bn intl arrivals (UNWTO 2024), strong duty‑free demand.

Marketing & events cover global campaigns, flagship fashion shows, and high-profile sponsorships that reinforce LVMH house brands.

Influencer and celebrity partnerships plus cultural collaborations amplify reach and command premium fees and production budgets.

Content, PR and top-tier creative production form a major component of selling & marketing costs amid LVMH's €79.2bn revenue in 2023.

Materials and artisanal labor drive high COGS; LVMH recorded €86.2bn revenue in 2024 and reinvested ~€4.0bn capex that year. Retail opex (prime rents, bespoke store builds, payroll) and security materially raise fixed and variable costs. Marketing, events and influencer deals plus R&D (≈1–3% revenue) and packaging add recurring spend. White-glove logistics, anti-counterfeit and ESG compliance increase SG&A and supply-chain costs.

Perfumes and cosmetics—fragrances, skincare and makeup across LVMH Maisons and Sephora—deliver high-velocity, repeat-purchase revenue with a strong cadence of new launches that drives store and online traffic. The channel combines robust wholesale partnerships with direct-to-consumer (Sephora + Maisons) selling. Sephora operates across dozens of countries with over 2,600 stores, supporting LVMH’s €86.2 billion group revenue in 2023.

Fashion & leather goods ~42% of 2024 group revenue, highest-margin category; Wines & Spirits €8.8bn (2024) leveraging Champagne & Hennessy; Watches & Jewelry €9.2bn (2024) driven by Tiffany/Bulgari high-ticket sales; Sephora c.2,900 stores (2024) and DFS ~520 locations amplify DTC and travel-retail channels.