Recently, Bernard Arnault, Chairman of LVMH (Moët Hennessy Louis Vuitton), the world’s largest luxury goods group, visited Korea. In fact, Arnault’s visits to Korea have been consistent for over a decade, with him even visiting twice a year except for the brief pause during COVID-19. He visited department stores as part of his “inspection” of the Asian market, traveling from Korea to Japan or vice versa. During his personal time, in line with his identity as a renowned art collector, Chairman Arnault has also conducted gallery tours.
It’s an annual event, so there’s no need to make a big fuss about it, but there’s something to note this time. A companion. Who is by his side when he travels to important events abroad? When he visited Korea in 2019 to commemorate the opening of the Louis Vuitton flagship store and other important occasions, his son Alexandre Arnault, who is currently the Executive Vice President of Tiffany & Co. (formerly the CEO of Rimowa), was by his side. Alexandre also stood right beside him, taking control of the camera flash, when Chairman Bernard Arnault visited Texas, USA for the opening of the Louis Vuitton factory.
This time, his daughter Delphine Arnault, who recently became the CEO and Chairwoman of Dior, along with Alexandre Arnault, accompanied him. Dior is the brand that played a pivotal role in creating the circumstances that led Bernard Arnault to build the luxury empire he has today. While operating real estate investment and construction companies, he visited the United States in the 1980s, where a taxi driver he met told him, “I may not know the name of the French President, but I know Dior.” This story made him realize the potential and growth prospects of the luxury industry, prompting him to dive into the luxury sector. Subsequently, he acquired Dior, setting the stage for building the empire we see today.
Handing over Dior, the brand that nurtured dreams and guided him, creating “today’s self,” to his eldest daughter is a significant demonstration of the tremendous trust he has in her. Just a little over a month since assuming the chairman position, bringing her to his journey to South Korea signifies a kind of international protocol directed towards overseas markets, including Korea. It serves as Arnault’s strategic move to reaffirm her position.
The eldest son and daughter born between Arnault and his first wife are responsible for the fashion division of LVMH, while the three children born from his second marriage oversee the watch and jewelry sectors. The fashion and leather goods division, which forms the foundation of LVMH, is managed by children of the Gen X, in their 40s, while the watch and jewelry sector is led by the Gen Z, in their 20s, passionately nurturing the company. With over 70 subsidiary brands under its wing, by observing the dynamics of LVMH, it is possible to anticipate how the luxury market is likely to be reshaped.
From that perspective, LVMH is more proactive than anyone else in utilizing K-pop celebrities. While every brand wanted to “capture” them, BTS, who at the time was considered a challenging presence due to the need for all seven members to be involved, made waves in the global fashion industry when all of them were appointed as Louis Vuitton’s house ambassadors in 2021.
The group was considered one of the most important stars to move the hearts of Generation Z and was looked up to by all fashion brands, so there were many “envy” sighs everywhere. In 2019, Dior Homme, part of LVMH, created BTS’s stage outfits. It was the first time in Dior’s history that the brand had ever created stage outfits for a music group.
As fate would have it, when BTS became available for solo work, LVMH appointed Jimin as an ambassador for Dior and Tiffany & Co. When Jimin visited the Dior show in March, the city center was paralyzed with fans, and even some of the world’s top stars had to move out of the way. Furthermore, recently, Alexandre Arnault, Vice Chairman of Tiffany, didn’t spare praises when appointing Jimin as an ambassador. He mentioned, “Jimin’s diverse charm, energy, style, and contemporary sensibility perfectly represent the values Tiffany pursues.”
A global festival headliner and Billboard chart-topping solo artist, J-Hope has become a Louis Vuitton ambassador. BTS is not just a target for LVMH. From the moment they were allowed to go solo, every brand in the world has been fighting an almost invisible war, from fashion show invitations to ambassadorial appointments.
Valentino, which emphasizes narrative and creative features, appointed Suga as its ambassador. RM, who possesses a deep appreciation for art and creativity, was appointed as the ambassador for Bottega Veneta, a brand that seeks to transform fashion into artistic creations using artistic techniques. Bottega Veneta’s decision not to appoint foreign stars as ambassadors has garnered attention, raising curiosity about the synergy that RM will bring.
That’s not all. Representing the 4th generation of girl groups, members of NewJeans are equally dazzling. Recently, NewJeans’ Hye-in visited Paris as a Louis Vuitton ambassador, while Hani received a barrage of camera flashes as a Gucci ambassador during Milan Fashion Week. Min-ji has become the first ambassador to oversee Chanel’s fashion, beauty, and jewelry sectors all at the same time.
The US edition of fashion magazine InStyle asserts, “Luxury fashion has entered the era of K-pop. Both engage in the aesthetic business of conveying stories and creating brand myths using visual arts. Fashion and K-pop are industries that embrace lavishness for the sake of beauty. Idols themselves are perfect partners for fashion houses... Crossing boundaries in aesthetics signifies their willingness to take risks and they often trigger the next major trends. This, in turn, makes them appealing to the masses, which is what luxury brands strive to do when trying to create a buzz.”
The influence of K-pop celebrities in fashion is now almost beyond buzzwords and backed up by numbers. “The influence of Korean stars, especially online, can even surpass that of globally recognized American stars,” said CNN.
According to the digital media influence research firm Launchmetrics, through Kim Kardashian’s partnership with Dolce & Gabbana last September, headlines and online visibility generated US$4.6 million worth of value ($1=\1341). Similarly, the star power of BLACKPINK, who appeared at the Dior show held in Paris during the same season, was reported to have created a buzz worth $7 million. Strict management, which is usually pointed out as a blind spot of the “idol system,” has been turned into a positive image for consumer goods such as fashion. This change is attributed to the potential impact on brand image if a star suddenly falls from grace due to various issues.
On the other hand, Korean stars known for their stringent image management are relatively praised for their strong risk management. CNN mentioned, “Korean stars are meticulously managed through strict training, thorough control, and studio systems that protect them, enabling precise reputation management.” They further evaluated, “This advantage minimizes the risks of reputation management for the brands they collaborate with and leads to increased trustworthiness in Korean stars.”
A Key Function that Apple Watch Should Add Right Away “Idol-si” [K-Slang]
