Luxury fashion is my absolute passion. Picture this: the thrill of slipping into a Chanel suit, the elegance of Louis Vuitton leather, the undeniable allure of a Versace gown. It’s intoxicating. But what’s happening to our beloved fashion houses under the iron fist of LVMH (Moët Hennessy Louis Vuitton) is nothing short of a fashion disaster. Yes, I’m talking about the conglomerate that’s gobbling up brands like candy and, in the process, chipping away at the very soul of French and Italian fashion.
I remember the first time I saw a Dior dress. It was love at first sight. The craftsmanship, the attention to detail, the sheer luxury of it all—it was like wearing a piece of art. Now, with LVMH in charge, Dior feels like a distant memory.
What once was a beacon of opulence has turned into just another player in a mass-market game.
Let’s talk about leather goods. Have you noticed how Louis Vuitton bags just aren’t what they used to be? I recently bought a handbag, and while it looked gorgeous, it didn’t have that luxurious feel that used to make my heart skip a beat. The leather was different—cheaper, less refined. The stitching wasn’t as meticulous. It’s as if LVMH has decided to trade quality for quantity, and we, the discerning customers, are the ones paying the price.
Eyewear Made In China
Eyewear is another casualty. Chanel sunglasses used to be my go-to for that effortlessly chic look. Now, they seem more concerned with slapping the logo on everything rather than maintaining the sophistication that Coco Chanel herself would have demanded. The frames are lighter, the designs less intricate. It’s a heartbreaking decline.
And then there’s Versace. Oh, Versace. Gianni must be rolling in his grave. Versace once symbolized bold, unapologetic luxury. But under LVMH’s reign, it feels watered down. The fabrics don’t feel as rich, the designs lack that daring edge. It’s like they’ve taken the vibrant spirit of Versace and turned it into a dull echo of its former self.
Matches Bankruptcy
The Matches bankruptcy was a significant blow to the industry. Imagine the scene: designers, in a state of shock, driving to a warehouse to reclaim their precious creations. They were hoping to recover even a fraction of the £25 million worth of stock. This wasn’t just any stock—it was their blood, sweat, and tears. Designers who had poured their souls into creating these pieces now found themselves fighting to save them from a company that had gone belly up.
The downfall of Matches was swift. Less than three months after being acquired by Mike Ashley’s Frasers Group, it went into administration. Immediate job losses were devastating, with 273 people suddenly out of work. And that’s just the beginning—many more will undoubtedly be affected as the ripple effects spread.
Erdem Moralioglu, a designer whose intricate creations have graced the wardrobes of royalty, summed it up perfectly: “It’s tough out there.” He lamented how, despite a boom in sales post-COVID, the fashion industry has become a harsher environment. Once, his brand produced over half of its clothing in the UK. Now, that’s dwindling, a casualty of the ever-changing market.
As consumers, we’re feeling the pinch too. Our beloved brands are either out of reach financially, thanks to skyrocketing prices, or they no longer deliver the quality we crave. We’re left in a bizarre limbo where the market churns out billions of garments, yet we struggle to find pieces that truly resonate with us.
Matches had shown signs of trouble before its collapse. Payments to suppliers became inconsistent, and the website’s transformation from a haven of luxury to a mass-market free-for-all was glaring. Deborah Brett, a former fashion editor turned ceramicist, noticed the shift. “The on-point selection totally disappeared,” she said. The uniqueness that once set Matches apart was sacrificed on the altar of spreadsheets and profit margins.
A designer journalist confided in me just days before the collapse. “It doesn’t look good there,” they said, recounting their own struggles with the retailer. Matches had become notorious for late payments, leaving brands in financial limbo.
Fortunately, some had diversified their sales channels and wasn’t as reliant on Matches. “I’m pulling out of Matches for next season,” they told me. Despite that, they still lost £250,000 worth of stock. Other designers weren’t as lucky, facing potential losses of up to £1 million.
Selling Luxury Goods Cheap
The grim reality hit when designers tried to retrieve their stock from the warehouse. Unless their contracts specifically mentioned retention of ownership, they left empty-handed. Matches was sitting on £100 million worth of stock when it went into administration. Some larger brands managed to reclaim their goods, but for many smaller labels, the fire sale of luxury items at knockdown prices was a brand-killing blow.
Imagine the horror of being told that you could buy back your unpaid stock at full retail price.
It’s the fashion equivalent of rubbing salt in the wound. Two CEOs, who wished to remain anonymous, voiced their fears: “Matches will chuck our products on some outlet site at knockdown prices,” one said. Such actions would be disastrous for their brands’ images, turning luxury items into discount fodder.
LVMH Is China
LVMH’s approach to fashion is reminiscent of a corporate raider rather than a guardian of heritage. They’ve adopted a work ethic from China to compete against Asia, outsourcing labor and cutting corners. The irony? This all happens in Milan, the former fashion capital of the world. The city where Giorgio Armani built his empire now churns out pieces that lack the Italian craftsmanship once revered globally.
Fashion journalist Lauren Sherman reported an even more shocking revelation: ultra-high-end label The Row, known for its exquisite quality, had pieces listed on Walmart’s website. The Olsens must be weeping over their meticulously crafted garments being sold alongside bulk toilet paper.
A few days after the warehouse debacle, the British Fashion Council held an emergency meeting. Scores of international PRs gathered, worried about their clients’ futures.
The Vampire’s Wife
The Vampire’s Wife, a beloved label worn by A-listers, including Kate Middleton was the first to fall. More brands teeter on the brink, wondering who will get paid when the dust settles.
Apax, the investment fund that bought Matches from founders Tom and Ruth Chapman in 2017, had an uphill battle from the start. The market has evolved dramatically since 2020. Big brands like Prada and Ralph Lauren have mastered their online presence, reducing their dependence on multi-brand retailers like Matches. When the first lockdown hit, these super-brands demanded concession-only sales, shifting the risk back to Matches. It was a death knell for their profits.
In the end, LVMH’s quest for domination might be its undoing.
The relentless pursuit of profit over quality, the erosion of brand heritage, and the alienation of loyal customers—it’s a recipe for disaster. As someone who loves luxury fashion, this decline is deeply personal and profoundly upsetting. The fashion world needs a renaissance, a return to its roots of quality, craftsmanship, and true luxury. Until then, I’ll mourn the loss of the opulence that once was.
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