Celine’s new designer just declared war
Select language to see a machine translation of this article. The original language of the Article is English and the translation is provided for your convenience.

Celine’s new designer just declared war

Is LVMH’s Celine set to become one of fashion’s superbrands? A runway show over the weekend suggests it might – and it’s all down to one man: new designer Hedi Slimane. Slimane previously worked at Kering’s Saint Laurent, where he lent his signature style to the brand’s clothing. Now, he’s applied it to Celine – and that could position it to grab market share from Saint Laurent. In the fashion world, that’s akin to declaring war.

LVMH’s share price has risen by 24% so far this year

graph 1001 celine

SOURCE: Yahoo Finance

Slimane’s Celine line up met with rapturous applause. Described by Bloomberg as “youthful”, black and “rock-and-roll”, it prompted a slew of rave reviews on social media. Polish record producer and reality-TV star Maja Sablewska simply said “the king is back”.

That’s a popular sentiment amongst fashion’s high and mighty. Describing Slimane, HEC Paris business school’s Gachoucha Kretz (a marketing professor) explains: “he’s a brand in himself, and anything he touches makes money.”

It’s an interesting move by LVMH, and one in which it’s wearing its strategy on its sleeve. In appointing the superstar designer to Celine, LVMH CEO Bernard Arnault has effectively made the brand a more authentic Saint Laurent. Because Kering’s brand still bears the hallmarks of Slimane’s vision – but he’s not the man behind their look anymore.

Mario Ortelli, a luxury consultant, summed it up thusly: “If Celine is going to grow significantly, and I believe it will, the question is from which brand it will take the market share.” Ortelli believes Slimane’s appointment (as well as a shared price point) signifies that the answer is Saint Laurent.

It’s likely that Celine will continue down this line. In a rare interview with French newspaper Le Figaro, Slimane convincingly countered the suggestion that Celine was muscling in on Saint Laurent’s territory: “I found my style more than 20 years ago, unless it’s the other way around. It passes through a line, a stroke, an appearance, a silhouette that I have been obsessively pursuing since.”


Dominion holds LVMH in its Global Trends Luxury Fund.

If you would you like to receive the Newsfeeds daily, please click here to sign up now!

Help us make this Newsfeed better by rating this article. 1 star = Poor and 5 stars = Excellent
0.0/5 rating (0 votes)

The views expressed in this article are those of the author at the date of publication and not necessarily those of Dominion Fund Management Limited. The content of this article is not intended as investment advice and will not be updated after publication. Images, video, quotations from literature and any such material which may be subject to copyright is reproduced in whole or in part in this article on the basis of Fair use as applied to news reporting and journalistic comment on events.