A new chapter to the house
Céline stands as the only LVMH owned company to not have an e-commerce presence. However this is subject to change, with a new e-commerce site launching next week.
Phoebe Philo is the creative mind behind the brand, who has carved an aesthetic that is unmatched minimalism, her consistency at each collection has led her to become one of the most coveted designers, combine this with the lack of availability online and you have a classic supply and demand issue.
Céline is entering the ecommerce game late, yet many brands have tip toed over the past decade as a result of concerns of damage to their brand image. However, now it is ludicrous to live in this current world and not use this viable revenue stream, as customers are finding it tedious that certain brands are not willing to sell online, additionally the even slower uptake in the world of hard luxury, namely watches and jewellery.
Analysts estimate Céline's annual revenues to be circa 700 to 800 million Euros. With Bain Consultancy highlighting that luxury goods are set to grow 24 percent in 2017 alone.
But why has Céline been so late, and why has pressure not been applied by LVMH earlier. Rival conglomerate Kering, owner of brands such as Gucci, Saint Laurent, Balenciaga and McQueen has had immense success. Gucci alone gained $4.4 billion in revenue (2016) How? 4 Contributing factors;
1) Gucci Website Re-design and Re-launch – transformed the e-commerce experience, Its website features multiple visual content displays featuring the brand’s collections and campaigns, with all the available options from the runway and the superb ease of customer experience.
2) Gucci has been worn by a number of highly successful artists in their most successful performances.
3) Collaboration with Instagram’s best visual artists: Unskilled Worker and Gucci Ghost have caused dramatic and limited 'need to have pieces'.
4) As long as there are rappers who need to 'flex on the gram' Gucci is their go to brand for this. Rae Sremmurd and Future might be half of the revenue stream alone (This fact is not an accurate contributing factor)
Philo is apparently leaving Céline, taking over the helm at Burberry, replacing outgoing Christopher Bailey, this seems the most logical explanation in the e-com delay or Philo potentially runs the roost at LVMH!
If you still prefer your clothing from the boutique and not the accessible convenience or option from shopping online then there is always CHANEL, who has no immediate plans to sell RTW online.