The entry barrier of the luxury fashion sector has been lowered, as pointed out earlier in this chapter. In the past, several decades were required for a new luxury brand to build its credibility and awareness among consumers. Today, however, the timeline has reduced substantially. The main factors that have contributed to this are the internet which provides rapid and uniform information to consumers worldwide making the creation of brand awareness easier; and the globalization of fashion tastes. Also, the increasing flexibility and experimental nature of luxury consumers increases the success potential of new luxury brands.
However, only a handful of the hundreds of brands launched annually are successful. The exceptional brands that have succeeded in establishing global awareness and credibility in the last two decades include British luxury leather-goods brand, Jimmy Choo; French luxury brand Paul & Joe; and British brand Ozwald Boateng. Also British brand Stella McCartney was launched in 2001, and in little over five years has achieved a global consumer following. Italian brand Piazza Sempione, launched in 1990, is also growing rapidly globally. Also highly successful Dolce & Gabbana is only 21 years old while Versace is a brand that is young at 28 years. These brands can be considered as being in their infancy when compared to brands like Hermès, which has a 168 years history, and Louis Vuitton which celebrated its 150 years in 2005. Despite the young age of the new brands, their level of success is immense, proving the point of the high success potential of new luxury brands.
Also in the current twenty-first century, two newly launched luxury brands currently apply strategies that make them brands-to-watch in the coming years. They are French leather-goods brand André Ross and the self-named brand of American fashion design icon Tom Ford. André Ross is based on the brand heritage of bespoke French craftsmanship, which is currently used to create products for a broader luxury consumer base. Tom Ford on the other hand has adopted a reverse positioning strategy of launching with lower-priced products like make-up, eyewear and fragrance rather than apparel and leather-goods collection.
Several other aspirational brands that have been launched in recent decades abound, all trying to create brand awareness and occupy a strong brand positioning in the market. Some of these brands will become successful while others will fail as a result of mistakes and unfeasible business strategies. However, the fact remains that adequate room has now been created for new brands to be launched in the current luxury fashion market without the back-up of a long history. Also new luxury brands currently have a high success potential with the application of appropriate strategies.
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