Louis Vuitton’s Art-Based Strategy to Communicate Exclusivity and Prestige

Abstract

The recent global luxury industry has transformed from a constellation of small and medium-sized enterprises to a few large luxury conglomerates. This new structure, along with growing foreign markets such as Asia, has caused an increase in sales volumes, resulting in production that is more industrial than handcrafted. These changes decrease exclusiveness for luxury brands, which may lead to commoditization of the luxury brands in consumers’ eyes. To alleviate this commoditization, many luxury brands work to communicate exclusivity and prestige through strategic arts sponsorships, philanthropic activities, and limited collections in collaboration with artists. These activities binding luxury brands with the art world constitute an art-based strategy named artification. This approach is described via the behavior of luxury brand Louis Vuitton, with a particular focus on the relationship that links the French luxury brand together with the contemporary Japanese artists Takashi Murakami and Yayoi Kusama. Via a qualitative analysis, we identify how these art-based strategies utilize different contact points with the art world, ranging from sponsorships to advertising to product design, in order to communicate an image of exclusiveness and prestige for luxury brands.