Luxury Streetwear

A Friend Or A Foe To The Established Luxury Brands

High-end streetwear has gained its momentum back again in our era. With the aid of social media, streetwear really erupted onto the scene, resonating with image-obsessed customers with bold logos and graphics. 

“Why is it relevant?” you might ask. Think of it as the new uniform that millennials (and not only) are wearing every day and that the typical luxury buyer is becoming younger than ever. Now put these concepts together and you obtain a phenomenon that is challenging the household luxury brands like never before. The possibility of being comfortable yet fashionable is replacing the idea of wearing luxurious items that only bring little to no comfort to their customers. The “...women are happy to wear painful shoes” idea, as Mr. Louboutin himself would say, is now losing ground to this revised fashion sensation.

Paris Fashion Week Men's AW18: Street Style
Source: Shutterstock

Off-White, Supreme, Vêtements, CDG became well-known names that belong to the fashion shows in the fashion capital and shop windows of notable department stores. Their drops are limited and are quickly sold out making them only desirable for the ones who cannot afford them.

Until a few years ago, luxury brands were mainly focusing on the typical old-money consumer, promoting elegance and sophistication as their recognizable traits at the expense of comfort and innovation. However, Gen Zs have brought new topics to the table which forced luxury companies to revise their business model and adapt to such changes.

For instance, luxury brands are now proposing their own street-style version as well by using big logos and comfy clothes. Think of Balenciaga that recently made streetwear a crucial element of its comeback on the scenes. Lux companies have also stepped out of their golden cage by hiring high-end street designers as their own: Virgil Abloh, Off-White creator, was recently appointed as Louis Vuitton menswear creative director. This would have been unthinkable years ago.

Another example is coming again from Louis Vuitton that realized an eclectic collaboration with Supreme that turned out to be a sold-out collection with resale prices up to more than 100% of the original price. This goes to show how high-end companies were in a way forced to adapt their business models to the high streetwear ones, in order to revamp their image while still remaining true to their core.

Despite the pessimism felt in some sectors, the high-end streetwear continues its development without slowing down. These brands are so well incorporated into the definition of “à la mode” and have strong brand awareness. They have proved that the uncommon and innovative can be successful so their experimenting efforts will be ongoing in the future too. The hype around them will last for a long time unless the traditional luxury brands try to challenge them in some way. 

Supreme x Louis Vuitton Paris Men's Fashion Week AW 2018/19
Source: WWD

In the high-end fashion industry, the word “cult” is the one which caters the attention of customers. This status brings fortune, but continuous creative product offerings, innovative design, and exciting marketing are required. The brand must be able to evolve and be present in people’s life. Wise usage of collaborations and social media will aid these brands to have an even brighter position on the market.

While the luxury product market reaches a total of 1.2 trillion Euros worldwide, the question of what will be the future of luxury brands remains in the minds. Research reveals that reputation alone is no longer sufficient in the sector (1). Now that Instagram is the ultimate platform for fashion exploration, conventional luxury brands such as Gucci and Louis Vuitton have embraced the defining characteristics of streetwear, seeking bold logos and innovative designs that are essential to reaching younger generations (2). It is up to the future to reveal the status of the luxury industry.

(1) D’ Arpizio, C., Levayo F. & Montgolfier, J. (2019, October 24). The Future of Luxury: A Look into Tomorrow to Understand Today. Retrieved September 20, 2020, from bain.com

(2) Hoffower, H. (2019, June 27). High-end streetwear is the latest status symbol, and it shows just how powerful rich millennials are in the luxury industry. Retrieved September 20,2020, from businessinsider.com 

Grechko, I. What Does A Fashion Brand Need To Achieve Cult Status? Retrieved September 21, 2020, from refinery29.com