LVMH Has Invested In A Young Version Of Hermes'S First Store In Less Than 3 Months.

According to "women's Wear Daily" news, French luxury group LVMH underwind fund Luxury Ventures acquired New York designer brand Gabriela Hearst minority stake, has not disclosed the specific paction amount.

It is reported that LVMH promises to help Gabriela Hearst expand its market, which was founded in 2015 and opened its first store in Madison Avenue, New York in November 2018.

In order to make the group a good opportunity to lose its emerging market, LVMH founded Luxury Ventures in 2017 to invest in potential emerging brands, with investments ranging from 200 to 5 million euros (about 1553 to 38 million 850 thousand yuan).

Gabriela Hearst is the third investment of Luxury Ventures, and it is also the first investment in designer brand.

Previously, the fund had invested in the French niche brand Officine Universelle Buly and Stadium Goods, which was bought by luxury electric Farfetch at the end of 2018.

Although Gabriela Hearst has not been established for a long time, it has already had a good reputation and reputation in the fashion industry.

Its "Nina Bag" has been sought after by the net red people. It is known as "wonton bag", and the scheduled list is scheduled to last for a year.

And its high price makes the level more realistic. The lowest price is about 17 thousand yuan.

Last year, Gabriela Hearst, the founder and designer, told BoF that handbags accounted for half of the brand income and helped brands achieve profitability in three years.

The price of the young designer brand is no different from that of the luxury brand. The shoes are about 7000 yuan, and nearly ten thousand garments are made.

"The women's suits and knitted products in our clothing series are also outstanding, and sometimes more than 40% of the garments are sold from knitted products."

Hearst said to BoF.

In the past 3 years and more, it has maintained a high and high strike route, and still can get many people's love, and is inseparable from the strength of the brand.

Hearst is from Uruguay, usually stationed in New York.

She married Austin Hearst, an American media tycoon William Randolph Hearst, who gave her fame, but she chose to devote herself to fashion.

Prior to the establishment of the same brand, she also founded a T-shirt brand Candela in 2004 with a start-up fund of $700, and developed the brand into a complete wind garment brand.

After establishing the brand of the same name, she hopes to take the "honest luxury" route and develop it into a hundred years brand.

Hearst refers to the "honesty", in fact, the quality of the product.

For example, she spent 8 months designing Nina Bag and putting it in a family workshop in Florence.

Vogue Runway commentator Nicole Phelps once said in the 2019 holiday series show of Gabriela Hearst: "Hearst is not a doomed designer, and she is distinguished from high-end fabrics and exquisite handwork."

Interestingly, she inherited his family's ranch in Uruguay. Later, many of the wool imitation materials used in ready-made clothes came from here.

It also helped her win the international wool logo design award in 2016.

"You can't express high quality products quickly," she once said at the CEO summit of women's Wear Daily last year.

Maybe this is the reason why Nina Bag has to keep the consumers waiting for so long. On this issue, she also told BoF: "in this world where one order can be placed in order, I hope that consumers will buy a Gabriela Hearst handbag as if it is a journey."

In addition, Hearst is the finalist of the CFDA women's wear designer award in 2018.

At present, Gabriela Hearst only has a physical store in New York, and has a long-term exhibition hall in Paris. Second stores may be on the west coast of the United States or the core city of Europe.

Usually, the profits of the brand almost come from the electricity suppliers and shopping malls, such as Bergdorf Goodman, Neiman Marcus, Lane Crawford, Selfridges, Net-a-porter, Matchesfashion and so on.

The women's Wear Daily said sales of Gabriela Hearst exceeded $10 million, while retail channel performance accounted for 10%.

Therefore, the brand's next step will be to expand the store with the help of LVMH.