The Supply Chain Problem of Louis Vuitton

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‪@louisvuitton‬ BIG inventory problem 📦 and here is what we can learn ➗

Over the past 2 years, LV's revenue hasn’t kept pace with inventory growth—a major issue in the luxury world.

LV's issue isn’t just supply chain—it's a Product Range Strategy problem.

They’ve shifted from iconic handbags to fast fashion (think surf shorts and flip-flops), targeting a broader market, but unlike Zara, they can’t just discount excess stock. Now, they’re sitting on $3.5 billion in overstock, with declining sales in 2024, especially in China. It’s a domino effect.

Chapters :
00:00 : Introduction
00:48 : Analysis of the ratios between sales growth and stock growth
07:24 : The brand's strategic turnaround
13:28 : What solutions?
15:43 : Our resources on stock management

Check out the full analysis in the video and learn how to avoid these common pitfalls 👇

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