Brands touch every aspect of our lives, and in the future, globally-recognized brands such as Louis Vuitton could launch autonomous vehicle services.
As Bernard Arnault, CEO of LVMH, explores synergies across the group’s 70 brands, a Louis Vuitton branded autonomous vehicle service could act as the next catalyst for growth for the brand.
With recorded revenue of €37.6 billion and organic revenue growth of 6% in 2016, LVMH is well positioned to invest in and launch an autonomous vehicle service under the Louis Vuitton brand.
With a rich history of creating trunks tailor-made for travelers dating back to 1859, Louis Vuitton can once again innovate and introduce a product for the traveling life — autonomous vehicles. Instead of selling a physical product such as a trunk, Louis Vuitton would instead sell an autonomous vehicle subscription in select cities around the world.
Each and every vehicle would be a unique, luxurious experience tailored for the most discerning clientele. Leveraging synergies across the LVMH group, Krug Grande Cuvée champagne could be pre-stocked in the autonomous vehicle for a couple who are attending the theatre at Palais Garnier. Upon the vehicle’s arrival at the couple’s residence, the champagne would be properly chilled and ready to be served en route.
This memorable experience could be replicated across the 29 cities for which Louis Vuttion has published a City Guide. During the months of October through August, LVMH could offer the Louis Vuitton autonomous vehicle service on the island of St-Barth in conjunction with the Cheval Blanc resort.
The luxurious autonomous vehicles on St-Barth would be designed for the warm Caribbean weather complete with their own bespoke offerings exclusive to Cheval Blanc.
Every OEM and ride-sharing company currently working on developing autonomous vehicles and technology is thinking about scale and mass-market. However, Louis Vuitton would be solely focused on a niche market which is accustomed to paying a premium price for high-end products and services.
Leveraging their controlled niche market, LVMH would be able to scale the Louis Vuitton autonomous vehicle without devaluing the brand. Case in point: Uber is currently suffering from brand devaluation as they do not offer a consistent service. Every ride in an Uber is different, while every ride in an LV autonomous vehicle would be luxurious and consistent.
Building on over 100 years of brand management, Louis Vuitton has guidelines and policies in place to ensure consistency. By focusing on 29 world-class cities and Cheval Blanc hotels, LVMH would ensure that the overall integrity of the brand is not devalued.
Should the Louis Vuitton autonomous vehicle service be successful, LVMH could expand the service and deeply integrate it into the group’s holdings by offering the service at events around the world such as Baselworld, Cannes Film Festival, and The Louis Vuitton Cup.
Integrating the service with exclusive Louis Vuitton sponsored events would reinforce the intrinsic value of the brand. The future is bright for the Louis Vuitton brand. Now it is time for the brand to take the next logical step and introduce an on-demand autonomous vehicle service complete with matching luggage in 29 cities around the world.