The Paris 2024 Olympic Games medals will be displayed in a custom-designed case made by Louis Vuitton, an LVMH brand partner of the Paris Olympic and Paralympic Games, during a gathering at LVMH in Paris on July 22, 2024, before the start of the Paris 2024 Olympic Games.
Stephane De Sakutin | AFP | Getty Images
Whether it’s the Moët champagne poured to celebrate a victory or the bespoke trunks Louis Vuitton made for medal ceremonies, luxury was everywhere at the Paris 2024 Olympic and Paralympic Games.
For Carly Duguid, creative director of tennis and fashion star Naomi Osaka, luxury fashion and athletics are the perfect combination.
“There is a strong parallel between athletes and brands in their commitment to quality and excellence,” Duguid told CNBC.
In the age of influencers, the fashion world has quickly taken over the sports world, turning athletes into trendsetters in the fashion industry. These global stars help brands reach a whole new market of fans and potential new buyers.
Osaka was the first female athlete to work with Louis Vuitton, whose roster today includes Victor Wembanyama, Carlos Alcaraz and numerous French Olympic and Paralympic athletes.
LVMH is not alone. Gucci is an ambassador for British footballer Jack Grealish and has put up billboards featuring Italian tennis champion Jannik Skinner in many cities. At the 2024 WNBA Draft, Caitlin Clark became the first professional basketball player ever to be dressed by Prada, and she is wearing classic designer clothes all season. Dozens of luxury designers dressed national teams for the first time at the opening ceremony, marking new connections not only between sport and fashion, but also between sport and the Olympic Games.
LVMH wants to create a stir beyond its partnership with athletes and is the first luxury brand to become an Olympic sponsor.
The investment of around $160 million, representing nearly 1% of LVMH’s 2023 profits as the parent company of brands such as Celine, Louis Vuitton, Loewe, Sephora and Dom Perignon, has brought a touch of luxury to the Games, from the medals designed by Chaumet to French athletes wearing outfits designed by Berluti at the opening ceremony to medal winners in vintage uniforms in typical French LVMH style.
LVMH finances, luxury purchases and Olympic growth
Being linked to the world’s most important sporting events could provide a boost to LVMH as overall spending on luxury goods declines.
LVMH missed its second-quarter sales and earnings targets, and the luxury sector is weakening amid falling global demand, largely due to growing financial instability and a shrinking market of “emerging” consumers – young, first-time luxury buyers.
Milton Pedraza, CEO of luxury consultancy The Luxury Institute, said that rather than a “no-name belt,” new potential buyers would see athletes at the Olympics surrounded by LVMH brands and strive for these luxury items.
Luxury brands used to focus on the most expensive and exclusive sports, such as tennis and sailing, but today they sell what Pedraza calls “inclusivity with exclusivity.”
“Today, many of the aspiring rich are athletes, actors and social media influencers, so the idea that anyone, regardless of race, creed, gender or any other background, can share in luxury if they have the financial means to do so is much more prevalent,” Pedraza said.
A new era of luxury in athletics?
LVMH has brought classic French glamour to the global Games since the fashion-conscious opening ceremony, but the brand’s reach extends far beyond French culture.
“Sport, luxury and fashion bring us together… A common culture is the goal to ensure that luxury brands… spread,” Pedraza said.
The night before the opening ceremony, Osaka, along with LeBron James and Serena Williams, as well as actors, artists and other business tycoons, attended a party with star athletes at the Fondation Louis Vuitton in the heart of Paris, wearing pieces from LVMH brands.
Duguid called it “the perfect opportunity for the athlete ambassadors to showcase themselves and support their partnerships with LVMH while celebrating the start of the Games.”
Since each medal tray brought to the winners’ podium features the checkered pattern that has long been a signature of the brand, “(LVMH’s) presence at the Games will be felt in every way,” Duguid said.
Disclosure: CNBC parent company NBCUniversal owns NBC Sports and NBC Olympics. NBC Olympics is the U.S. broadcast rights holder for all Summer and Winter Games through 2032.
