Louis Vuitton, Dior customers get bad news
Louis Vuitton, Dior fans get an unwelcome warning.
I remember my first Louis Vuitton bag like it was the moment my expensive taste was born.
I got it in 2013 — a gift I had been dreaming about for years. The moment I held it in my hands, everything felt elevated. Not just my outfit, but even how I carried myself.
It wasn’t about showing off a logo — it was about owning something iconic, something that felt like a turning point in my life.
Related: Chanel customers should be happy about its new pricing plan
I still have that bag today. It’s been with me through job interviews, milestone moments, and big life shifts. It’s more than a status symbol. It’s a reminder of who I was becoming when I first got it.
That’s the thing about luxury. When you buy into it, you’re not just buying a product — you’re buying emotion, identity, and longevity. But that loyalty may soon cost more.
The company behind Louis Vuitton, Dior, and Tiffany just signaled that it may raise prices in response to rising global tariffs, a move that could ripple across the luxury world and land squarely on the shoulders of shoppers. Image source: Eric Thayer/Bloomberg via Getty Images
Louis Vuitton, Dior owner LVMH warns of possible price hikes
LVMH (Louis Vuitton Moët Hennessy) kicked off 2025 with a slight stumble, reporting a 2% drop in first-quarter revenue to €20.3 billion (about $23 billion).
The dip wasn't evenly distributed. Its flagship division (fashion and leather goods) fell 4% year-over-year, with the U.S., Japan, and Asia (excluding Japan) all underperforming. Europe, however, was a bright spot with 2% organic growth.
Despite the dip, LVMH (LVMHF) tried to keep the mood upbeat, calling the results "resilient," given global instability. But there was no ignoring the elephant in the room: tariffs.
Related: Burberry plans major layoffs in desperate reset for luxury brand
On the Q1 earnings call, CFO Cécile Cabanis told investors that while LVMH doesn’t typically rely on price hikes to boost growth, the company is keeping that option open depending on how tariff policies evolve.
“Price changes are a lever we’re going to consider,” she said, framing it as a potential response to shifting economic conditions rather than a default strategy.
If things continue to escalate, shoppers could be the ones footing the bill.
Ugh. My Louis Vuitton wallet just let out a dramatic gasp...and honestly, it’s bracing for impact.
Louis Vuitton, Dior shoppers could face higher prices soon
LVMH says its approach won’t be one-size-fits-all, and price changes will be decided at the brand level. Still, any hikes — even targeted ones — could hit loyal customers and luxury newcomers alike.
The group already has some U.S. production capacity via Louis Vuitton and Tiffany & Co., but expanding that to dodge tariffs won’t happen overnight. Cabanis said they’re exploring more domestic production, but gave no timeline.
Meanwhile, the company has been deep in a leadership shuffle — the kind that usually signals bigger changes ahead, including the not-so-fun kind like raising prices.
Cabanis did offer a peek behind the curtain, noting that Louis Vuitton remains a top performer, Dior is slightly below average, and Loro Piana is gaining steam. Translation: those price hikes could hit the hottest brands first.
For loyal shoppers like me, luxury still holds its pull — but at this rate, I’m starting to ask myself how many designer bags one person really needs.
Related: Cartier and Van Cleef owner announces surprising year-end results
