SEOUL, May 11 (AJP) - Bernard Arnault, chairman and CEO of French luxury titan LVMH, arrived in Seoul on Monday for an intensive inspection of the South Korean market as the world’s largest luxury group faces slowing global momentum and weaker growth in Korea relative to rival luxury houses despite the country’s continued luxury boom.
Accompanied by his eldest daughter, Delphine Arnault, CEO of Christian Dior Couture, the LVMH chief’s visit comes at a pivotal moment when the group’s global sales have stagnated amid softening demand in China and the United States.
The visit began at Shinsegae Department Store’s flagship store in central Seoul at 12:30 p.m., where Arnault was greeted by Shinsegae CEO Park Joo-hyung.
Although the department store was closed for its regular holiday, Arnault spent time closely inspecting the exterior and storefront displays of “Louis Vuitton Visionary Journeys Seoul,” the six-story experiential complex that serves as the brand’s largest retail location globally.
Rather than focusing solely on retail traffic or VIP lounges, Arnault’s attention centered on the physical presentation and experiential environment of the flagship, underscoring LVMH’s push toward “destination retail” that blends architecture, exhibitions, dining and brand storytelling.
Arnault’s direct oversight of the Seoul flagship highlights the strategic importance LVMH places on South Korea, one of the few luxury markets still posting robust growth despite mounting concerns over a global sector slowdown.
While LVMH’s global sales growth slowed to 1 percent last year, Louis Vuitton Korea posted record revenue of 1.85 trillion won ($1.36 billion) in 2025, up 6.1 percent from a year earlier, while operating profit surged 35 percent to 525.6 billion won.
Yet LVMH’s Korean growth has increasingly lagged behind some rival luxury houses that continue to post stronger momentum in the country’s polarized luxury market.
Chanel Korea surpassed the 2 trillion won revenue mark for the first time last year, with sales rising 9 percent to 2.01 trillion won and operating profit climbing 25 percent to 336 billion won. Hermès Korea also reported standout growth, with revenue increasing 16.7 percent to 1.13 trillion won and operating profit rising 14.6 percent to 305.5 billion won.
The contrast has become even more pronounced within LVMH’s own portfolio, particularly at Dior, once grouped among Korea’s so-called “EruSha” trio of Hermès, Louis Vuitton and Chanel.
According to regulatory filings, Christian Dior Couture Korea posted revenue of 773.9 billion won last year, down 18.1 percent from a year earlier, while operating profit plunged 43 percent to 129.2 billion won. The brand had already suffered declines in 2024, marking two consecutive years of falling sales and earnings while competitors continued delivering record performances.
Arnault plans to make stops at Lotte Department Store, and luxury industry will be closely watching whether Seoul will further shape LVMH’s evolving blueprint for experiential retail in one of the world’s most competitive and polarized luxury markets.
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