Strategic Differentiation and Multi-Sector Brand Development in the Luxury Industry: The Case of LVMH Beyond Fashion

Objective This thesis examines how differentiation strategies shape brand positioning and performance in contemporary luxury, using LVMH (Moët Hennessy Louis Vuitton) as an embedded single case study. It asks: How do cross sector differentiation strategies reinforce luxury brand equity and translate into strategic outcomes? The research shifts attention beyond fashion to non-fashion domains, as wines & spirits, jewelry & watches, perfumes & cosmetics, selective retail, and lifestyle & art, where experiential extensions materially affect desirability. Context and Theoretical Background Luxury has evolved from a product centric paradigm anchored in material rarity to an experience driven model that creates symbolic value. The study integrates Kapferer’s anti laws and abundant rarity; Vigneron & Johnson’s Luxury Value Perception Model; Aaker’s Brand Identity System; Keller’s CBBE; Pine & Gilmore’s Experience Economy; and Schmitt’s Strategic Experiential Modules. It also adopts the Blue Ocean perspective to explain how hybridization across art, hospitality, gastronomy, sport, and technology opens uncontested spaces. LVMH’s diversified portfolio exemplifies how a group can orchestrate coherent narratives across heterogeneous categories while preserving each Maison’s identity.