High-end brands hope to rebound, “loud luxury goods” is back

“Luxury of Loud” is expected to make a comeback as sick fashion houses try to inject new and novel feelings into their designs to win over tired shoppers.

A series of new creative directors for brands like Gucci, Chanel and Versace and the arrival of New dry CEO Luca de MeoSeeing that the subtle and tendency to present the “quiet luxury” is analyzed, analysts say this could be a turning point in the industry.

“We are seeing more obvious luxury goods right now,” Carole Madjo, head of European luxury research at Barclays, told CNBC’s “Squawk Box Europe” last month.

“Luxury fashion is a cycle. Now, with quiet luxury goods already a few years old, you want something else. Going back to my novelty, the new paper: I think that’s the point right now.”

With the efforts of luxury goods, the luxury industry has worked hard to overcome a series of headwinds, from trade tariffs to soft consumer sentiment.

Ultra-Luxe brand Brunello Cucinelli,,,,, Hermes and LVMHLoro Piano Navigates, as their super-wealthy clients continue to spend on low-key high-low fashion cashmere and high-end handbags, their economy is mostly unscathed.

But for many brands, Discrete affluence of quiet luxuryit stands out in the popularity of shows like HBO’s “Succession” in 2022, no longer cutting it. This can herald a new era of large logos, bold brands and unique designs that will rule the catwalk onto the streets.

“The desire for many products across the market is no longer the same, prompting all major brands to change their creative direction in search of relevance,” said Yanmei Tang, a third-bridge analyst, via email.

A brand that has this transformation is Burberry. Under CEO Josh Schulman, the company has embraced its British heritage image again after years of decline in management changes, sales and copy fraud associations. Check printing and signature ditch in the same name.

CFO Kate Ferry said in the second-quarter earnings call that the company’s statement of heritage collections, including full square two pieces, was “reigniting the brand’s desire” and positioned Burberry in a broad consumer base as “a luxury brand with broad and universal appeal.”

See Gucci targeting the same reinstallation as its new artistic director Demna Gvasalia, whose border-squeeze design dispute On the parent company Dry’s smaller Balenciaga tag.

dryFrancesca Bellettini, deputy CEO and head of brand development, said last week that “the first hint of (Demna)’s vision of Gucci” will be launched in September and will be launched all in early 2026.

Fashionists and investors have long been waiting for the catalyst to reverse Gucci’s fate because Sales suffered lossesespecially from China, the demand is weak. The arrival of Chief Renault next month Luca de Meo serves as CEO of Colin It will also inject outsider’s perspective and brand expertise.

“The key is to bring back some brand demand,” Madjo said. “Bring novelty – something new that has never been seen before – I think what can make Gucci stand out again.”

New creative and artistic protagonists can also be seen shaking in Chanel, Bottega Venetta and the famous Versace. MonklerMeanwhile, designers who have chosen to experiment with their genius collections, and Prada Image adaptability between the brand’s virtues has been recently cited.

“The beauty of Prada is that it can be sporty, it can be fascinating. It’s one of the few brands that can play three or four games at the same time,” said group CEO Andrea Guerra on a revenue call last month.

Only high-end brands Hermes, Rolex and Richmont-Owned Cartier is able to maintain a significant increase in 2025 – although more Tariffs may force their hands. Meanwhile, Gucci, Burberry and Prada raise prices, but to a lesser extent.

This could drive further disagreements between quiet ultra-luxury brands and relatively affordable labels.

Marcus Morris, portfolio manager for European and global growth stocks at Alliance Bernstein, told CNBC last week that only “the right brand, the right brand management and the right marketing of these brands” can prove higher prices now.

However, more modest pricing strategies may be needed for troubled brands seeking to restore market share and force a broader consumer base.

“The prices of high-end soft luxury brands have been greatly increased,” Luca Solca, head of the global luxury industry at Bernstein, told CNBC. “Brands with a more modest pricing approach perform well…there is a possibility to benefit from this middle ground.”

Indeed, in an era of huge luxury, it can be beneficial to them.

“Showing off the product may not be a problem, because it is still more affordable than some other brands,” Madjo said.