ClickZ Luxury Fashion Newsletter - 11.14.2024

Plus: Black Friday tips to ride the surge!

Author

Sophie Bruxner-Randall
November 14, 2024 • Estimated Reading Time: 7 minutes

Niche Nuggets 🔎

As Fendi approaches its 100th anniversary in 2025, the brand is set to celebrate with a coed runway show at Milan Fashion Week this February. This exciting event will be led by Silvia Venturini Fendi, the granddaughter of the founder, who continues to shape the brand's legacy as the artistic director of accessories and menswear collections. The show will coincide with the reopening of Spazio Fendi on Via Solari, a historic venue for the brand's runway presentations.

The new CEO, Pierre-Emmanuel Angeloglou, has confirmed the show, marking a period of introspection and heritage refinement for the LVMH-owned label. This milestone event promises to be a highlight of Milan Fashion Week, running from February 25 to March 3, offering a glimpse into Fendi's future while honoring its rich past.

Millennials and Gen Z are all about that aspirational lifestyle when it comes to luxury purchases. They're not just buying products - they're buying into a whole aesthetic that shows off their social status, often fueled by what they see on social media. Celebs like Gwyneth Paltrow are even getting in on the action, making luxury more accessible through consumer goods and partnerships.

But it's not all about flexing - a lot of this younger crowd is also pretty savvy when it comes to spending. They're big on product dupes to save some cash, and they're not afraid to go into debt for experiences or unexpected splurges. That said, many do end up regretting the overspending.

And there's a growing group of "Zillennials" who are prioritizing financial literacy and affordable alternatives over high-end everything. Influencers are also reshaping the game, with 59% of Millennials more likely to buy what their favorite creators recommend. Ecommerce marketers really need to stay on top of these ever-evolving consumer behaviors.

Prada's succession plan aims to maintain independence and avoid family disputes. Miuccia and Patrizio Bertelli are preparing their son Lorenzo to lead, transferring ownership stakes. This strategic move ensures Prada's legacy amidst industry giants like LVMH. Lorenzo's leadership, supported by experienced veterans, is crucial for future success.

Capri Holdings, owner of Michael Kors, Versace, and Jimmy Choo, reported a 16.4% revenue drop in Q2 2025, totaling $1.08 billion. Versace's revenue fell 28.2%, while Jimmy Choo saw a 6% increase. CEO John D. Idol remains focused on strategic growth despite global demand challenges for luxury fashion.

Leading Voices 📣

With the election now behind us, the whopping 44% of consumers who reported delaying purchases pre-election may finally be ready to open their wallets. 

Black Friday and Cyber Monday could be bigger than ever as shoppers prepare to make these ‘revenge purchases.’ This is a prime opportunity for brands to capture pent-up demand.

In this article, Jamie Bolton shares 3 tips to make the most of this opportunity:

📉 Integrate Lower-Competition Channels: Platforms like Snapchat have less competition and lower CPMs, offering low-hanging conversion opportunities.

🎯 Consider TikTok for Efficiency: Last year, TikTok saw the biggest month-over-month jump in ROAS in November, making it a highly efficient tool for BFCM success.

⏳ Strategically Time Ad Spend: 2023 data shows strong results from increasing spend at the start of Black Friday week, but the best approach depends on your budget and goals. (Get a full guide to three timing strategies in Fospha’s BFCM report).

For a closer look at the data behind Jamie’s top tips for BFCM 2024, check out the full article.

Luke Jonas on LinkedIn: Going global in 2025

Although Black Friday is just around the corner, savvy brands have half their mind on next year.

With economic challenges in the UK, and a growing opportunity in the US/EU, many retailers are asking: how can we mitigate the risk of our home market?

Performance Pulse 📈

The latest benchmarking data from full-funnel marketing measurement provider Fospha reveals that Meta and Performance Max still dominate as the highest-spend channels for fashion brands, holding an average of 35% and 30% of budget respectively. This is a testament to the channels’ ability to support both brand-building and conversion activities at scale, both key components for sustained growth. 

Pinterest, making up an average of 1% of fashion brands’ budgets, delivered the highest ROAS across all channels in Q3. Higher revenue efficiency is not rare for smaller channels – but Pinterest’s ability to outperform other lower-spend platforms likely reflects its unique suitability for fashion marketing. Widely used as a hub for discovering and curating style inspiration, fashion advertising can easily be made to feel native to the platform experience. With Pinterest ad spend up 51% year-over-year across all industries, it seems more brands than ever are eager to tap into the platform’s growth potential and unique advantages.

Abandoned cart emails are crucial for eCommerce success, as they target potential buyers who nearly completed purchases. To boost conversion rates, use timely, personalized emails with compelling subject lines and strong CTAs. Offering incentives and optimizing through A/B testing can further enhance effectiveness, recapturing lost sales efficiently.

Instagram's Adam Mosseri clarifies that the platform does not reduce the reach of posts tagged as sponsored content. This myth is debunked to encourage creators to comply with laws without fear. The perceived reach penalty is likely due to user engagement, not Instagram's algorithmic actions.

ClickZ is a Contentive publication in the DTC Ecommerce division