Kering Reveals the Future of Luxury: The End of an Era and the Birth of a New Industry

The global luxury industry is entering a period of profound transformation that extends far beyond fashion trends. Consumers are changing, major markets are redefining their priorities, and technology is reshaping the relationship between luxury houses and their clients. Against this backdrop, Kering is presenting a vision of the future that brings together craftsmanship, creativity, innovation and entirely new luxury experiences. Yet behind this transformation lies a much deeper question: what will a brand need to offer to remain genuinely exclusive in 2030?

For decades, the international luxury industry’s expansion followed a relatively consistent formula: geographical growth, boutique openings, brand recognition, aspirational positioning and pricing strategies designed to reinforce exclusivity. Europe’s leading luxury houses built global empires around this combination. Paris, Milan and other historic luxury capitals exported a vision of prestige rooted in heritage, exceptional craftsmanship, design excellence and the ability to transform products into symbols of identity, achievement and belonging.

Today, however, that formula is beginning to reveal its limitations. Affluent consumers have more ways than ever to express their individuality. Younger generations are questioning traditional status symbols. Digital platforms have made previously inaccessible products extraordinarily visible, while competition for the attention, loyalty and spending power of wealthy consumers has intensified. The response can no longer consist simply of raising prices, increasing advertising expenditure or multiplying celebrity collaborations. Luxury must once again demonstrate why it deserves its place in people’s lives.

This is precisely the challenge at the heart of Kering’s emerging vision.

Shanghai Becomes the Showcase for Kering’s New Global Luxury Strategy

From November 5 to 10, 2026, Kering participated in the ninth China International Import Expo (CIIE) in Shanghai, presenting an initiative that went far beyond the conventional exhibition of collections and products. Under the concept “True Luxury, Next Luxury,” the French group brought together its leading houses to illustrate how it envisions the evolution of an industry that must preserve its foundations while embracing new technological, cultural and commercial possibilities.

The initiative forms part of ReconKering, the strategic transformation programme unveiled on April 16, 2026, in Florence by Chief Executive Officer Luca de Meo. Its ambition is to restore the desirability of Kering’s brands, strengthen operational execution and rebuild a sustainable trajectory of long-term growth.

The strategy distinguishes between two complementary dimensions. True Luxury is grounded in creativity, craftsmanship, cultural relevance and product excellence. Next Luxury explores the possibilities created by emerging technologies, changing customer expectations, new markets, additional product categories and evolving forms of engagement. The distinction is essential: Kering is not proposing to abandon the historical foundations of its maisons, but to use them as the basis for developing new sources of value.

The Shanghai pavilion brought together Gucci, Saint Laurent, Bottega Veneta, Balenciaga, Alexander McQueen, Brioni, Boucheron, Pomellato, Qeelin, Ginori 1735 and Kering Eyewear. Its immersive architecture incorporated works by Chinese artists Wang Dongling and Ren Tianjin, integrating calligraphy, sculpture and Eastern cultural references into the exhibition experience.

Their inclusion represented more than an aesthetic choice. It acknowledged an increasingly important reality: international luxury can no longer rely exclusively on exporting European cultural codes to the rest of the world. It must engage with the cultures that are actively shaping its future.

China is therefore evolving from a market primarily associated with luxury consumption into an increasingly influential source of creativity, innovation and cultural direction.

The Future of Luxury Cannot Be Built on Price Alone

One of the most pressing debates facing the luxury industry concerns the relationship between price, exclusivity and perceived value. Over recent years, numerous luxury houses have increased prices to protect margins, offset rising costs and reinforce their premium positioning. Yet there is a strategic limit to this approach. When prices rise faster than consumers’ perception of quality, creativity or exclusivity, the legitimacy of the proposition itself may come into question.

Luxury cannot depend solely on being expensive. Its historical strength comes from a far more complex combination of exceptional craftsmanship, outstanding materials, distinctive design, personalisation, memorable customer experiences and membership of a carefully cultivated cultural universe.

This is one of the most revealing aspects of ReconKering. The strategy emphasises clearer product and pricing architectures, stronger quality standards, an optimised retail network and more disciplined execution. Its objective is to rebuild the desirability of individual houses rather than merely expand their commercial presence.

For major luxury groups, this represents a shift in priorities. A brand may generate billions in revenue, operate an extensive international boutique network and enjoy extraordinary global recognition while gradually losing its ability to inspire fascination. Visibility can be purchased through advertising. Desirability, by contrast, must be earned through emotional, cultural and aesthetic connections that competitors cannot easily reproduce.

By 2030, luxury may be defined less by the visibility of a logo and more by the ability to demonstrate exceptional value.

Each Luxury House Must Build Its Own Future

One of the most interesting features of Kering’s strategy is its rejection of a single formula for every brand. The group recognises that the future of a historic fashion house will not necessarily resemble that of a high-jewellery specialist, a tailoring maison or a label built around creative experimentation.

For Gucci, the priority is to restore desirability and strengthen a distinctive creative identity. The house must reinforce its leather goods offering, improve product architecture and reconnect its heritage with contemporary culture. Its challenge extends beyond increasing sales: it must once again make its collections objects of genuine desire.

Bottega Veneta represents a different interpretation of luxury, one rooted in discretion, durability, cultural depth and exceptional craftsmanship. Its development strategy includes broadening its ready-to-wear offering without compromising the identity that has made its Intrecciato leatherwork internationally recognisable. In this vision, discretion is not the absence of communication but an expression of sophistication.

Saint Laurent is focused on reinforcing its distinctive aesthetic codes, expanding everyday wardrobe categories, developing menswear and strengthening its leather goods proposition. Geographical expansion, particularly across Asia, also forms part of its strategic direction.

Balenciaga, meanwhile, occupies a particularly interesting position at the intersection of haute couture heritage and experimentation. Its ability to challenge conventions offers opportunities to engage emerging generations of luxury consumers, while Kering seeks to reinforce its womenswear and leather goods businesses.

The broader lesson is that differentiation is returning to the centre of luxury strategy. The strongest houses will not necessarily be those that follow the same trends most effectively, but those that express their own identities with the greatest clarity and conviction.

China Is No Longer Simply the World’s Great Buyer of European Luxury

For much of the twenty-first century, China represented one of the most powerful growth opportunities for European luxury houses. The expansion of its affluent middle class, the accumulation of private wealth and the internationalisation of Chinese consumers fundamentally reshaped the global market.

That relationship is now evolving. Chinese consumers have developed increasingly sophisticated brand knowledge, greater awareness of product differences and access to an extraordinarily broad international offering. At the same time, China is strengthening its own creative, technological and industrial capabilities.

This changes the balance of influence. European luxury houses are no longer competing exclusively against one another for Chinese customers. They must also demonstrate their relevance within an increasingly sophisticated domestic cultural and commercial ecosystem.

Kering’s participation in the CIIE reflects an understanding of this transition. Rather than simply exhibiting European products, the group incorporated Chinese artists, supported emerging designers and developed initiatives connecting creative communities in China, France and Italy.

Among these initiatives is Kering CRAFT, a residency programme dedicated to craftsmanship, fashion and technology, developed in collaboration with Shanghai Fashion Week. Ten participants completed a training residency in European cities, with their final projects scheduled for presentation during Shanghai Fashion Week in 2027.

The strategic message is clear: the future of luxury will not be created exclusively in Europe.

The result could be a far more geographically diverse industry in which European houses retain their historical prestige while sharing creative influence with emerging generations of designers, entrepreneurs and consumers from Asia and other regions.

Artificial Intelligence Could Transform the Luxury Customer Experience

Although Kering’s Shanghai presentation did not constitute the announcement of a specific artificial intelligence platform, the Next Luxury concept explicitly encompasses emerging technologies. This opens an extraordinary range of possibilities for luxury houses.

Artificial intelligence has the potential to transform how brands understand, serve and build relationships with their customers. Consider a client who has maintained a relationship with a luxury house for twenty years. With appropriate consent and safeguards, the brand could develop a detailed understanding of their material preferences, purchasing history, personalisation requirements, gifting habits and preferred services.

Advanced AI systems could transform this knowledge into exceptionally precise customer care. A personal adviser would no longer need to begin every interaction from scratch. Instead, they could anticipate preferences, recommend products consistent with the client’s history and coordinate exclusive experiences across international boutiques.

Yet this raises a fundamental question. Artificial intelligence should not replace the human relationships that define luxury. It should enhance the ability of professionals to deliver exceptional service.

Technology could operate almost invisibly, while customers experience something deeply personal and distinctly human.

From LUXONOMY’s perspective, the most compelling opportunities include hyper-personalisation, commercial intelligence, inventory optimisation, product traceability, adviser training and the development of increasingly sophisticated customer experiences.

These opportunities also carry risks. The use of personal information requires transparency, security and regulatory compliance. Excessive automation may undermine the human dimension of luxury, while algorithmic errors could damage trust that a maison has spent generations building.

The luxury industry of the future will therefore need to achieve a delicate balance: deploying extraordinarily advanced technologies without compromising the authenticity that underpins its value.

Craftsmanship Will Become Even More Valuable in an Automated World

There is an apparent paradox at the heart of the industry’s transformation. The more artificial intelligence, automated manufacturing and digital technologies advance, the greater the perceived value of certain creations made through exceptional traditional craftsmanship may become.

The explanation is straightforward. In a world where producing images, designs and manufactured objects is becoming increasingly accessible, knowledge accumulated over generations can become an even more powerful source of differentiation.

Craftsmanship is not simply a manufacturing technique. It represents time, experience, sensitivity, inherited expertise and a direct relationship between the creator and the object being created.

This dimension is particularly relevant to houses such as Brioni, Bottega Veneta, Boucheron and Ginori 1735. Kering reinforces this interpretation by placing artisanal excellence among the foundations of True Luxury and supporting programmes that connect established expertise with emerging generations of creators.

The opportunity lies in using technology to preserve and extend artisans’ capabilities rather than eliminate their involvement. Digital archives, material simulation, assisted design and traceability systems can help protect knowledge that might otherwise disappear.

The paradox of Next Luxury is that technological progress may increase the value of something machines cannot fully reproduce: human experience.

Jewellery and New Product Categories Take on Greater Strategic Importance

The reorganisation of Kering’s jewellery activities is another important element of its transformation. The group is developing a structure bringing together Boucheron, Pomellato, DoDo and Qeelin, with the objective of strengthening industrial, commercial and creative capabilities.

The progressive integration of Raselli Franco, a European jewellery manufacturer, forms part of this strategy. Greater control over production processes, traceability and manufacturing expertise can support the development of the group’s different jewellery houses while preserving their individual identities.

In Shanghai, Qeelin introduced Qeelin GOLD and its first collection, BAJING, reinterpreting pure gold jewellery through a contemporary aesthetic. Kering Eyewear also presented new developments, including a limited-edition LINDBERG creation associated with the 2027 Year of the Goat and a Maui Jim collection designed for sporting activities. Ginori 1735 showcased a proposition inspired by the traditional blue tones of Chinese porcelain.

These initiatives illustrate a broader diversification strategy. The future of luxury will not necessarily be confined to the categories that dominated the industry’s growth over previous decades. Jewellery, design objects, technologically enhanced accessories and products associated with emerging lifestyles may expand the universe of luxury consumption.

Diversification nevertheless carries a risk. When a brand enters too many categories, its identity can become diluted. The challenge is to expand without losing coherence.

Longevity and Wellness: One of Kering’s Most Revealing Strategic Directions

Among the less widely discussed elements of ReconKering is a development that deserves particular attention: the exploration of business opportunities associated with longevity and wellness.

Kering has incorporated this direction into Kering Next, an initiative intended to explore new frontiers for luxury. Its strategic outlook also includes developing Ginori 1735 as a cultural design house, exploring the potential of beauty through its strategic partnership with L’Oréal and identifying long-term opportunities in longevity and wellness.

This deserves a much broader interpretation.

The luxury industry has traditionally built much of its appeal around material possessions: fashion, watches, jewellery, automobiles, yachts and exceptional properties. Yet wealthy consumers may also place extraordinary value on things that cannot be acquired without limits: time, health, vitality and quality of life.

The development of services related to wellness, prevention, physical recovery, restorative sleep and longevity could extend the commercial territory of major luxury brands.

This does not mean that Kering has announced its own longevity clinic network or proprietary medical programme. Its official strategy refers to exploring long-term opportunities. Nevertheless, the fact that a group of this scale has explicitly included longevity within its business outlook deserves close attention.

We may be witnessing the early stages of a fundamental evolution in luxury’s value proposition: from owning extraordinary objects to accessing extraordinary conditions of life.

The distinction is profound. A handbag can communicate status. A personalised wellness experience may become part of a client’s daily life for years. The former is primarily a transaction; the latter has the potential to generate an ongoing commercial relationship.

For international luxury groups, this creates possibilities for business models built around services, experiences, memberships and long-term engagement. For entrepreneurs and investors, it raises a question worth examining: could longevity become one of the luxury industry’s major growth categories over the next decade?

Sustainability: From Corporate Promises to Industrial Decisions

Sustainability remains part of Kering’s strategic direction, but expectations are becoming increasingly demanding. Publishing environmental commitments or incorporating responsible messaging into advertising campaigns is no longer sufficient. Credibility depends on verifiable decisions concerning materials, production, resource consumption, traceability, durability and waste management.

During the Shanghai exhibition, Kering used modular and prefabricated elements in its pavilion and reused components from the previous edition. The group also maintained its participation in sustainable innovation initiatives and discussions surrounding responsible consumption. For the sixth consecutive year, Kering chaired the CIIE’s special committee on sustainable fashion and lifestyle.

For luxury, sustainability has a particular dimension. Durability, repairability and the transmission of objects between generations have long formed part of the industry’s historical appeal. A product designed to be preserved for decades offers a different proposition from consumption models based on frequent replacement.

Durability alone, however, does not guarantee a lower environmental impact. Materials, manufacturing processes, transportation and the entire product lifecycle must also be considered.

The sustainability of tomorrow’s luxury industry will have to be demonstrated through measurable outcomes rather than corporate narratives alone.

ReconKering: The Future Must Also Deliver Profitability

Behind the cultural, technological and creative ambitions lies an unavoidable business reality: Kering needs its transformation to generate financial results.

The group reported revenue of approximately €14.7 billion in 2025 and employed around 44,000 people, according to corporate information published in November 2026.

ReconKering seeks to strengthen financial discipline, optimise the retail network, improve operational management and restore the desirability of its houses. Its strategic horizon extends to 2030.

This is not simply a repositioning campaign. It is an organisational transformation designed to improve the group’s competitiveness.

Its success will need to be assessed through concrete indicators: comparable sales growth, operating margins, boutique productivity, Gucci’s recovery, the performance of emerging categories and the ability to create value without compromising exclusivity.

Success is not guaranteed.

Major luxury houses must constantly balance creativity and profitability. An excessively financial approach can weaken brand identity, while creative ambition without commercial discipline can undermine economic sustainability.

The challenge is to develop both dimensions simultaneously.

Seven Transformations That Could Define Luxury in 2030

Based on Kering’s announced strategy and the wider forces reshaping the industry, LUXONOMY identifies seven potential directions for the evolution of global luxury.

From price to demonstrable value. Exclusivity will increasingly depend on exceptional quality, creativity and the ability to justify premium positioning. Consumers may become less willing to accept price increases that are not accompanied by a compelling improvement in perceived value.

From personalised service to augmented intelligence. Artificial intelligence will make it possible to anticipate customer needs and improve service precision, provided that human relationships, discretion and trust remain central to the experience.

From European cultural dominance to multicultural creation. China and other international markets will play an increasingly influential role in shaping global creative codes. The most successful luxury houses will combine their historical identities with a deeper understanding of diverse cultural expectations.

From products to ongoing relationships. Experiences, services and new categories could extend commercial engagement beyond individual purchases, creating deeper and more enduring connections between luxury houses and their clients.

From material status to wellness and longevity. Time, vitality and quality of life may become increasingly important priorities among high-net-worth consumers, opening opportunities for luxury businesses beyond traditional product categories.

From exclusive production to verifiable authenticity. Traceability, provenance and exceptional craftsmanship will reinforce confidence in products and help distinguish genuine excellence from superficial expressions of prestige.

From sustainability promises to demonstrable responsibility. Verifiable environmental and social performance will carry increasing weight, requiring brands to substantiate their commitments through credible practices and transparent reporting.

These seven transformations represent LUXONOMY’s forward-looking analysis rather than official forecasts issued by Kering.

The Great Question: Will Europe Remain the Centre of Global Luxury?

European luxury possesses an extraordinary competitive advantage: centuries of history, internationally recognised houses, deeply established artisanal expertise and an exceptional ability to construct powerful cultural identities.

Yet this advantage does not automatically guarantee future leadership.

Technology is lowering certain barriers to entry. Consumers are discovering new brands through digital platforms. Creative centres are becoming more geographically diverse, and emerging markets are developing their own interpretations of prestige.

Europe can retain a central position if it successfully combines its heritage with innovation, operational excellence and a sophisticated understanding of changing expectations.

There is, however, a fundamental difference between preserving tradition and remaining static. Houses that interpret their history as a rigid set of unchangeable rules may struggle to connect with future generations. Those that use their heritage as inspiration for new experiences may strengthen their relevance.

Kering is attempting to position itself within this second scenario.

Its approach is based on a powerful business principle: tradition and innovation do not have to compete. Craftsmanship can coexist with artificial intelligence. Exclusivity can embrace emerging technologies. European maisons can engage with Asian cultures without abandoning their identities.

The essential requirement is that every innovation should strengthen the value of the brand rather than weaken it.

Conclusion: The Luxury of the Future Will Have to Earn Its Price, Prestige and Exclusivity

Kering’s strategy represents more than a roadmap for restoring growth. It reflects the tensions facing an industry that must redefine its relationship with consumers, technology, culture and value creation.

The luxury industry of the coming decades may become more technologically advanced while also becoming more human; more international while remaining deeply connected to cultural identities; and more diversified while facing greater pressure to demonstrate extraordinary authenticity.

Not every brand will successfully navigate this transition.

Some will continue to rely on commercial formulas that worked for decades. Others will develop new categories, experiences and relationships capable of extending their relevance far beyond traditional luxury consumption.

The real challenge is not simply to predict which products luxury houses will sell in 2030. It is to understand what consumers in 2030 will consider valuable, exceptional and irreplaceable.

In that environment, brands capable of integrating knowledge, creativity, craftsmanship, technology and human experience will possess a competitive advantage that is exceptionally difficult to replicate.

Because the future of luxury will not necessarily belong to the brands that charge the highest prices, but to those that best demonstrate why they deserve to be chosen.

LUXONOMY™ — Global Luxury Market Intelligence & Strategic Advisory

Sources: Kering’s official corporate communications on ReconKering (April 16, 2026) and its participation in the China International Import Expo (November 2026), together with industry coverage of the group’s strategic transformation.