PARIS - Today LVMH launched a new series spotlighting their corporate culture’s “diverse essence and inclusive by choice.”

The world leader in luxury is communicating that their business is more than just about the prestigious origins and terroirs of its luxury champagnes and crafted high fashion collections. 

It’s Everyone’s Business focuses not on the organisational stats of D&I, but rather, on first-person accounts. They look to spotlight how the Group supports the professional and sometimes personal growth of its employees. 

LVMH says, “Through the prism of diversity, inclusion and equity, each story in the series invites viewers to share a very personal experience, including the expertise and engagement with the world people have acquired through working at LVMH.”

The luxury goods conglomerate currently boasts more than 190 nationalities and people from 4 generations in over 80 countries. 

Their latest episode on It’s Everyone’s Business introduces us to LVMH Group Operations Director Mohamed Marfouk. Here we are invited to glimpse into Marfouk’s experience with diversity, his upbringing in Morocco and his life since moving to France when he was 18 years old. 

What are LVMH’s D&I targets for 2025?

50% of women in LVMH's Group key positions and pay equity
by 2025

2% employment of people with disabilities
by 2025

30% of Black, Indigenous, and people of colour in key positions
in LVMH North America

Why Is Diversity and Inclusion in the Workplace Important?

According to Matt Bush of Great Places to Work, “diverse and inclusive workplaces earn deeper trust and more commitment from their employees.” 

The association poses a few questions that can help businesses determine how well they are doing, at a basic level, with D&I as an organisation.  

1. Do you have diversity in your recruiting, in each of your departments, and your leadership? 
2. Do you have a diverse workplace where 50% of your employees are women but 0% of your women are managers? 
3. Do you have a good representation of employees of colour overall, but all of them are in the same department?

Why is getting diversity right important in marketing? 

These questions above can help organisations search out any “tokenism” not only in talent hiring and how their teams are arranged, but how they communicate diversity to their consumers in marketing and advertising. 

Discussing an aspect of diversity, ethnicity, Kantar Quantitative (QT) says that “73% of consumers from Minority Ethnic groups and 63% of White consumers agree that brands should represent people from all communities equally in their advertising.” 

From messaging to models casting, and even product innovation. If there’s even a whiff of routine diversity in a brand’s messaging, how ugly that is. 

Discussing ethnicity in advertising WPP released a report posing the question, “Does ethnicity matter to consumers?” Their research found that “What emerges is a complex picture—ethnicity does matter, in a big way, but so do other things. Being seen in all their complexity beyond superficial markers is the most important thing of all. When done badly, it creates exclusion and inequality.”

Commenting on when it’s done well in advertising WPP notes, “It creates a powerful sense of belonging. Brands have a responsibility in understanding, reflecting and conveying that complexity, not just because it’s important to society, but because it also brings business success.”

WPP’s report said, “Not feeling valued, catered to, or trusting of what brands are doing is a big deal, both for consumers and the brands themselves.” 

They found that “Data and modelling show that younger consumers from Minority Ethnic groups…are already conscious of the differences in experience, and this will predispose them to move to brands that disrupt the status quo and deliver the more equal and tailored experiences they are seeking.”  

So, here’s the commercial opportunity. Brands can increase trust and commitment internally. But, they can also adopt a more inclusive, wider range of products and services to cater for specific needs in-store and online. And this can only be a good commercially sound decision.

Five ways for luxury brands can better connect with consumers within diverse communities

Brands must strike the right balance between representation and tokenism by avoiding lazy stereotypes. Of course, this all starts internally. Taking an ‘inside out’ view will count towards driving positive brand sentiment. 

Inclusive Marketing and Representation: 

Using marketing campaigns that feature diverse models and voices, ensuring representation of various ethnicities, cultures, and backgrounds helps consumers from different communities see themselves reflected in the brand. But, this needs to reflect the whole fabric of an organisation, not just a ‘tick the box’ campaign. 

‍Collaboration with Diverse Designers and Influencers: 

Partnering with designers, artists, and influencers from diverse backgrounds can introduce the brand to new audiences and provide fresh perspectives in design and branding in a genuine way.

‍Cultural Sensitivity and Engagement: 

Engaging with different cultural groups in a respectful and authentic manner, understanding their unique preferences and values. This can include special collections that honuor cultural heritage or participation in community events and causes.

‍Community Investment and Partnerships: 

Luxury brands can invest in and partner with community initiatives, supporting local arts, education, or entrepreneurship programs. This shows a commitment to the growth and well-being of diverse communities, fostering goodwill and stronger connections.

‍Product Accessibility and Adaptation: 

Adapting product lines or pricing strategies to be more accessible to diverse communities, without compromising on brand identity and quality. This could involve creating more inclusive size ranges, offering entry-level luxury products, or developing products that cater to specific cultural needs or preferences.

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LVMH’s It’s Everyone’s Business series communicates organisational transparency to attract potential talent and also send out the right message to the consumers. 

It’s a great initiative. What will be interesting is how and if this internal ‘corporate culture spotlight’ influences brand leaders across all their Maisons. Whether the initiative will influence how they brief their agencies going forward to match how they are representing themselves internally, externally. 

From model casting to messaging and product innovation, LVMH have the opportunity to send a loud message to other guardians of luxury.