Lost in all the analysis of the High Performance numbers of LVMH is the fact that people, skilled and collaborative human beings, make brands successful, not the other way around. The Arnault family has been raised on a set of luxury rules that in our empirical research we call “The 7 Rules of Emotionally Intelligent Luxury” Combined, the rules inspire a powerful cocktail of strong positive emotions that the Arnaults call “Desire.” That’s accurate, but The Luxury Institute, LLC’s research with HNW and UHNW SuperClients shows that the underlying root emotion is the critical Input: HIGH TRUST in and across LVMH brands and its people. HIGH TRUST starts at the human level, among and between Arnault family members, its Board members, and extends throughout the trusted and trusting senior management, all the way to associates and partners. Then the customers. The financials are Outcomes. When you are witnessing consistently High Performance, know that High Performance behaviors are driven by the critical Input: HIGH TRUST. It doesn’t sound as sexy as Desire, but it creates Deep Desire. The lack of High Performance of most luxury brands is driven at its core by LOW TRUST from managers, associates and consumers, especially in a challenging environment. Reach out. We have the HIGH TRUST solutions. #lvmh #lvmhtalents #trustworthy #trust #luxurybrands
Agree! Trust is the foundation of high performance, both within the organization and with consumers. It's the intangible factor that truly drives success.
Vice President | Head of Retail | Global Luxury Retail Innovator | Crafting Elevated Consumer Experiences | Consultant & Advisor to Luxury Brands | Managing Director
9moThank you for sharing your insights Milton Pedraza ! It sheds light on the pivotal role that trust plays in the success of luxury brands and highlights the importance of building and maintaining trust at all levels of the organization. By fostering a culture of high trust, brands can inspire strong positive emotions, drive high performance, and ultimately achieve desired outcomes.