Quality Paired with Exclusivity – Luxury Goods Overview

Anyone who is into fashion and luxury goods has coveted a Dior or Louis Vuitton product at least once in their life. Beyond being beautiful and timeless, both brands have that “it” factor that makes even the most sensible shopper swoon. Inevitably, the high price tags leave us all wondering the same thing at one point or another:

What makes Dior and LV so expensive?

When you speak of luxury in the fashion world, certain things define this concept: quality, durability, exclusivity, of course, a high price which reflects all of these things. 

Many people don’t mind the high purchasing costs of these luxury products as long as it makes them appear elegant and exclusive. Because of this, most brands try to give their products a luxurious feel; whether it be through their fine craftsmanship, the effortless elegance their product portrays, the superior materials they utilize, or a mix of all of these components. 

Combined together, these aspects create an air of prestige for those who have acquired these items, and a source of envy for those who have not. These luxury brands, most times, function as retail groups by producing goods over various segments selectively chosen. Their selections largely depend on, and define, how they want their brand to be recognized. 

One perfect example of a luxury brand that functions in this way is the parent organization Moët Hennessy Louis Vuitton (LVMH). It houses wealthy and famous names like Fendi, Louis Vuitton, Christian Dior, Marc Jacobs, Givenchy, and several others. Richemont is another notable one, as it hosts subsidiaries like Van Cleef & Arpels, Mont Blanc, and Cartier under its umbrella. 

Dior vs. Louis Vuitton – What This Article Covers

While all these brands take pride in their quality, it is not far-fetched to think that every other brand can achieve the same. If you’ve ever wondered what makes Dior and Louis Vuitton stand apart from the crowd (and each other), we’ve done our research so you don’t have to.  

In this article, we compare two of these luxury fashion houses, Dior vs Louis Vuitton. It also aims to reveal how both brands have been faring in the marketplace. This includes their prices, what differentiates them, and their similarities.

• A Brief Overview of The Dior Brand
• A Brief Overview of The Louis Vuitton Brand
• A Detailed Comparison Of Both Brands

A Brief Overview of The Dior Brand

Like most luxury brands, Dior targets customers who can afford to pay high prices under the assurance of high-quality products. The fashion house has been able to build a reputation over time among the elite so it cannot afford to compromise the quality of its products. 

The fashion house Dior is not only particular about producing superior products; it also designs custom goods to meet the specific needs of its exclusive customers. Like many luxury brands, Dior’s customers are a range of old and young people attracted by fashion and accessories. As for their financial status, they are usually from what can be called upper-middle- to upper-income groups in society.

Over the years, the luxury fashion house has gained prestigious recognition. In May 2017, it was ranked 189th out of the 2,000 global brands list created by Forbes magazine. It was also ranked 234 on the Fortune 500 list in 2016. As of mid-2017, it had a market value of about $4.7 billion and was reported to have generated nearly $50 billion in revenue that year. And in 2021, it closed the market year with $7 billion. 

Dior has a total of about 494 outlets globally. As for production, 80% of its production is done in Italy while it also has several production sites in Europe. Some of these locations can be spotted in Germany, Spain, France, and Portugal. The products manufactured in these various locations include shoes, jewelry, caps, jackets, gloves, and denim.

A Brief Overview of The Louis Vuitton Brand

Louis Vuitton is a global luxury fashion house under the parent company Moët Hennessy Louis Vuitton (LVMH). It majors in five main luxury segments: fashion and leather goods, watches and jewelry, wines and spirits, perfumes, and cosmetics.

Louis Vuitton is well known for its high-quality products, identity, heritage, and expertise. The brand’s average customers are usually people from the upper class and high levels of society. They are traditionally fashion enthusiasts who do not mind paying a high price for high-class trending fashion. 

While they have continued to satisfy the wealthy elites, middle-aged women with high and readily disposable income have been their primary targets. Young fashionable people are also taking a good percentage on their target chart. 

Louis Vuitton’s retail network spans thousands of stores across the globe. They have about 15,000 employees for production, retail, and other production processes. The brand’s leather goods collections are produced exclusively in their workshops in the United States, Spain, and France. Their watches are solely manufactured at their timepiece workshops. Other products like footwear, watches, sunglasses and jewelry collections are manufactured in France, Italy, or Switzerland. 

A Detailed Comparison of Both Brands – Dior vs Louis Vuitton

With both brands being under the same luxury group, Moët Hennessy Louis Vuitton (LVMH), it is easy to think that one should expect the same thing from both brands. But that is not necessarily the case. There are disparities, and this is because every luxury brand is expected to have its unique design, representation, and brand loyalists. Owning luxury has been seen to go beyond the feeling of simply being able to afford it. 

Given the fact that even within their target demographic, personal tastes differ,  brands go out to meet these varying needs.

Dior vs Louis Vuitton – Accessibility

The accessibility of a brand is crucial to its growth and future. A brand that is not accessible will eventually go extinct. Over time, Louis Vuitton has been voted to be more accessible than Dior despite being more expensive. Louis Vuitton products are not only top-rated but also readily available. 

On the other hand, Dior is an equally big luxury brand, but it doesn’t have the same exposure as Louis Vuitton. In effect, accessibility is an evident disparity when comparing Dior to Louis Vuitton.

Dior vs Louis Vuitton – Product Authenticity

Every successful manufacturer would want to maintain the integrity of their products and keep fake producers away. They have signature designs and styles that cannot be imitated. This is how they protect their brands.

In Dior’s case, its purses are designed with heat stamps. The purse’s serial number is encrypted alongside the logo on these stamps. The lettering is usually neat and centered. Also, it is either designed in a gold or silver color. Beneath the purse is a written signature location for its production (Made in Spain or Italy). In general terms, the stitches on Dior bags are usually tiny and even. They are often thinly threaded and have the same color as the bags.

LV, on the other hand, has its bags (the pipes and handles) made of a kind of leather called Vachetta. Being extracted from cowhide, this leather is light brown, with a natural tone. After a while of use, the light brown tone darkens. The reason for this color change is its exposure to air. For this reason, an easy way to spot a fake Louis Vuitton bag is to monitor the leather’s color change. 

Another aspect to look out for is the LV logo as it is often detailed. In addition, the designers take special care so that there are no errors while designing and planting them on the products. If there is a blur, discoloration, smudge, or tilt on the logo design, then that product is questionable. Also, the zips of LV bags are never made of plastic and are easy to push and pull.

Dior vs Louis Vuitton – Product Costs

Like all luxury goods, there’s no beating around the bush: Louis Vuitton and Dior are expensive. 

The high cost of their products can be attributed to the type of materials used for their goods and the cost of production. Their sky-high price points can also be explained by the need to run expensive campaigns and hire expensive designers. 

While the product costs vary, Dior has more expensive product categories than Louis Vuitton.

In the female bags section, some popular Dior bags like Lady Dior, Dior 30 Montaigne, Dior Book Tote, and Dior Caro cost around $3,500. In contrast, Louis Vuitton’s female bags like Speedy 25, Speedy 30, Nano Speedy, and the Louis Vuitton Neverfull Bag cost between $800 and S2,500. At the top end of the price range, is one of Dior’s most expensive outfits: the Dior lace dress. It costs a cool $6,100.

When we look at the full catalog of products, however, Louis Vuitton has some extremely pricey items that beat Dior’s highest price points. Examples of these are the Kusama Pumpkin Jewel Bag which costs over $133,000, the Luxury Trunk, which costs $170,000, and the Steiff Louis Vuitton Teddy Bear, coming in at nearly $2.2 Million.

Dior vs Louis Vuitton – Product’s Visual Identity

Until Dior started to diversify into other retail goods, it was primarily known for its signature product at the time: dresses. 

While you can visibly see the branding on a handbag or luggage owned by Louis Vuitton, the same cannot be said for Dior clothes. This can explain why Louis Vuitton is a bit more popular in the luxury world. 

For instance, one could walk into a room with an expensive Dior collection unnoticed. This is because an elegant Dior dress or outfit may not have a visible logo or trademark of the brand. It could also be that the people who actively follow the brand and know its latest trends are not there. The reverse could not be said of Louis Vuitton. Its well-known and clearly visible logo has been an undeniable advantage for the brand. Louis Vuitton always makes sure that its customers get seen and recognized in its products.

Therefore, in comparing Dior to Louis Vuitton, the latter has a more prominent visual identity.

Final Thoughts

With both brands being under one of the largest luxury group conglomerates, they both function well enough and have the characteristics of every luxury group, such as exclusivity and unwavering quality. 

They, however, are not the same. Most importantly, the taste of the various buyers of these products fluctuates. While one product may appeal to another client for cost, durability, or style, it may appeal to the other simply because of color or how fast they can get it when they want it. Their love for variety is also remarkable, as both products have a flair for coming up with new and fresh variations of their products. The above comparisons can help influence your next buy, educate you on the luxury market, and give an insight into how both brands are perceived.