Prada vs Louis Vuitton Case Study – Insight on Business Model & Marketing Strategies

Prada vs Louis Vuitton Case Study - Insight on Business Model & Marketing Strategies


Visiting a fancy restaurant, a day in a spa resort, a brand new gadget, etc., are only a few of the many ways you can treat yourself to a beautiful gift. However, the obvious question arises when it comes to buying luxury items for several hundred dollars. We usually want to know the more authentic one among several available brands. Prada vs. Louis Vuitton is the most famous modern-day luxury item brand pitched against each other. So, we’ll try to find the answer to why these brands are the most popular and how you can understand what’s more suitable for you before purchasing any of these brands.

From the research result, we can conclude that authenticity is one stand-alone quality that is the key to most people’s purchasing decisions. We live in an age of authenticity, and it’s the one language consumers understand the most. From research, Stackla found that 86% of consumers consider authenticity as the more important quality in choosing a luxury brand. Cohn and Wolfe validated this finding in another study, coming up with 91% of respondents saying they would reward a brand’s authenticity. In light of these, read on to understand the history behind Prada and Louis Vuitton’s authenticity, and perhaps, you can find where to pitch your tent afterward.

  • Brand History: Prada vs Louis Vuitton
  • Prada vs Louis Vuitton Business Model
  • Value Propositions: Prada vs Louis Vuitton
  • Prada vs Louis Vuitton: SWOT Analysis

Brand History: Prada vs Louis Vuitton

PradaLouis Vuitton
Founded in 1913 (108 years in existence)Prada was only the business of a man Mario Prada—its founder—that started in 1854. He made trunks, handbags, and travel accessories. By 1919, Mr. Mario Prada’s business became the official supplier of its goods to the Italian Royal House. It was then that people began to associate the brand with aristocracy and the upper-middle-class.In the mid-1970s, the brand experienced a dramatic turn of events when Miuccia Prada, Mario Prada’s granddaughter, took over the business. She designed the brand’s first successful purse, which she called a “classic Prada handbag.” Ever since then, they have introduced several successful goods and items to the Prada collection. To date, Prada continues to open new boutiques in different corners of the world.Founded in 1854 (127 years of existence)From a humble beginning, the Louis Vuitton brand grew to own boutiques almost everywhere in the world. From Asia to Alaska—almost everywhere! It all began when Louis Vuitton Malletier—the brand’s founder- worked as the trunk-maker and parker for the Wife of Napoleon III—Empress Eugenie de Montijo. He opened his first workshop in the center of Paris and sold his handwork to a wealthy clientele. From there, his fame grew, and he began to invent signature patterns—that’s how the iconic canvases appeared. 

In summary, the Prada vs Louis Vuitton brand history tells of fashion houses that are both the pride of their country of origin. Prada tells all about the Italian vibe, and Louis Vuitton speaks of refined French taste. They’ve both made the capital of their host country the capital of fashion and magnets for fashionistas. However, those who prefer a brand with tradition and solid history choose Louis Vuitton’s.

Prada vs Louis Vuitton Business Model

Even though Prada vs Louis Vuitton is well-spelled out, there seem to be some similarities in how they operate. For example, both brands have an unrelenting dedication to creating exceptional products—giving all needed attention to their craftsmanship and product design. Aside from that, every product they make is handmade and has utmost care as one of its primary ingredients. Though they now operate on a large scale, they both maintain the feeling that a small company will have towards making it work admirably. In other words, they keep a healthy business model. Some of the elements of their business model include;

Key Partners

PradaLouis Vuitton
Prada is a brand known to establish partnerships based on principles and shared values. It ensures a balance between social demands and the business objective before putting pen on paper. It manages and anticipates potential problems and improves its reaction to the request of stakeholders even though it has an ever-increasing stakeholder base. With the above give, you will only see the group engage in the consolidation and development of cooperative ties. It does business with the leading players in its—operating territories. Partnerships are a prerequisite for long-term and medium action. Some of the companies it has partnered with include; National Chamber For Italian Fashion, Altagamma, Startupbootcamp, Universities, Research Organizations, etc. Louis Vuitton, LV as it’s popularly called, seems to be the master of collaboration. It formed the LVMH group to collaborate with the most remarkable French companies. In its bid to expand its reach, LV continuously collaborates with other top brands. For example, before the 22nd of January NBA Paris 2020 Game, Louis Vuitton announced that it went into a global partnership with the National Basketball Association (NBA). Other essential collaborations include the one it had with the AccorHotels Arena on the 24th of January 2020, the Milwaukee, and the Charlotte Hornets. That’s a few of the many others.

In summary, we find that Prada vs Louis Vuitton battle a tie in terms of partnerships. Both brands value partnership estimably though they approach the concept differently. Another notable similarity is that both brands dominate their country of origin by taking significant hold of local collaboration. It’ll be difficult, close to impossible, for one brand to find partnership footing in the home country of the other!

Value Propositions: Prada vs Louis Vuitton

PradaLouis Vuitton
From the onset, Bertelli—the Chief Executive Officer of Prada—was obsessed with control. He had power over Prada’s every production stage—from design, manufacturing, distribution to the retail experience. The implication of this desire for control on Prada is an integrated business value system that keeps the quality of Prada’s product as high as possible. The value system touches customers as the brand monitors the customer’s journey using its direct operated stores. This system has, over the years, proven to be the cause of Prada’s growth across the globe. Research reports showed that Prada was more than willing to spend more on production costs to maintain control and quality altogether. The high level of craftsmanship it puts into the making of its product is where Louis Vuitton gets substance for its value. The quality of materials is also significant as the brand only uses quality materials in its production. When you consider the heritage, creativity, craftsmanship, and other things regarding the Louis Vuitton product, all you’ll see is an epitome of excellence in quality. Its products offer beauty, sturdiness, uniqueness, class, and several unspoken exceptional attributes. Louis Vuitton’s products are solid, and they usually come through endurance tests before they get pushed out into the market. They also come through the fire and get made from waterproof materials. Most of LV’s designs have trademark signatures on them to maintain exclusivity. In general, value is not a compromise.

In summary, Prada vs Louis Vuitton in terms of value gives a careful clarity consideration. Both brands hold tight the concept of value so dear that there won’t be a compromise of any kind. The admiration for value goes as far as touching customer relations, making it difficult for customers to decide which brand to ditch for the other. 

Prada vs Louis Vuitton: SWOT Analysis

Every company is unique. Even when they offer the same quality, they do so in different ways. In their mode of operation, we’ll find critical ingredients that distinguish them. A SWOT analysis tells the Strength, Weaknesses, Opportunities, and Threats that face each company. Let’s look at Prada and Louis Vuitton and see if we can see the difference between them through it.


PradaLouis Vuitton
Design, Quality, Heritage; product portfolio controlled distribution and production dynamic capabilities marketing strategy and skills Intra-industrial alliancesA strong brand with global value Consistently sound financial performance Superior craftsmanship with exclusive products Offers customized products


PradaLouis Vuitton
Competitors have more substantial brand recognition and are more aggressive promotionally. Too scattered business modelsFew iconic products High-cost structure with tight revenue The business depends on the economic condition. If the economy is down, the sales turnout automatically and sharply slows down. They have a limited customer base due to the high prices of products.


PradaLouis Vuitton
New strategic partner Room to increase brand value through additional innovation and new value proposition Focus on certain brands products and items Likelihood of gaining a competitive edge over competitorsRoom to capture emerging markets Investing in digital capabilities


PradaLouis Vuitton
Growing debtsCompetitors grow fasterLosing luxury brand valueUnsustainable partnershipsCounterfeits and copyingSlowing economic growth results in slow sales

This SWOT analysis seems to show a more transparent side of Prada vs Louis Vuitton. The weakness column reveals the loophole in each business strategy. Louis Vuitton seems to take the lead in perfecting its business strategy; however, Prada has done an excellent job in masking its business weakness. Louis Vuitton is not without its weakness; each brand has areas they need to improve, leaving clients to overlook some of these problems so long there’s no compromise on things that matter, such as authenticity!


We can go on to compare various aspects of these two exquisite brands. However, this one thing is sure; the Prada vs. Louis Vuitton battle will remain for as long as both brands exist. The highlight lies in that both brands have a different approach to fashion and make their products original and unique. Louis Vuitton depicts the spirit of dignity and nobility, while Prada is for those who don’t mind being daring. It allows its fans to be daring by showing a hint of “ugly chic” aesthetics. Which would you prefer?

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Prada vs Louis Vuitton Case Study – Insight on Business Model & Marketing Strategies Prada vs Louis Vuitton is the most debated fashion brand these days. Find out their different marketing strategies and business models in this article.
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