Brand Finance "Luxury Brand Value"
Chanel Surpasses Louis Vuitton to Claim No. 1 in Fashion Sector
Chanel has overtaken Louis Vuitton to claim the top spot in global brand value within the fashion sector.
According to the "2025 Global Luxury Brand Value 50" report released on December 30 (local time) by the UK-based brand valuation consultancy Brand Finance, Chanel's brand value surged by 45% year-on-year to $37.9 billion (approximately 53 trillion KRW). Chanel ranked second overall and first in the fashion sector, while Louis Vuitton, which had long held the top position in fashion, fell to third overall and second in fashion with a brand value of $32.9 billion (about 47 trillion KRW). Hermes took fourth place overall in brand value.
Citizens are waiting for the luxury store to open in front of a major department store's luxury hall in Seoul. Photo by Kang Jin-hyung
Experts attribute this to the "victory of the ultra-high-end strategy." Despite multiple price hikes following the COVID-19 pandemic, Chanel's popularity has not waned, with customers still lining up for store openings. Brand Finance analyzed, "Chanel is now perceived as a brand that sells not just fashion, but heritage," and described it as "a prime example of breaking through consumers' psychological price resistance."
In contrast, Gucci, which once enjoyed fervent support from Millennials & Gen Z for its trendy designs, saw its brand value drop by 24% year-on-year to $11.4 billion. Its ranking also fell from fifth to ninth place. This was largely due to the economic slowdown in China, a major luxury market, and decreased purchasing power among younger consumers.
Among watch and beauty brands, Rolex and Guerlain performed strongly. Rolex's brand value jumped by 36%, climbing to fifth place, while Guerlain, a beauty brand under the LVMH Group, increased by 23% and entered the top 10 for the first time since 2021. Rolex, with most products priced in the tens of millions of KRW, is increasingly seen as a highly liquid safe asset rather than just a luxury item, driving up demand. Beauty brands like Guerlain are benefiting from the "small luxury" trend, offering consumers the satisfaction of owning luxury goods through relatively modest spending.
In this survey, Germany's Porsche claimed the overall top spot. Porsche's brand value reached $41.1 billion (about 57 trillion KRW), marking its eighth consecutive year at number one. By country, France's dominance stood out, with six of the top 10 brands-Chanel, Louis Vuitton, Hermes, Dior, Cartier, and Guerlain-being French.
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