LVMH's Succession Dilemma After Virgil Abloh's Death

Virgil Abloh's final Louis Vuitton show was in Miami in January 2022. Since his death on November 28, 2021, at age 41, LVMH has not announced a successor. The delay, initially seen as respect, now suggests an impasse as men's fashion week approaches. Potential internal candidates include Jonathan Anderson (Loewe) and Nigo (Kenzo). External possibilities are Ronnie Fieg (Kith), Chitose Abe (Sacai), Grace Wales Bonner, Jerry Lorenzo (Fear of God), Samuel Ross (A Cold Wall), and Charaf Tajer (Casablanca). A non-fashion creative is also considered, given Abloh's disruptive legacy. Nicolas Ghesquière, Louis Vuitton's women's artistic director since 2013, renewed in 2018, is not seen as a direct replacement. LVMH's 2021 revenue reached €64.2 billion, with fashion and leather goods up 57% in nine months. Louis Vuitton accounts for 58% of sales and 80% of profits, up 42% from 2019 and 47% from 2020. Asia and the US drove growth (40% and 30% in Q4 2021 vs Q4 2019), while Europe grew only 1%. The decision will signal LVMH's strategic direction.