Louis Vuitton posted a modest 2 percent growth, taking its brand value to $32.9 billion, although its ranking fell to third place among the world's most valuable brands. Hermes remained in fourth place, supported by its disciplined scarcity approach, craftsmanship-driven positioning and steady demand for leather goods, clothing and accessories.
Chanel emerged as the fastest-growing luxury fashion brand in 2025, with brand value increasing 45 percent to $37.9 billion, ranking second globally, according to a recent report. Apparel brands dominated almost 69.7 percent of the total value. Louis Vuitton fell to third place despite growth, while Dior was named the strongest brand. France remained the world center of luxury, followed by Italy and Germany.
Apparel-focused luxury brands dominated the ranking, accounting for nearly 69.7 percent of total brand value, underscoring fashion's pivotal role in shaping the global luxury landscape.
Dior strengthened its position as one of the most influential fashion houses in the sector, with its brand value increasing 18 percent to $17.3 billion. Beyond value growth, Dior was named the strongest premium and luxury brand globally, achieving a Brand Strength Index score of 93.5 out of 100. Brand Finance highlighted Dior's exceptional reputation scores, including a perfect score in the US, along with strong consideration and recommendation metrics in Europe and North America.
Gucci, despite a 24 percent decline in brand value to $11.4 billion and a drop to ninth place, remained firmly within the global top 10. Brand Finance noted that while the brand faces a period of transition, its scale, heritage and global recognition continue to anchor its long-term relevance in luxury fashion.
Geographically, France remains the epicenter of luxury fashion, accounting for 48.7 percent of the total value of luxury and premium brands, followed by Italy with 18.4 percent and Germany with 13 percent, the report added.
Five of the top 50 brands have earned an estimated AAA+ brand strength rating, the highest rating awarded by Brand Finance.
Fiber2Fashion News Desk (SG)
