What: LVMH implements comprehensive AI strategy across its 75 brands, balancing technological innovation with traditional luxury experience.

Why it is important: This development reveals how major luxury groups are using AI to address market challenges while preserving the human element of luxury retail.

LVMH's strategic AI implementation spans its entire operation, built on a central data platform developed with Google Cloud over four years. The company is applying predictive AI, generative AI, and agents across supply chain planning, pricing, product design, marketing, and personalisation to maintain market share amid slowing consumer demand. At Tiffany, AI agents help sales advisers leverage customer interaction history for personalised engagement, emphasising technology's role in enhancing rather than replacing human service. The company's MaIA platform, using models like Google's Gemini and OpenAI's GPT, receives over 2 million monthly requests from 40,000 employees. While focusing on operational efficiency, LVMH maintains that technology should work behind the scenes to preserve the luxury experience, from improving e-commerce search capabilities to supporting creative teams with AI-powered mood boards.

IADS Notes: LVMH's AI strategy represents a comprehensive approach to luxury retail transformation. According to Vogue Business's July 2024 coverage , the company's AI Factory initiative has been developing modular algorithms to support various business needs, from e-commerce recommendations to product forecasting, while maintaining ethical AI practices. Vogue Business's May 2024 analysis revealed how LVMH's partnership with Alibaba enhanced its digital capabilities in China, leveraging advanced AI technologies for personalised shopping experiences and operational efficiencies. WWD's April 2025 report showed how this digital transformation helps LVMH navigate market challenges, with successful product launches and strategic market positioning despite a 2% revenue decline. Inside Retail's March 2025 coverage highlighted how AI-driven personalisation has become crucial for retailers, with 71% of consumers expecting personalised interactions and industry leaders demonstrating 15-30% improvement in customer service efficiency. The company's MaIA platform, receiving over 2 million requests monthly from 40,000 employees, demonstrates how AI can enhance operations while maintaining the essence of luxury experience.

LVMH bets on AI to navigate luxury goods slowdown