LVMH - Online Strategy

LINK to the article;

http://www.forbes.com/2000/07/21/feat.html

Arnault's Online Strategy Risks A Fashion Don't
Penelope Patsuris, 07.21.00, 12:00 AM ET

The article arees with the digital IQ reports by saying that LVMH is trying to develop online marketing strategies and has understood the increasing importance of digital marketing. In addition to the report,however, the article states that LVMH does it with great care as the effect on the traditional customer may be negative in the future and the brand's image may be diluted because the internet is for the masses.

So, although there is some concern, there is activeness in the online fields through the developmentselling portals. For example, Sephora.com which combines e-selling and some interaction between customers based on a system of product reviews.

Furthermore LVMH actually plans to invest in eLuxury.com to control sales of luxury items. This should become the largest sales portal of luxury items in the future.

The article supports the report through the fact that LVMH takes digital marketing very seriously and adds to the report by introducing a new way of doing so by controlling sales through the development of(and investment in) a retail portal.