【Seoul, South】Luxury Brands Also Launch Chuseok Promotions in Korea… Three Prestige Brands Under LVMH Group Engage in ‘Gift Marketing’

Ahead of Chuseok, luxury brands under the LVMH (Louis Vuitton Moët Hennessy) group, such as Louis Vuitton, Dior, and Bulgari, have unusually engaged in gift marketing.
Global luxury brands, which typically maintain their presence by emphasizing ‘scarcity’ and ‘luxury’ without special promotions, are now competitively unveiling ‘Chuseok Limited Promotions’ targeting Korean consumers.
According to industry sources on the 16th, the Italian jewelry brand Bulgari recently began a promotion on its official online store offering special packages that include bojagi (traditional Korean wrapping cloth) wrapping and norigae (traditional Korean ornament) decorations.
This limited-time offer is available to customers purchasing jewelry, watches, or handbags (excluding the Save the Children collection) and is provided for orders placed from the 8th of last month until the 10th of next month.
Previously, the French brand Louis Vuitton has also been encouraging consumer purchases with the concept of ‘gifts for family’ in celebration of Chuseok.
It is currently running a promotion on its official online store by presenting recommended products categorized for women, men, and family gifts, and offering a special beauty kit with purchase.
Dior has also opened an online-exclusive exhibition titled ‘Chuseok Women’s Gifts’ and ‘Chuseok Men’s Gifts’, providing ‘moon bojagi’ wrapping services.
An analysis suggests that this movement in the luxury industry is connected to the ‘Me-conomy’ trend, which signifies ‘consumption for oneself’.
As demand for giving gifts to oneself increases during the holiday season, luxury brands are expanding their promotional product range beyond just gift items to include various product lineups.
Some interpret these promotions as a strategy to defend performance amid a slowdown in consumption.
While high-end product groups still show steady demand, a slowdown in sales is being detected for entry-level or relatively lower-priced product groups.
In fact, LVMH’s sales for the first half of this year decreased by 4% compared to the same period last year, and net profit shrank by 22% during the same period.