As the luxury industry undergoes rapid change, themes such as sustainability, digital innovation and personalisation are becoming central to brand strategies. In this in-depth interview, Professor Isabella Maggioni, Academic Director of ESCP Business School’s MSc in Luxury Management and the Luxury Marketing specialisation within the Master in Management, offers valuable insights into how the sector is evolving. Drawing on examples from leading maisons, she discusses the rise of circular fashion, the role of AI and blockchain, and how consumer expectations are reshaping the meaning of luxury. The conversation also highlights how these developments are reflected in the academic content and practical experiences offered within the ESCP MSc in Luxury Management.

Sustainability is becoming a key driver in the luxury sector. How are brands redefining the concept of luxury to align with environmental and ethical concerns?

Luxury brands are increasingly shifting from an emphasis on excess to a focus on purpose. The narrative of luxury is being redefined around craftsmanship, longevity, and responsibility. In the MSc in Luxury Management at ESCP, we explore how heritage brands are integrating environmental and social values into their core identity. 

For instance, Chloé, the first luxury maison to achieve B-Corp certification back in 2021, now defines luxury through ethical sourcing and fair labour practices. Similarly, Gucci’s Equilibrium initiative demonstrates how a luxury powerhouse can use its platform for social and ecological impact, from carbon neutrality to diversity and inclusion.

From circular fashion to responsible sourcing, what are the most innovative sustainability strategies currently shaping the industry?  

The luxury sector is at the forefront of adopting innovative sustainability strategies that marry technological innovation with environmental stewardship. Circular fashion is one of the most dynamic approaches being implemented, and within the MSc, we’ve studied how brands are rethinking their product lifecycles, from design to resale. 

For example, Stella McCartney has pioneered circular design by eliminating animal products and introducing bio-fabricated materials, such as Mylo (a leather alternative derived from mushrooms). Another example is LVMH’s Nona Source platform enables the upcycling of deadstock fabrics from its Maisons, extending the lifecycle of premium materials and reducing waste. 

Another impactful initiative is Kering’s Environmental Profit & Loss (EP&L) accounting system, which quantifies environmental impacts in financial terms, encouraging transparency and accountability. On the sourcing front, Cartier and the Richemont Group are implementing rigorous standards to ensure the traceability of raw materials such as gold and diamonds, often through blockchain and supplier certifications.

Digital transformation is revolutionising luxury retail. What are the key innovations reshaping how consumers interact with luxury brands?

Digital transformation in luxury is no longer confined to e-commerce; it now permeates the entire customer journey, seamlessly blending digital and physical touchpoints to create immersive, emotionally resonant experiences. 

A recent example of this evolution is Louis Vuitton’s 2024 collaboration with the video game League of Legends developer Riot Games, where they launched a gamified, immersive pop-up store experience in Tokyo. Visitors could interact with digital avatars, unlock virtual collectibles, and access exclusive capsule collections tied to both the physical and virtual worlds. 

This initiative reflects how luxury brands are embracing experiential retail that speaks to younger, digitally native consumers without compromising on prestige or craftsmanship. Another cutting-edge initiative is Chanel’s Beauty Atelier in Paris, launched in 2023, which combines high-touch physical service with digital personalisation. The space offers clients AI-driven skincare diagnostics and virtual makeup simulations, while maintaining the intimacy and elegance that define the Chanel brand. 

Behind the scenes, brands like Farfetch and Mytheresa continue to push the boundaries with AI-powered personalisation engines, smart logistics, and predictive inventory management. These systems allow them to tailor the assortment and communications to each client, increasing satisfaction and loyalty while improving operational agility.

AI-driven personalisation, blockchain-based authentication, and NFT-powered exclusivity, how are these Web3 applications influencing the future of luxury?

AI-driven personalisation enables brands to create truly bespoke experiences at scale. For instance, Louis Vuitton uses predictive analytics to tailor communications and product recommendations based on individual client profiles, purchase history, and even emotional triggers. This level of personalisation deepens customer loyalty and reinforces the brand’s commitment to excellence. 

Blockchain, on the other hand, is revolutionising product authentication. Initiatives like Aura Blockchain Consortium, launched by LVMH, Prada, and Cartier are designed to guarantee the traceability and provenance of luxury goods, offering customers a transparent and tamper-proof digital certificate. This is especially critical in fighting counterfeiting while reinforcing trust in the brand.  

Luxury consumers increasingly seek bespoke experiences and exclusive products. How are brands leveraging personalisation to create deeper connections with their clientele?

Personalisation in luxury is evolving from mere customisation to the orchestration of meaningful, emotionally resonant experiences. Today’s affluent consumers seek more than status, they want intimacy, relevance, and narrative. This shift is central to the MSc in Luxury Management, where we explore how brands are moving from product-centric to client-centric strategies. 

Brands like Cartier offer highly curated VIP services, including private consultations, personalised gifting, and exclusive previews. Meanwhile, Rimowa allows customers to customise their suitcases with monograms and coloured accessories, offering tangible expressions of individuality. 

How does the MSc in Luxury Management equip students with the skills and insights needed to navigate these evolving industry trends?

The MSc in Luxury Management at ESCP Business School offers a holistic and forward-looking education designed to prepare future leaders for a rapidly transforming luxury landscape. The programme combines strategic thinking, industry immersion, and hands-on learning, ensuring that students are not only aware of current trends but equipped to shape them. We engage in company projects, field visits, and real-life case studies with leading luxury houses, gaining direct exposure to how these firms are adapting to challenges like sustainability, digitalisation, and changing consumer expectations. 

The programme also fosters close interaction with professionals through guest lectures, alumni panels, and business challenges, which build our soft skills, adaptability, and cultural intelligence, qualities essential for success in the global luxury market. Moreover, the multicultural environment and international mobility options further enrich our perspectives and prepare us to navigate complex global contexts.

Ultimately, the MSc equips us not only with technical and analytical skills, but also with the creativity, empathy, and ethical mindset needed to drive innovation while honouring the enduring values of luxury.

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The reflections shared by Professor Maggioni highlight not only the key transformations taking place within the luxury industry, but also how academic institutions are called to respond through specialised, forward-looking education. 

At ESCP Business School, luxury is a strategic focus explored across multiple programmes. These include the MSc in Luxury Management delivered between the Turin and Paris campuses; the Major in Luxury Strategy & Leadership within the Bachelor in Management; the Specialisation in Luxury Marketing of the Master in Management; and the Luxury Specialisation of the MBA in International Management, based in Turin. 

From September 2025, this offering will be further enriched with a new Executive Master in Luxury Transformation & Leadership spanning London, Paris and Dubai, reflecting ESCP’s international approach to preparing students for the future of luxury.