Louis Vuitton owner LVMH turns to e-commerce with Lyst investment
The move comes at a time when luxury brands are trying to expand their online presence and attract younger shoppers
Louis Vuitton owner LVMH has invested in online fashion search business Lyst, as the world’s biggest luxury brands look to expand their presence online and capture younger shoppers.
London-based Lyst did not disclose how much it had raised in its latest financing round which was led by LVMH and included other investors.
The total investment raised was between £50 million and £100 million pounds (US$67 to US$134 million), a source familiar with the matter said.
LVMH could not be reached for immediate comment.
Long wary that e-commerce would not sit well with their exclusive image, luxury brands are now piling into the market, chasing young consumers comfortable with buying expensive items online, and especially web-savvy buyers in China.
LVMH last year launched 24 Sevres, its own multibrand shopping site, while Cartier owner Richemont is taking full control of rival platform Yoox Net-a-Porter.
Peers in this segment also include Farfetch, tipped for a US stock market listing this year, and Matchesfashion.com, now majority owned by private equity firm Apax.
Lyst operates as a search engine connecting shoppers to items they are seeking on multibrand sites or fashion label’s own e-commerce pages, taking commissions when purchases go through.