The show must go on: struggling luxury brands seek catwalk boost in Milan and Paris

Luxury fashion brands are facing challenges as runway shows in Milan and Paris continue, despite a struggling market. The conflict in the Middle East is causing concern among investors, who are worried about the slow growth of the luxury sector. Shares of Gucci owner Kering have dropped significantly since the new CEO took over, and LVMH, the largest luxury group, has seen a 37% decline since the beginning of 2026.

Diego della Valle, chairman of Tod’s, believes the coming months will be a waiting period for the market to stabilize. Luxury brands face pressure to attract customers with new designs, but studies show that middle-class shoppers are spending less on luxury products. This has intensified competition among the wealthiest customers, leading brands to invest more in stores, services, and exclusive experiences, despite declining sales.

Only a minority of luxury brands are growing, while the majority are losing ground. Luxury groups are caught between two options: either invest in innovation and customer experience or revise their pricing and accept lower margins. Prada has recently upgraded its flagship store in Milan to cater to the biggest spenders. Industry experts predict that consumer preferences are shifting towards wellness, health, and longevity, as well as hotels and restaurants, which could be a reason for the lack of an imminent recovery in the sector.

Milan Fashion Week and Paris Fashion Week are set to host the latest collections of major luxury brands, such as Gucci, Dolce & Gabbana, Giorgio Armani, Dior, Louis Vuitton, Chanel, and others.