Before 2016, when LVMH acquired German luggage manufacturer RIMOWA, few would associate the brand founded in 1898 with luxury. After all, the household name from Cologne was distributed in mom-and-pop stores and wasn’t well-known outside of Germany.
That took a turn when it entered the list of “10 coolest new things” after the acquisition, under the leadership of then-CEO Alexandre Arnault. From then on, known for its product design, functionality and craftsmanship, it “made flying look like a luxury again”.
Branding is so often tied to imagery that few attempt to transform their brands inside-out. But a fervent focus on product turned out to be the winning factor in creating a product-centric brand out of RIMOWA. In this way, it carved out its own market: functional luxury luggage.
From product to experience
RIMOWA’s transformation playbook was based on four key pillars: retailisation, traction, innovation and sustainability.
Retailisation was key to elevating the brand. Pivoting from wholesale distribution, RIMOWA turned to selling directly to customers so it could provide them with the full brand experience. In addition, it had a strict no-discount policy and a distribution philosophy based on simplicity: minimalist, efficient stores, coupled with flagship stores in metropolitan cities such as New York, Paris, Tokyo, Seoul, Singapore and Hong Kong. From the shop window to the staff uniform, the brand radiates timelessness.
Then there’s traction. What sets the luggage maker apart from its competition are its product excellence, embodied in the “Germanness” of the brand, and its client care. In fact, reparability and durability are at the heart of its design, and circularity is a large part of its ethos. Instead of being tucked away in a workshop, product servicing that offers instant repair is highly visible in RIMOWA stores. The brand doesn’t shy away from showing beaten-up products. Instead, it portrays them as symbols of a lifetime of memories.
To drive desirability, innovation is indispensable. In July 2022, RIMOWA upped the ante by offering unconditional lifetime warranty. It also rolled out a buy-back programme, creating a secondary market for used and refurbished RIMOWA aluminium luggage, which helped normalise the use of pre-loved products. The brand is able to do because it fully owns its manufacturing facilities and because it had long made repair service available in shops.
Other initiatives towards more sustainable products include limiting air transport to less than 4 percent of freight cost and using more environmentally friendly materials.
Style + functionality = demand
Even though Louis Vuitton rose from similar roots of crafting luggage, being part of LVMH didn’t mean RIMOWA had to follow the same high-fashion path. Instead, the brand built on its global reputation for design, make and client care, and stayed true to its product-centricity. Featuring the aluminium body, polycarbonate material and multi-wheel system, its marketing campaigns carried messages such as “Designed in Germany. Engineered for Life” and “Born in Germany. Engineered for the World.”
As RIMOWA continues to innovate and build a new innovation lab in Cologne, it is keenly aware that it takes more to create a contemporary luxury suitcase market. To strengthen its positioning in the fashion and luxury sphere, the brand partnered with celebrities such as Rosé, Jay Chou and Lewis Hamilton, who are actual users of its luggage. It innovates through artistic collaborations with museums and German design schools to surprise and excite consumers and create demand through style that complements functionality. RIMOWA’s strategic approach to collaboration means that collaborating is never a commercial exercise.
The road ahead
Where does a brand like RIMOWA go from here? This is a vital question for all brands in the luxury industry. New products such as bags, mahjong cases and eyewear are some initial forays and more may follow. Importantly, beyond the landscape, the brand must stay true to its vision built on authority, luxury and being cool.
Specifically, authority comes from the product and must be maintained at all costs to ward off threats from new entrants or copycats. In order to be, and remain, cool, creativity is essential. After all, you can’t just claim that you’re cool: you’re cool because people believe you are. Finally, for luxury brands, control of distribution is key, but it’s not enough. You need to avoid complacency, constantly add new features and keep innovating.
Edited by:
Geraldine Ee-
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