Bvlgari CEO Jean-Christophe Babin informs LUXUO that the new frontier of luxury is women.

In an exclusive interview, Bvlgari CEO Jean-Christophe Babin informs LUXUO contributor Prof. Giorgio Nadali that financially independent women are purchasing jewels for themselves irrespective of occasion, thereby defining the future frontier of luxury.

Jean-Christophe Babin has served as the CEO of Bvlgari for several years. The Italian brand established in the Eternal City epitomizes magnificence and style. Under Babin's leadership, Bvlgari has audaciously ventured into Swiss high horology, achieving several world records and GPHG awards, while also expanding its portfolio to encompass luxury travel.

Editor's Note: In January of this year, LVMH Moët Hennessy Louis Vuitton, the proprietor of Bvlgari, reported a revenue of €53.7 billion for 2019, reflecting a 15% increase. Organic revenue increase of 10% was significantly driven by Europe and the United States, attributed to robust performance throughout the year, despite challenges in the Hong Kong market. The LVMH report from January 2020 emphasized a remarkable year for Bvlgari.

Women First, Luxury's Next Frontier: LUXUO Interviews Bvlgari CEO Jean-Christophe Babin

Exquisite jewelry and the emblematic collections The Serpenti, B.Zero 1, and Diva’s Dream collections were enhanced with numerous new goods, while the Fiorever line, introduced at the end of 2018, amalgamated floral motifs and diamonds, considerably adding to Bvlgari’s remarkable growth. Prof. Giorgio Nadali, a contributor to LUXUO, conducted an exclusive conversation with Babin regarding Bvlgari's strategic orientation, the rapid increase in women's purchasing power, and Bvlgari's ongoing expansion of market share in significant markets such as China and the United States.

What constitutes your perception of luxury?

Luxury is mostly an emotion: a blend of desire, delight, exclusivity, and timelessness. A complex cocktail, which is precisely why it might be deemed valuable. Distinctive in its creation through a modern and recognizable design, which increasingly draws influence from the city of Rome, crafted by the skilled artisans behind the Bvlgari product. Skilled and magnanimous individuals adept in providing meticulous attention to detail.

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What modifications have you implemented in your leadership at Bulgari?

We have undoubtedly enhanced the brand's connection with the city of Rome, both in terms of artistic inspiration and in the communication of the brand's distinctive experience, from the jewelry to the hotel. We have increasingly prioritized Beauty and Quality, investing significantly in exceptional craftsmanship, from the goldsmith workshops of Valenza and Rome to the leather goods of Florence. We have established a distinctive institution in Italy, the “Bvlgari Academy” of Valenza, located within our production facility, which annually trains over 100 new goldsmiths, thereby fostering a profession that must endure through time, in an environment that embraces future technologies while honoring the past and tradition.

What motivated your desire for the largest Bulgari boutique in Tokyo, located within the Bulgari Ginza Tower?

Tokyo, alongside a select number of global capitals including New York, Milan, Hong Kong, Paris, and Los Angeles, significantly influences the realms of luxury, design, art, and fashion, bolstered by a substantial local clientele and considerable visitor influx. In Tokyo, like in other prominent locations, we pursue the quintessential embodiment of Bvlgari's grandeur and Roman heritage. In 2017, we restored the flagship shop on 5th Avenue in New York, followed by the renovation of the Via Montenapoleone store in Milan in 2018. We inaugurated on the Champs-Élysées in Paris, and in 2019, Place Vendôme will follow suit.

Identify the characteristics of your ideal consumer.

All clients are exceptional. Bvlgari's motto is "Cliens Rex," meaning "Client is King." The Bvlgari clientele is highly discerning and, as is frequently observed in the luxury sector in the contemporary digital era, exceptionally knowledgeable regarding their specific desires. The optimal client profile for both myself and the brand is one characterized by happiness, delight, and pride in wearing Bvlgari. Probable to express his sentiments with his community. A client who values the distinctiveness of the goldsmith's craft, magnanimous and fervent. Who imparts the allure of donning a product that, adhering to the standards of superior craftsmanship, consistently reflects the brand's essence in a modern manner.

Modern women are progressively achieving financial independence, purchasing jewelry for themselves irrespective of a boyfriend or specific occasions like anniversaries or promotions.

What do you perceive on the horizon of global luxury?

The essence of our luxury idea is in the jewel crafted from precious metals and unique gemstones. It has persisted for over 10,000 years and has been commemorated across all cultures and epochs to accompany life's most exhilarating moments and aspirations. Nearly a visceral and ubiquitous atavism in Homo sapiens. Currently, the same metals and stones are increasingly scarce and coveted, resulting in a continual rise in the demand for jewelry, propelled by the empowerment of women. Modern women are becoming progressively financially autonomous, purchasing jewelry for themselves irrespective of a partner or specific occasions like anniversaries or promotions. This particular luxury, ours, is the one type that has consistently proved its great value throughout the millennia. It seamlessly integrates the sentiment of adornment with a heritage aspect that, particularly in high jewelry items, is becoming progressively significant.

What are the aggregated figures for Bulgari?

They are consolidated inside the Watches and Jewellery business of LVMH, our shareholder. Analysts frequently assess that we account for significantly more than half of this division, exerting a stronger influence on profitability. LVMH frequently identifies Bvlgari as a main brand within its portfolio. The brand augmented its market share, demonstrating significant growth in the jewellery sector, which it aims to lead. (Editor’s Note: Although LVMH does not disclose performance metrics for individual brands, we can deduce that Bvlgari, being identified as the top performer, significantly contributes to the Watches and Jewellery division, which achieved organic revenue growth of 3% and a 5% increase in profit from recurring operations, within a division revenue context of 4,405 million euros.)

What is your market share in Italy and internationally?

We base our views more on qualitative information than on quantitative data, together with the analysis of our competitors' financial reports. Consequently, Italy continues to be the nation where our market share is the most substantial, despite the significant increase in competition in recent years, as seen by Via Condotti and the plethora of luxury brands it accommodates. Outside of Italy, we are the jeweler that had the most significant growth in 2018, capturing market share from the United States to China. The luxury market continues to be significantly fragmented, presenting substantial prospects for additional expansion.