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Could It Be True? Did Louis Vuitton Just Buy Supreme? How This Move Could Actually Harm The Streetwe

The fashion game has been buzzing as of late with rumors of a possible LVMH acquisition of New York based streetwear icon Supreme for $500 million. LVMH is the luxury conglomerate that owns high fashion heavyweights Louis Vuitton, Dior, Fendi, Givenchy and KENZO and an addition of a brand like Supreme could be huge.

A potential move like this could have huge implications for not only the brand’s operations, but the way we as consumers buy the products. Perhaps the main question is distribution, Louis Vuitton has over 3700 stores woldwide so if they did buy Supreme how could this effect distribution? Will LVMH stick with the winning formula of limited release that has made Supreme so popular over the years, or could they simple increase the overall price of the goods similar o there other brands and make them widely available wherever highend fashion is sold?

On the surface some may think wider distribution is a good thing, after all that would most likely mean no more long lines on release dates, and no more early morning hunts on Thursday hoping you are fast enough to click add and checkout on to get that much sought after piece. But in a way these are some of the things that made Supreme what it is today, I mean lets be honest a large part of the brands success is due to the hype that they have managed to garner over the years. There was something special about waiting on line all night, just to be able to cop some of your favorite limited releases and if LVMH fails to see this it could actually harm Supreme's image with the hardcore fan base.

True one could argue that Supreme has left millions on the table over the years with there "keepin it limited" business model, after all if they released more they could certainly sell more. Even if they increased the price history has show that consumers will pay several times the set retail value as is proof by the booming resell market, but the question must be asked is the juice worth the squeeze? Would increased availability cause hardcore day ones to view the brand as a sell out?

Of course this is all merely speculation as nothing has not been officially announced by either side, and even if LVMH did buy Supreme I'm sure a company that brought in a total of €35 billion — over $37 billion in revenue for 2015 has suites smart enough to stick with a winning formula. If it ain't broke don't fix it right? Although longtime Supreme Brand Director Angelo Baque did recently announce his departure from the label, could this be a sign we don't know just yet. One thing is for sure, with many older fashion houses taking notice of recent growth of the streetwear/lifestyle brand industry and breaking there necks to get in on the action, no time is better than the present for such a move. Stay tuned we'll keep you posted as news breaks.


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