In a headline shift in the luxury industry, Chanel Louis Vuitton has officially overtaken to become the second most valuable luxury brand in the world, according to the rankings of Brand Finance. This remarkable jump sees the iconic French fashion house that this year will install the highest growth of each luxetiette – a stunning increase of 45% in brand value. It is a milestone that not only reflects the sustainable allure of Chanel, but also signals a reform of the luxury brand hierarchy at the top.
While Porsche retains his position at number one, Chanel’s rise to second place is especially remarkably given the long -term dominance of Louis Vuitton. Once considered the undisputed leader in fashion -luxe, Vuitton is now lagging behind while Chanel strengthens his global influence. The performance of the brand is the result of more than the consumer’s demand – it is the outcome of strategic movements about fashion, beauty and high jewelry that continue to resonate with the current luxury consumer.
Chanel’s meteorical rise in 2025
Luxury and Premium 50 2025
Porsche remains the world’s most valuable luxury and premium brand. Chanel surpasses Louis Vuitton to claim second place, while Guerlain returns to the top 10 for the first time since 2021 with a brand value of $ 7.7 billion.
📊 Brandfinance pic.twitter.com/6z1Y4H48E1
– Mikki (@bbbczzz27) May 23, 2025
Chanel recorded the most important increase in the brand value of the year, rose to $ 37.9 billion – 45% from 2024. Louis Vuitton, on the other hand, saw a modest 2.1% rise to $ 32.9 billion. This jump underlines the steadfast investments of Chanel in creativity, shops of shops and global presence, even in the midst of economic uncertainty and a cooling luxury market. From striking boutique launches to daring marketing campaigns, Chanel continues to confirm his identity and both timeless and resolutely modern.
The French powerhouse also merged into the brand strength index, climbing from the fifth to fourth with an impressive score of 89.6 out of 100. In France, Chanel achieved a perfect score for consciousness, consideration and customer satisfaction, which confirmed his role as a national treasure with deep-rooted loyalty. Worldwide, the brand performed strongly in important markets such as the US and Asia, which strengthened intercultural resonance and universal attraction.
Strategic expansion and creative reinvention
An important engine of Chanel’s performance this year was the strategic push in emerging markets and a new life creative vision. Led by CEO Leena Nair and CFO Philippe BlondiauxThe brand is spreading to fast -growing regions such as India, Mexico and Canada. In India, Chanel opened his first beauty store in Mumbai, with a further momentum fed by a newly announced partnership with the local store power Nykaa.
Creative shifts also played a crucial role. The appointment of Matthieu Blazy– Formerly van Bottega Veneta – As the new artistic director of Chanel indicated a new chapter for the house. Blazy is expected to bring a nuanced view that combines Chanel’s legendary elegance with progressive design. Although his first collection will debut this fall, the brand continued to deliver six shows a year during the transition, so that both pace and presence are maintained. Ready-to-Wear emerged as one of the fastest growing categories of Chanel in 2024, proof of persistent appetite for his fashion offering.
The power of the Chanel brand in 2025
#Chanel reported a turnover decrease of 4.3% and a profit dip of 30%, which marks its 1st decrease since 2020. CEO Leena Nair notes that it is part of a natural cycle after rapid growth. While Matthieu Blazy enters, #Darveys remains committed to #luxury With resilience and authenticity in the core. pic.twitter.com/eukzcljfd2
– Darveys (@darveyscom) May 26, 2025
Despite a dip of 4.3% in annual turnover of up to $ 18.7 billion and a sharp fall of 30% in the business profit, Chanel remains a powerhouse in the luxury landscape. This financial headwind – powered by broader macro -economic challenges, including inflation, geopolitical tensions and a global delay in luxurious editions – had little to deter the momentum of the brand. Chanel continued to invest courageously, allocation of $ 1.8 billion in capital expenditures and opening 53 new stores, with a special emphasis on expanding his independent beauty and odor boutiques.
Marketing remained a cornerstone of Chanel’s strategy. The house invested $ 2.4 billion in advertising, product launches and compelling customer experiences, including the breathtaking Métiers d’Art Runway show on the West Lake in China. High-impact campaigns with brand ambassadors such as Margot Robbie For No. 5 and the relaunching of the Chance -Geurlijn, in strengthening the worldwide visibility of Chanel, the brand remained firmly embedded in the heads of consumers worldwide.
Challenges and the way for us
Like many luxury houses, Chanel has been set on fire in recent years for competitive price increases, especially for his coveted leather goods. In response, the brand has adjusted its strategy and the price is approaching after the global inflation trends. At the same time, Chanel strengthens his dedication to craftsmanship and design exit, reveals new handbag models such as the Chanel 25. Supported by high -profile ambassadors such as Dua Lipa And Jennie From Blackpink, these launches are aimed at restoring interest in both loyal collectors and younger luxury consumers.
Nevertheless, Lederwaren performed, among other things, than other divisions such as beauty and fine jewelry in 2024, indicating the need for a course correction. Chanel gambles on the accessory expertise of Matthieu Blazy and a more compelling approach to product stories to breathe new life into this category and restore his lead.
A new luxury landscape
Sometimes I just have to squeeze myself !!!!!! @Chanel Dreams 🤍🤍🤍 shot by David Sims pic.twitter.com/r0hls7ziuc
– Dua Lipa (@dualipa) March 25, 2025
Chanel’s rise to the second position behind Porsche marks more than just a brand mile pole – it indicates a wider shift in the luxury landscape. This year the combined value of the top 50 luxury and premium brands reached $ 317 billion, with fashion labels that are good for a commander of 70% of that total. French powerhouses such as Chanel and Louis Vuitton remain in the foreground, which contributes almost half of the overall value and strengthen the lasting influence of France on the global luxury.
As the consumers’ preferences lift to experience above ownership and as the world markets become more complex, Chanel has a rare ability to evolve without losing his identity. By combining heritage and modernity, exclusivity and accessibility, the brand not only keeps pace – it is setting.
In a space where prestige, perception and performance rule, Chanel stands out as the determining success story of 2025. With a revitalized creative direction, expansion of the global footprint and steadfast dedication to excellence, the climb can well mark the start of a daring new chapter in luxury.
Selections of the editor
Featured image: Szymon Brzóska/The Style Stalker
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