LVMH & Rihanna Put Fenty Fashion on Pause To Focus on Her Billion Dollar Business
Rihanna caused a stir with news last week that her LVMH owned Fenty brand would be closing its doors, just two years following the launch of Rihanna’s Fenty fashion line. Challenges with production amid the coronavirus pandemic and economic crisis in Europe, posed serious difficulties for the new brands operations and ability to create eight ready-to-wear collections a year as well as travel to visit the French based Maison’s Atelier. LVMH exclusively confirmed this news to WWD in a statement saying: “Rihanna and LVMH have jointly made the decision to put on hold the RTW activity, based in Europe, pending better conditions.”
“Meanwhile, the singers hugely successful lingerie line Savage X Fenty has just been backed with $115 million in new funding with estimates the brand is worth $1 billion in value. ”
Meanwhile, the singers hugely successful lingerie line Savage X Fenty has just been backed with $115 million in new funding with estimates the brand is worth $1 billion in value. The news of her fashion production line being put on hold, coincided with the completion of the latest funding round for the singers lingerie line Savage X Fenty launched in 2018. In a joint statement given to Women’s Wear Daily (WWD), LVMH and Rihanna said: “Following the completion of the fundraising round where L Catterton took a stake in Savage X Fenty, LVMH and Rihanna reaffirm…their ambition to concentrate on the growth and the long-term development of the Fenty ecosystem focusing on cosmetics, skincare, and lingerie.” An area where the brand has seen more than 200% leap in revenue growth. Last year, Savage X Fenty saw revenue growth of more than 200% and “increased its active VIP member base by more than 150%.
“In two short years, Savage X Fenty has achieved remarkable success by disrupting the intimates category,” said Jon Owsley, co-managing partner of L Catterton’s Growth Fund. It has been reported that "Savage x Fenty is in a position to be the global lingerie market leader by 2025, the same year that women’s activewear is expected to reach a $216.9 billion value."
“As we continue to grow the brand at a remarkable pace, it is imperative that we move forward with partners who not only have a deep understanding of our business and customer base, but share our ambitious vision for Savage X Fenty and have the operational know-how to work with us to achieve it,” said Natalie Guzman and Christiane Pendarvis, co-presidents of Savage X Fenty.
Rihanna’s brand has proven that diversity and inclusion in sizing, access, and marketing can lead to an even greater market share for brands. The 2017 launch of Fenty Beauty included an unprecedented 40 shades of foundation, while her lingerie brand has an extended size offering and has recently expanded to include men’s basics. Her prioritisation of inclusivity had made her one of the most inclusive brands on the market which is a key attribute of her the singers growing success.