Calvin Klein is reportedly not a luxury brand, but it is still a popular brand that creates aspirational products and collaborates with high-profile celebrities.
Calvin Klein announced that it was closing its luxury collections business and will focus more on the existing categories, such as denim and underwear. Although the company’s products are not considered luxury items, many still regard Calvin Klein as a luxury brand.
The decision to shut down the luxury collections reportedly came in January 2019, after the departure of the company’s creative director, Raf Simons. Simmons cut his contract short after Emanuel Chirico, the Chief Executive Officer (CEO) of Calvin Klein’s parent company, PVH Corp, reportedly expressed his disappointed in the lack of return on investments in Calvin Klein’s luxury 205W39NYC halo business.
It is important to understand what makes a brand a luxury brand. Luxury brands are reportedly centred around exclusivity and the idea that the brand is not attainable to everyone. Reports suggest that luxury brands are less about the products that consumers want to own, and more about who they want to be. Luxury brands reportedly help customers achieve their self-actualisation aspirations.
Furthermore, several people argue that Calvin Klein is more of a lifestyle brand than a luxury one. The argument is that Calvin Klein is about the experience of wearing the brand, rather than how high-end and sophisticated the actual clothing is. Therefore, many people argue that Calvin Klein represents a lower-end brand.
Moreover, the brand’s large-scale and ready-to-wear collections have made the brand popular among fashion enthusiasts, but it is reportedly not considered an upper echelon brand that exists in the same scale as Louis Vuitton, Cartier or Gucci.
Lastly, despite not being considered a luxury brand, Calvin Klein reportedly creates aspirational products. The company reportedly has a “see-now, buy-now” model, which stages large-scale fashion shows and features collaborations with high-profile celebrities such as Gigi Hadid and Zendaya.