Another Episode in the Dispute between LVMH & eBay {Fragrance/Luxury News}

Louis-Vuitton-B.jpg 2009 Holidays window display at Louis Vuitton

Number one luxury group LVMH has felt particularly targeted by the gray market and vulnerable to counterfeiters operating on the #1 online auction site eBay. In a step-up of their demands (see series of posts), they have been wanting for eBay to stop allowing the "distribution" of their goods even when authentic.

For this reason, it has become for example virtually impossible to find vintage perfumes by Guerlain or Givenchy or even empty bottles of those on except when someone goes undercover selling them without using the brand name.

LVMH is keen on publicizing a zero-tolerance policy and continues to sue eBay until it seems they can get to the last private seller standing, a position that eBay finds practically unreasonable and objects to on the grounds that LVMH are trying to crush the laws of market competition.....

eBay is criticizing a French court's ruling that orders the company to pay a $2.55 million fine to European conglomerate LVMH.

The auction giant and its European unit were fined 1.7 million euros on Monday by the Commercial Court of Paris, which ruled that the company violated a 2008 court order by not preventing the sale of legitimate LVMH perfumes and cosmetics. LVMH's brands include Christian Dior, Guerlain, and Givenchy perfumes.

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2 Comments | Leave a comment

  1. How about all the other discount perfume sellers that have their own webshops? I know they don't get the Guerlain, Kenzo, Givenchy and Dior perfumes officially from LVMH; or in other words: they aren't autorised dealers either. Is that ok?
    Since a year now, because of LVMH (and I think L'Oréal too), Ebay Belgium stopped listing cosmetic or perfume items from any company, being from belgian or international sellers. So if you live in Belgium you can't buy perfume on Ebay. Vintage or antique bottles are listed though.
    This might happen in other countries too in the future.

    Now I understand luxury companies want to present their products in a certain environment, for image purpose. But to be true I see so many stores that precent those products so badly that it is hard to think of cosmetics and perfumes as true luxury items anymore. For example in Belgium the biggest perfume retailer is a chain called Ici Paris XL. Those stores, even those that have been redesigned, basicly look like US' Perfumania discounters. La Prairie is sold next to L'Oreal Paris... Even In France places like Sephora or Marrionaud often don't look like very luxe to me. It's only at departement stores that cosmetics companies have a total controle over their image, because the counter is theirs (they rent the space). So, in the end I think cosmetics companies are hypocrite to say it is an image problem, when it is rather than the money they are losing. Which is rather more understandble.


    • Yes, I think the image argument is not a very strong point when you look at Sephoras & co and the department stores where you can get quickly overwhelmed by a mass effect, especially in the tourist-y ones.

      For me clearly, luxury, or beauty rather for me, needs to be recreated in imagination and at a distance from most points of sale. I personally constantly criticize the aesthetics of most retail spaces although on a practical plane I do appreciate the self-service aspect.

      Chant Wagner

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