Karl Lagerfeld: Fashion has entered an era of “new modesty”

Nick | 24 Jan 2009, 09:34

Chanel boss Karl Lagerfeld has declared the death of bling and the rise of modesty.

His comments echo those of Philippe Starck reported by c&binet recently.

Lagerfeld told the IHT:

“This whole crisis is like a big spring house-cleaning - both moral and physical. There is no creative evolution if you don’t have dramatic moments like this. Bling is over. Red carpetry covered with rhine-stones is out. I call it ‘the new modesty’.“

The French fashion house recently announced it would cut 200 jobs, which constitutes 10% of its workforce, but as Forbes reports, luxury is not disappearing, but changing:

“In addition to seeking fewer, better items, consumers will demand for socially and ecologically produced goods. While shoppers seem to recognize “green washing”, they do expect luxury companies to adopt ethical practices.“

This trend could help to explain why relatively understated UK fashion brand Burberry shrugged off recession to reveal a 30% sales increase in the last quarter of 2008, although even this was not enough to deter a major restructuring and the loss of up to 540 jobs.

Forbes adds:

“Ron Kurtz, founder of Alpharetta, Ga.-based market-research firm the American Affluence Research Center, says this might not be the case for long. As the oil that has made many in the Middle East so wealthy loses its value, those who he calls the “new rich” may begin to cut back, including those in Saudi Arabia, Brazil and China. New initiatives—such as Saks Fifth Avenue’s Jan. 12 announcement that it would open a store in Jeddah, Saudi Arabia, its second in the country—might be postponed due to a decline in overall consumer confidence.“

And as this report by Emirates Business 24/7 illustrates, the global downturn has already impacted demand for luxury in the Middle East.