Bernard Arnault has been dubbed the Olympics’ godfather. Here’s how he built LVMH’s fortune

LVMH, the behemoth of the luxury industry, is taking center stage at the Paris Olympics. The conglomerate, home to iconic brands like Louis Vuitton, Dior, and Bulgari, is the driving force behind the Games' lavish image.

Bernard Arnault, the mastermind behind LVMH, has solidified his position as the world's second-richest person through his strategic business acumen. The company's involvement in the Olympics is a testament to his ability to transform a luxury brand into a global phenomenon.

"We tried to find a way to do it, to do something else than just signing a check and getting billboards on the side of the streets," Antoine Arnault, LVMH's head of environment and image, told The Associated Press.

LVMH's influence is evident in every aspect of the Games. Sephora sponsored the torch relay, Berluti designed the opening ceremony uniforms, and Chaumet crafted the Olympic medals. The iconic Louis Vuitton headquarters will be a focal point during the opening ceremony parade on the Seine River.

"The prize is a high-level association to sports as a universal language that all consumers understand," says Luca Solca, a luxury goods analyst. LVMH's strategy aligns with the growing trend of luxury brands entering the sports arena, aiming to associate their products with prestige and athleticism.

Despite the company's immense success, Arnault maintains a low public profile. His focus on building a global luxury empire has earned him the title of "godfather of the Olympics" from political image consultant Frank Tapiro.

However, the Olympics also present potential challenges. France's political climate and the possibility of protests could impact the event's image. Additionally, the influx of tourists during the Games might deter luxury shoppers.

Nevertheless, LVMH's association with the Paris Olympics is a strategic move to further solidify its position as a global luxury leader. The company's ability to blend heritage with innovation, exemplified by brands like Louis Vuitton, has been instrumental in its success. As the world watches the Paris Olympics, LVMH will undoubtedly leave an enduring mark.