IN CONVERSATION WITH LAURENT CLAQUIN [PRESIDENT OF KERING AMERICAS]

Laurent Claquin, President of Kering Americas leads the strategy, innovation and conscious vision of the luxury Group. Immersed in the current accelerated digital transformation and conscious action socially and evironmentally, we discuss the Group´s approach and initiatives. Laurent delves into their Sustainable Development Objectives within the 2030 Agenda, Biodeversity Strategy and the brands adaptation, prioritizing care, transparency and an honest engagement, considering the new mentality and requirements of the consumer and new generations. 

What crucial factors inmersed you into initiating Kering’s Corporate Social Responsibility programme? 

For us here at Kering, we place sustainability at the core of what we do. We challenge and change the old systems, particularly in the fashion industry, that do not benefit our society and our planet. I believe that we can be part of the solution and move from the take, make, waste paradigm to a re-use, restore, regenerate business approach not only for ourselves, but for our future generations. All of our decisions now and in the next ten years will have far-reaching consequences if we refuse to change. As a luxury player, I think we have a leading, crucial role to play in corporate social responsibility. Because we set the trends in fashion, we have the responsibility to change our business models and engage the other industries with us.

Referencing the SDG Agenda 2030, what actions and values does Kering focus on, promoting a CONSCIOUS LUXURY?

Kering’s approach to sustainability and promoting a “conscious luxury” is remarkable in the sense that François-Henri Pinault, our Chairman & CEO, has been deeply involved in for years. François-Henri Pinault believes that sustainability is a necessity, placing it at the core of the Group’s strategy in 2007. We do not adopt sustainable practices to sell the next handbag or shoe; we do it because it is ethically and morally right.

To turn this belief system into action, we embed sustainability in our entire conscious supply chain: from the raw materials we source to the manufacturing of our products, all the way until they reach our clients. To help us, we launched a new sustainability strategy three years ago. We set ourselves social and environmental targets to drive change inside and outside of Kering by 2025. These targets are not only about reducing our own impact, but they are focused on creating positive outcomes for people and society. One thing that was critical for Kering in developing this strategy – and this applies to all companies – was to have an intimate understanding of our supply chains. We wanted to understand how and where we are impacting nature.

As a solution, we created a tool that shows our impacts: the Environmental Profit and Loss (EP&L) account. EP&L measures and monetizes our footprint in our own operations and across our entire supply chain, including where we source our raw materials. It also highlights the most important areas we need to focus on and push for change. We decided to open source the entire methodology of this tool so any company could build its own EP&L. For sustainability to become the “norm”, collaboration for greater collective influence and adoption is essential. So, harnessing a collaborative spirit and also open-sourcing innovation, like we do at Kering, is one of the many routes that can drive true change.

How is Kering encouraging its brands to meet the sustainable standards, adapting and setting new limits in terms of their creative expression while crafting tomorrow’s Luxury in a sustainable and responsible way?

We have a strict set of sustainability standards that we expect all of our brands to follow. We share Group guidelines with our brands about sustainability aspects that need to be taken into consideration in terms of the environmental impact of fashion shows. It’s important to note, however, that each of our Houses tackles sustainability in their own way. 

How do you perceive the luxury industry is adapting to the accelerated digital transformation?

The fashion industry is always evolving, and it is beneficial for brands to lean on technology and online platforms as it allows them to be one step ahead. In terms of sustainability, the adoption of innovative technology is essential. We can monitor our impact and strategize how to effectively improve our business practices, whether it’s by cutting down logistic costs, reducing our carbon footprint, minimizing lead times in the supply chain, or improving client experiences through augmented reality, articifial intelligence, or digital design.

Innovation is also crucial if we want to bring new solutions into our business model and transform it deeply. This means creating technological break-throughs and advances to address the challenges in our industry. It is also important to invest in start-ups that bring new ideas and technologies to provide alternatives to traditional materials, energy and water saving innovations to help improve performance by our suppliers, and solutions for the circular economy to help regenerate our resources. 

What is your vision of Kering´s contribution with its Foundations and initiatives, providing resosurces for the brands of the group to engage an connect emotionally with the consumer?

It is no longer enough for companies to vocalize support alone – they need to show it with action. Across many industries, the demand for accountability, diversity, and inclusion is more present than ever. At Kering, we believe diversity – whether in terms of gender, culture, ethnicity, sexual orientation, identity or disability – is of unlimited value and a source of collective intelligence. That is why we believe that a dynamic, diverse, multicultural workforce is at the heart of success. While our current programs and initiatives are wonderful, we still have work to do. We approach new opportunities with open minds, never dismiss an opportunity to learn, and encourage our industry to work with us towards measurable change. 

Kering´s admirable action and future vision will continue influencing the industry, promoting the new luxury values which we hope inspire the brands within the sector even further, developing conscious proposals. Thank you Laurent for sharing your perspective with Luxury Business Online, elevating the understanding of digitalization, meaningful measures and providing real value to the consumer.