Christian Dior CEO Delphine Arnault has signalled a cautious pricing strategy as the French luxury house undergoes a creative overhaul aimed at reversing declining sales, reported the Financial Times.

Arnault, a member of the founding family behind LVMH – Dior's parent conglomerate – said the brand had left prices on its Lady Dior bag unchanged since 2023, barring adjustments in two markets where currencies had weakened.

Jonathan Anderson's debut collections, which included more accessible price points, went on sale in Dior boutiques in January as part of a wider repositioning of the brand.

Anderson was brought in last year to revive a label that had seen sales decline alongside a downturn affecting the luxury industry more broadly.

Dior is LVMH's second-largest brand by sales.

According to the report, Arnault attributed some of the sector's difficulties to aggressive price hikes in recent years, which she said had alienated middle-income shoppers and given wealthier consumers pause.

Anderson, speaking alongside her, said some luxury brands and their customers had lost sight of the value of human craftsmanship in the high-fashion supply chain.

He also admitted he had underestimated the level of media attention that would accompany his move from Loewe – also LVMH-owned – where he had been creative director while simultaneously heading his own label, even though Arnault had cautioned him in advance.

Dior, along with other luxury houses, has faced scrutiny over labour conditions at Italian manufacturing suppliers.

A Milanese prosecutor's inquiry into the company was dropped last year “without establishing any infringement” following Dior's agreement to undertake remedial measures.

Arnault described the house as holding personal and historical weight within LVMH, as it was the first fashion label acquired by her father, Bernard Arnault, in 1985.

Separately, LVMH last week agreed to sell fashion label Marc Jacobs to brand management company WHP Global and apparel company G-III in a deal worth $850m (€730.82m).

The two buyers will each invest $425m for an equal stake.

Founded in 1984 by designer Marc Jacobs and US businessman Robert Duffy, the brand operates across eyewear, footwear, fragrance, handbags and small leather goods through retail and wholesale channels globally.