Image: Supplied
As the Middle East’s luxury retail landscape continues to evolve, the Etoile Group is making significant strides, with 60 projects in the pipeline, including the exciting introduction of new boutiques and brands in Bahrain. In this interview, Ingie Chaloub, the visionary founder and MD of Etoile Group delves into how the group is navigating the dynamic changes in luxury retail, the role of digital transformation in enhancing customer experiences, and the importance of personalisation in this ever-competitive landscape.
How has the Etoile Group been delivering on its plans for the year?
Etoile Group remains focused on growth and expansion into key markets in the Middle East underpinned by an ongoing commitment to digitalisation and sustainable practices. We will continue to open new boutiques, invest in e-commerce platforms, and collaborate extensively with both local and global designers.
The landscape of luxury fashion and retail in the Middle East is set to embrace dynamic and transformative trends, which mirror the current shift that exists globally towards sustainability as well as experiential retail and digital transformation. The group continues to embrace the ever-evolving retail landscape and lead the way with the same pioneering spirit we showed 40 years ago by bringing the first Chanel boutique to the region.
With 60 projects in the pipeline, this growth will be driven by the opening of new boutiques, and expanding some of our brands for the first time into a new market, Bahrain.
Sustainability is now a major focus for the global fashion industry. How is Etoile Group contributing to the imperative to do more for people and the planet?
Sustainability lies at the core of our business. Globally, the fashion industry has pivoted towards a more sustainable approach and that’s translated to the Middle East retail environment. Consumers are increasingly aware of the environmental and ethical implications of their fashion choices, especially the younger Gen Z generation who are particularly eco-conscious and expected to make up a third of the luxury market through 2030, alongside Gen Alpha.
What we’re seeing now and what will be a big focus for next year is working towards more responsible and conscious ways of doing business. For example, Chanel has set science-based targets to shift to 100 per cent renewable electricity in its operations by 2025, reduce its carbon footprint by 50 per cent by 2030, and decrease emissions from its value chain by 40 per cent by the same year.
At Etoile, we will also continue to prioritise procurement from partners and suppliers that are compliant with the rules of the Fashion Pact, a global initiative that was launched in 2019 and is aimed at reducing the fashion industry’s environmental impact.
A sustainable future is also about educating the next generation and we will also be nurturing emerging designers with a new partnership with Dubai’s Fashion and Design Institute (FAD) starting this year.
How is digital transformation shaping the luxury retail experience in the Middle East?
Digital transformation continues to reshape luxury retail both in the region and worldwide with investment in both digital and physical environments allowing customers to make purchases and experience products in ways that suit their lifestyles.
To ensure relevancy with the digital-savvy consumer in the region, Etoile Group is expanding its omnichannel presence and will continue to innovate the e-commerce experience for Etoile La Boutique to increase interaction and engagement with its clients.
How is experiential retail shaping the luxury retail experience?
The Middle East’s luxury market, known for its affinity with exclusivity and luxury experiences, is witnessing a rise in experiential retail. With 49 per cent of shoppers agreeing that stores should be a place where they offer more than just products for sale, this approach allows luxury brands to offer unique and memorable shopping experiences, adding value beyond the product itself.
For example, in November last year, Tod’s introduced ‘Tod’s Passport’, exclusive to their Custom Di Bag range worldwide.
Each custom Tod’s My Di bag now comes with a unique NFC chip embedded under the ‘Tod’s Logo’ linked to its own Blockchain identity. Activated by smartphone, this innovative solution adds an extra layer of authenticity and transparency with access to product certificates, origin, craftsmanship and journey from creation to purchase.
What role does personalisation play in the evolving luxury retail industry and how does it fit into Etoile Group’s strategy?
Personalisation is revolutionising customer interactions in the luxury fashion and retail sector. Data is becoming increasingly paramount, with brands adopting data-driven strategies to cater to individual preferences, enhancing the overall luxury experience.
In luxury fashion, it’s also about crafting unique or exclusive pieces. Tod’s has introduced a “customise your own” Di Bag and Gomino shoes where the customer can choose the colours and details of their pieces. Many of our designers also pay special homage to important times of the year, such as Ramadan, with exclusive one-off pieces and collections created only for the region.
Read: Five ways ‘digital’ consumers are reshaping retail in 2024
Also read: GCC luxury sector surges in 2023, UAE leads the rest
