This report maps, case by case, how the leading luxury brands and groups are deploying artificial intelligence, and articulates the distinction the sector has not yet formalised: AI as a backstage tool versus AI as a public-facing brand deliverable. Covering fourteen brands, five conglomerate frameworks, and 36 specialist sources, it includes the Gucci/Demna AI campaign controversy as the sector's most consequential governance failure to date.

The global personal luxury goods market closed 2025 at an estimated €358 billion, down approximately 2% from 2024. Behind that number: the industry lost roughly 60 million active consumers since 2022. This report analyses the structural conditions driving that contraction across twelve dimensions. The central conclusion is that this is not a cyclical correction. It is a structural inflection point.