When Exclusivity Backfires | Tiffany, Patek, and the Perils of Luxury Bundling
A Bloomberg investigation reveals how Tiffany & Co.’s controversial handling of the limited-edition Patek Philippe “Blue Dial” watch—encouraging clients to spend millions on jewelry in hopes of securing the $52,000 timepiece—backfired. While LVMH positioned Tiffany as a turnaround success, the tactics used raise questions about how far luxury brands can go in using bundling strategies. This approach, also used by Hermès (for Birkins) and Ferrari (for limited models), may boost short-term sales but risks long-term brand equity and customer trust. As exclusivity becomes a transactional game, the luxury sector must rethink how it scales without eroding its foundations.
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