On paper, the brand elevation playbook is relatively straightforward: reduce excessive discounting and overexposure in outlet and wholesale channels while increasing desirability and exclusivity — all of which will allow you to raise prices and improve margins. But while many luxury brands have pursued elevation, there are fewer recent success stories.
Ralph Lauren seems to be an outlier. “They’ve had multiple years of average unit retail [AUR] growth,” says analyst Dana Telsey, CEO and chief research officer of Telsey Advisory Group, referring to the average selling price of each product — a key signifier of successful brand elevation. Last month, Ralph Lauren reported that sales were up 8 per cent for the 2025 fiscal year to $7.1 billion, and gross margin was at 68.8 per cent, up from 66.6 per cent the year prior. Analysts attribute the success — in a tough market — to its elevation strategy.
