>> he will always look different because you were the first woman, fish from person, for asian, first person of color to lead a global lecture bent --

brand. people don't know exactly what to expect. francine: lena is in charge of one of the most exclusive luxury brands of the world. the french fashion house known for its iconic designs and fragrances made the move to appoint her to the top. previously a human resources veteran, she spent three decades at unilever before switching to the world of fast-moving consumer goods to hot could tour in beauty. it's legendary from its founder, to its fans including marilyn monroe. for lena, it's a chance to make history. >> i want to teach the world to look good while doing it. francine: for this episode i speak to her about her professional and personal journey. how it defines her leadership style and her unique approach at the top of luxury. thank you so much for joining us here on bloomberg. >> delighted to be here. francine: what's it like to be a chanel's chief executive? >> it is the best job in the

world. it's a great place to be in. francine: what kind of difference do you want to make at chanel? is it longevity, is it what it stands for, is it sustainability? >> i want to lead chanel into the future along with my team and lead chanel into the future by protecting what is unique about us. and by evolving as a scaled iconic business and brand. it is always important to understand the context we operate in. context we have externally is very dynamic. macroeconomic challenges, inflation, complete fragmentation, ecosystems, winning hearts and minds of people, it so difficult in today's age. ai, there's not a time you don't

hear about ai. all of this happens externally and internally it's a phase of rapid growth. in the last 10 years we have more than doubled our revenue, we have more than doubled the number of people who work for us. we have more than doubled our distribution presence. we have more than doubled the number of countries we have presence in. that's a lot of growth. my role, along with my leadership team, is to ensure that we make coherent changes, that we make sense of these changes, and they are constantly shaping what's next. francine: as far as i can remember chanel was this beautiful, high-end luxury, everybody wanted the products but it was secretive's, than there has been an opening in the last couple of years through culture events, podcasts, why is that? can a high end luxury company no longer be secretive in 2024? >> never having been in the world of luxury, sophistication

or refinement, i did not know what to expect when i came to chanel. it's a very humble company. people are truly humble. it comes from a sense of we don't say things unless we have really done them. so we would rather do things before we speak about them. some of the shyness has been to do with that. i think the part of the opening up is, as we've grown it larger and i have explained the internal context, we've been through rapid growth, having 70 people work for us. it becomes important to be clear and more open about who we are, what we stand for. it's a hundred-year-old company, it's important to see what we do to have been a beacon of inspiration and to continue to be a beacon of inspiration for the next 100 years. francine: is that because we buy luxury differently so that clients want more of the story than they did 10, 15 years ago? >> i think there is no typical

client or no one reason to engage in luxury. we see all kinds of clients. people who are longtime fans of chanel. people who are dedicated buyers of couture. first-time buyers are 30% of our clients, which is a lot. we see a lot of gen z. 35% of luxury consumers by 2030 will be gen z. it's a hard number to believe but it's the vibrancy, the vitality that's huge. because each of those clients have a different set of reasons for why they engage with us. for gen z they buy because they want to buy less and by better. they want to buy because they see it's a financially wise investment. but everybody buys for a different reason. for me, it's part of continuing to build our brand, our reputation, our company, and telling our story in engaging ways to all sorts of clients. francine: you have to speak differently to the younger generation. >> not really.

our story of craftsmanship, our story of how many hours goes into making this jacket, like 100 hours, all handmade, is still the core of our story, our craftsmanship. it is still how people engage with luxury, the quality of it, the beauty of it. a thing of beauty gives us all joy. that's a big reason how people look at luxury a quality and being part of that. in the story of her dna and what she means for us. his constantly innovating and radical ways. because when she designed a close, it was about the freedom of movement. it was about anticipating the needs of the modern woman. it was about creating trousers, cross body bag so that women could buy bikes and horses. it was about supporting women.

it was about being on this journey of self-discovery with women in that course -- core part of our story doesn't change. it is the story of supporting women to be and become the best versions of themselves, to discover themselves. in that story still engages no matter what age you are. the core of our story doesn't change. how we say it might change. there are more channels and you and i can count today. there are all sorts of things, instagram, tiktok, everything coming through the media channels might change the ecosystem and how we change, but the core of our story is very mature we are. francine: she is like a pioneer. when you talk about her, it's telling a little bit about your story. you have a unique story, you grew up in a town in india where not many femurs -- females are educated to a higher level. what was that journey like? >> it was a long journey.

i grew up in a small town in the southwest of india. in the world of luxury, refinement, sophistication was very far away from where i grew up. it was a small town like any other, most of my memories of me running barefoot in the town or having my little bike and riding around. women being in vicious was not the norm. i remember my mother said who will marry you, you are so ambitious, what we do with your life. very limited access to opportunities. i did engineering after convincing everybody in my family that engineering was good for girls. it was electronics and telecommunications and i enjoyed being in the minority, but learning a lot more about the world of technology, which we are all part of now. management studies and worked all over the country with unilever. i had a hands on experience,

worked in shop flow, road trucks in the morning going to the train, selling t. it was a fun experience. it was an adventure. it meant being constantly underestimated. it meant that you always look different because you were the first woman or the fast brown person, the first indian, first person of color to lead a global luxury brand. you are always the first, you are always underestimated. people don't know what to expect. they are suspicious of what your agenda might be. along with it comes a responsibility of making it easier for those who come after you. i feel a tremendous privilege, tremendous responsibility to make it easier. which means questioning norms, being a role model, mentoring is many people as i can trying to make it easier for others. francine: you like a challenge. is there ever a challenge that you shied away from? >> every single thing i've done

it's almost as if somebody has said it can't be done. i was in a factory and i said i want to go on the night shift and they said no, we will put woman on the night shift and i said how will i be a successful manager of a factory if i never went into the night shift and knew how a third of the people worked? in some ways it has fueled some of my determination. it has fueled, ok, i will show this if possible. a sense of, i will do it. it also gives me courage because i feel i'm not just doing it for me, i'm doing it for everyone else who comes after me. he gives me courage, it fuels my determination in my courage. i don't shy away from challenges. i say put your hands up for the most difficult job or for things that are challenging. go in there and lean into things that are difficult and challenging because that's what gives you the greatest credibility, respect, reputation into your career.

francine: should nels lena nair on the long-term outlook for luxury and the changing role of what it means to be a chief executive. ♪

francine: chanel is behind the most recognizable designs and fragrances. the french luxury houses still privately held by the billionaire family. involved with the company over the past century. i continue my rare interview with the firm's chief executive, lena nair. do you see that, again, the high end luxury, does that even go higher in luxury? there are a lot of players in the fashion world, luxury world and it's the ones that are very high that will do well. does that also justify some of the price increases we have seen at chanel? >> our prices are related to our cost prices. we use exquisite raw materials in our production, as you know,

is very rigorous, laborious, handmade. so we raise our prices according to inflation that we see so they are linked to the cost price. we've also made a commitment to price harmonization across the world, which means our client should not experience success price differentials no matter where they buy. francine: at second hand, the market is something we see more and more in the last four to five years, what is it mean for a company like chanel? >> we have always said we want our clients to buy from our beautiful stores because we believe that clients must enjoy the immersive experience, immersive, physical experience and build a relationship with the fashion advisor, beauty advisor, boutique assistance, which is so magical and core to the chanel experience. francine: how do you see the china market compared to the u.s. market? you kind of have a base that

stays for quite some time. >> china is a very essential market for the lecture ecosystem. because of the appreciation of refinement and sophistication. it's a very important market for us. i came back recently from china and i was really happy to see the energy and vibrancy in the market. so we continue to run our business for the long term and continue to invest in china for the long term. similarly u.s., i see u.s. as a long-term market for luxury. it always has been. all markets ebb and flow. if you keep a long-term investment, you continue to invest. we just opened our fine jewelry store on 5th avenue. it is absolutely breathtaking. designed by peter marino with everything that you would expect in a boutique. great personalization, beauty, things that uplift you.

so, we believe in both these markets and they are important. francine: it's probably tough being a chief executive in 2020 of the change. and we don't know what ai brings either. >> yes. one of my principles as leader is about tapping into collective intelligence. i truly believe the days of the superhero leader are well and truly behind us. the world is so complex there is crisis in multiple levels. imagine what individual, no matter how bright they are or how experienced they are can have answers to all the questions. no chance. that's why i believe in collective intelligence, diverse perspective. go around the world -- room and listen to all the voices. it's important that i listen to all voices around the table. francine: is that why you lead by empathy? it's not always easy. >> at my career in unilever, when i was going to a place, a

factory and i felt it was not safe for women, i would go back and fight the battle to make sure it was safer for women who came after me. i was always questioning the norms, challenging what was happening to make it easier for those that come after me. it's beautiful and chanel, 70 percent women, 60% of my management team are women. it's easier to set into place everything to support the development and career of all these women and create a more equal world. francine: would you ever going to menswear with chanel? >> it's a rare time in our history where we have a female founder, a female ceo, female creative director, so it's a rare time. i think we support every -- women everywhere in such a beautiful way. we do make things for men. blur is one of the largest selling perfume for men and i hope it stays that way. we really are by women, for

women, support women and we are here to empower and support women on the journey of becoming. francine: i forgot the perfumes. talk to me a little bit, there are things people don't understand about chanel and we talk about the foundation. for so long it was kept in-house, you also have other brands, how do you see all of these companies working together? >> we are the world leader in many categories. fashion is well known, we are and fragrances, beauty, skincare, one of the things as my leadership team started working on what we call a beacon of inspiration for the next hundred years or what we call the 100 year plan. we started putting building blocks in it, it has a positive impact in the world and sustainability and women's empowerment and girls, so we are one of the largest philanthropic

organizations dedicated to women empowerment and girls. francine: not many people know that. >> 125 million this year. 100 million when i came in and we increased that to 25 million. we are truly one of the largest organizations in the world. we worked with 230 seven partners in 50 plus countries on beautiful programs that support women to be free to shape their destiny. francine: lena nair is trying to change luxury and how her background in hr is helping to shape her mindset as a chief executive. ♪

francine: she's used to breaking conventions and changing norms in the workplace, including her transition from unilever and human resources to becoming the chief executives of one of the most prestigious names in luxury, she tells me how chanel is positioning for the future of fashion and what it means for her legacy at the iconic firm. how difficult is it for a big luxury company to be sustainable? you had a very ambitious goals. >> i would like us to set the bar for luxury. i would like other luxury players to be inspired by what chanel does every day. we are one of the few luxury players that has now set a goal and we would really reduce this.

for example, in carbon emissions, we are reducing our logistics, transport to do it digital. chanel.com on increase of traffic of 30 percent, a 16% reduction in carbon footprint. francine: how much of it comes from trying to do good, and how much does it play with consumers, because in 5, 10 years, there will be more focus on this. >> i think they believe luxury is sustainable because we make few things beautifully, and we make them with hand, and that genuine desire by clients to see us continue to sustainable is only going to go up. and i mentioned about more gen z and alpha buying. they are buying because they want to buy less and buy better. so, it is going to be increasingly important. francine: and sustainability do you need to be a risk taker? that idea that as a chief

executive, i guess you need to be careful, but is there anything coming where it is a challenge to risk taking? >> i think for all of us, the world today is so complex and moving fast that you are constantly adjusting being a child's ticking. we are a courageous brand because we walk in the footsteps of a courageous woman. gabriel chanel live the life she wanted, she made the choices she wanted courageously and passionately. one of her values is already -- is audacity. for me, audacity is so important, you call it risk-taking, i call a audacity. francine: i actually per four audacity. it has a certain cachet i'm sure gabrielle chanel would've loved. what have you learned about yourself as chief executive? you are in charge of unilever, one hundred thousand employees. is it different being in charge

of a company than being in charge of hr? >> when i was moving to chanel and a mentor told me i am doing a project -- a quadruple jump. so it has changed on so many dimensions, it's public to private. from anglo dutch to french heritage, i have french classes, it has been changed on all dynamic -- die mentions. it has been all die mentions. in luxury is very different from this. the rarity is not available everywhere every time. it's the balance between timeless, quest for new, it's all of that. it's different. the principles of business and the principles of leadership are transferable across sectors. how do you run a business across multiple countries, multiple product categories, multiple

geographies, multiple cultures, how to galvanize and inspire teams across, again, multiple cultures? there are principles that hold you in good stead because people are people at the end of the day. they have motivations, dreams, aspirations. they are engaged in a particular way. being at chanel has taught me to be more patient, more long-term. it is a different world, so it has taught me to be more patient. it has taught me to appreciate a lot. i want to change the world but look good while doing it. francine: i love that. do you think about your legacy? >> yes i do. for me, i hope people say i am a leader that spends a lot of time thinking about what are you doing, what are you giving back, what will be the difference you make. for me, the biggest thing is if,

a hundred years from now people look back and say that we at chanel did stuff today that inspires them, that helped them a question norms about what they are doing, audacious things that have redefined the norms. and supported women everywhere to feel like they can be the best version of themselves, i think that would be something i would feel good about. if i made a few women in the world dream a little bit more about what they could achieve in their lives, i would feel very fulfilled in my life and career. francine: do you think you will ipo chanel? >> know, in ipo is not on the table. we love the privilege of being an independent company, being able to make long-term decisions. francine: best piece of advice and worse piece of advice you have ever been given. >> best piece of advice, i will do too. one is, fall in love with the

job you have, don't wait for the perfect job. make it the most perfect job in the world. and the other is, which my husband tells me a lot, enjoy the journey as much as you enjoy the destination. we are always in a hurry to get somewhere. no, just enjoy it, breathe a bit and enjoy the journey as much as the destination. worse piece of advice, i think most often when you get a worse piece of advice you just ignore it and forget about it. but i have received advice like when i was in many rooms, the only woman in the room, the only woman in the room so many times in my career i have received advice like, stay quiet for as long as you can and try to blend in. you are already standing out because you look different from the rest. and i think that's terrible

advice. i think it's really important to feel safe to be who you are and it takes courage to be who you are and you change by being who you are. francine: thank you for joining us today. ♪ i don't want you to move. i'm gonna miss you so much. you realize we'll have internet waiting for us at the new place, right? oh, we know. we just like making a scene. transferring your services has never been easier. get connected on the day of your move with the xfinity app. can i sleep over at your new place? can katie sleep over tonight? sure, honey! this generation is so dramatic! it's an amazing thing move with xfinity.

when you show generosity of spirit to someone. and you want people to be saved and to have a better life, then you don't stop. the idea that we have saved five million people's lives, it's overwhelming. it's everything. >> if i can have everybody asked the same question meaning what you come to work every day to do and the answer is because we are the custodians responsible for the savings in the pensions of real