How to Build a Brand Narrative During an M&A Event
In luxury, media, and consumer brands, M&A is never just a numbers exercise. It is a test of narrative leadership.
When ownership changes, people are watching for more than operational synergies. They are looking for signs that the brand they love will emerge stronger, not lost in translation.
Consider Kering’s recent €1.7 billion investment to acquire a stake in Valentino. The number made headlines. What really mattered to insiders and loyalists was how Valentino’s signature identity was protected and even amplified in the way the deal was told.
By prioritizing design continuity and narrative clarity, Kering did more than secure growth potential. It created a sense of trust for customers and employees navigating change. That is the difference between viewing M&A as a threat and seeing it as a fresh chapter.
The lesson: during a carve-out or merger, putting a brand’s story front and center is a strategic lever, not a cost center.
McKinsey estimates that brands that lead with marketing and narrative engagement in M&A can unlock as much as 9 percent more value than those that wait to integrate and communicate until after the ink dries. In practice, that means founding teams, creative directors, and design leads should be at the table from the outset.
The result is not just smoother integration. It shows up in real enterprise impact: higher retention among clients and staff, sharper positioning in the market, and an internal culture that feels energized instead of sidelined.
It is also not enough to send out a rebranding memo and call it a day.
Look at the LVMH acquisition of Tiffany & Co. Digital storytelling was used to maintain the old-world romance of the brand while introducing new product lines and experiences. LVMH did not erase the Tiffany magic. It rewrote the narrative so long-time fans could recognize themselves in the new chapter and embrace the change.
This approach is not simply “nice to have.” It translates directly into sales and long-term value. Hermès and Gucci, often cited as benchmarks, have outpaced rivals in growth largely because they treat brand stewardship as a core executive mandate, not a post-merger afterthought.
Of course, not every merger goes smoothly.
Firms that focus only on operational efficiency often run into cultural misalignment, and the fallout can be severe: lower customer engagement, confused messaging, and ultimately lost market share. Elegant design and thoughtful, values-driven communication are not cosmetic choices. They are tools for maintaining trust.
In luxury and entertainment especially, decisions about visual identity, tone, and narrative shape perceptions of exclusivity and style. Those perceptions are central to enterprise value.
For leadership, the question is simple: does the deal’s story make sense to the people who matter most – employees, customers, and the broader market?
Answering “yes” often means resisting the urge to bury iconic marks or legacy design languages just for the sake of conformity. Instead, the M&A event becomes a platform to broadcast a renewed purpose, with clear indications about what remains, what evolves, and why.
Here, market context matters. A recent luxury goods sector update from Houlihan Lokey estimates that global luxury goods have grown roughly 4 percent over the last five years and now total around €435 billion. In a space that large, crowded, and emotionally driven, preserving identity during moments of change is not sentimental. It is a proven way to protect and extend growth.
Ultimately, the most successful M&A in consumer, luxury, and media tells a story that is rooted in the brand’s DNA yet bold enough to create new momentum.
Integration and synergy models set the pace. Narrative, design, and communication set the vision. Without them, even the largest deals risk becoming just another footnote.
