Luxury Briefing: Why Harrods’ big sale swept TikTok, and what it means for luxury brands

Over the past few weeks, dozens of videos have circulated showing Harrods’ discounted shoes and ready-to-wear, plus walkthroughs of cordoned-off sale areas. Creators have zoomed in on price tags for brands including Zimmermann, Missoni, Pucci, Skims, Aquazzura and Chanel, which also had a sale in its concession area in the store. Some posts have seen 29,000-54,000 views. Others have travelled much further. 

One widely shared video documenting discounted items surpassed 247,000 views, according to screenshots reviewed by Glossy. Comment sections quickly filled with questions about restocks, further reductions and whether it was “worth traveling in” just for the sale, with several users explicitly saying they were planning trips around it.

TikTok videos show Zimmermann dresses reduced from around £850 ($1,080) to £150 ($190), Christopher Esber dresses cut from roughly £920 ($1,170) to £182 ($230), and Jacquemus bags marked down from about £840 ($1,065) to £151 ($190). Footwear proved a major draw, with Versace and Loewe heels discounted by more than 50%, alongside Ralph Lauren items reduced by as much as 85%, according to tags shown on screen.

The mechanics of the sale itself are not new. According to a Harrods spokesperson, the company does a Summer Sale in mid-June and the Winter Boxing Day Sale. They usually last three to four weeks, with discounts ranging from 50-70% off. On TikTok, users noted that a further discount of 10% can be added by being a member of the Harrods rewards program, potentially extending the discount to a maximum of 80% off. While Harrods has had seasonal sales for decades, what has now changed is how widely that information circulates, how quickly shoppers have learned to treat the sale as something that can be timed and optimized.

That visibility can carry consequences for brands, as seen in the backlash The Row faced last year, when images of its discounted products spread online and sparked criticism from customers who felt the brand’s pricing power and sense of rarity had been undermined.

From a buying and merchandising perspective, the predictability is the real risk. Jonathan Curtin, a luxury merchandiser and consultant working in the U.K. and Europe, said January now exposes a growing tension across European luxury retail. “January is when two truths collide,” he said in an interview. “There is end-of-season stock that needs to be moved, but luxury is built on price belief.”

Discounting itself is not the issue, Curtin stressed. Luxury has long relied on sales to move stock from past seasons, especially after outcries about destroying product over the last 10 years. “But the moment customers adopt a wait-and-see attitude, full-price stops being the default option,” said Curtin. Inventory “hygiene”, as it is called, works only when markdowns are targeted, short-lived and difficult for customers to anticipate, he said.

That distinction becomes even more damaging when recognizable products enter the sale mix, like the ones from Skims in the video. Curtin said discounting non-iconic items can be absorbed by the market, but when signature silhouettes or designs closely tied to a brand’s identity appear repeatedly at reduced prices, customers no longer see them as clearance. “They see it as lower brand value,” he said.

In Europe, specific channels are well known and used by brands to keep up this product hygiene. Curtin noted that, to sell outdated stock, Paris offers a dense ecosystem of flagships, department stores such as Galeries Lafayette and Le Bon Marché, outlet villages like La Vallée Village, and invitation-only off-price platforms including Arlettie and BestSecret. “But a pressure valve [like these] only works if it reduces noise and protects the mainline story,” he said. “Once that valve becomes visible, it stops being discreet and becomes a destination.”

At Harrods, that shift in consumer behaviour is already visible. A senior sales associate at the store, who asked to remain anonymous, said customers are far more strategic than they were pre-Brexit and pre-Covid. “When I first started in 2017 or 2018, the sale always had a shorter period, and people were happy to pay full price,” the associate said. “Luxury purchases were more about signaling success. Over the past two to three years, people (regardless of wealth) have been actively waiting for the sale.”

That waiting now shapes purchasing tactics. The associate said most “gaming” behavior happens during sale previews, when loyalty customers receive early access at around 30% off. “Customers, particularly more seasoned aspirational shoppers, buy early to reduce the risk of items selling out, then return when they see that what they bought the previous week has been reduced further,” they said. While staff try not to authorize returns and repurchases in those cases, “customers are savvy,” the associate said. Harrods enforces a policy, as a result, where, if it doesn’t have the same piece in the same size on the shop floor, they can’t authorize the return.

What’s more, sales are no longer treated as exceptional moments. “[Customers] now expect sales as part of the normal cycle,” particularly in premium and accessible luxury, the associate said. Over time, shoppers have learned which brands reliably appear in the markdown mix and adjust their behavior accordingly. This season, that mix has extended across categories, including footwear and menswear, as visible on TikTok. The associate confirmed that even in-demand brands like Simone Rocha menswear were among the labels included in the sale.

Social media accelerates that learning curve. Filming in-store is difficult to control, the associate said, particularly when customers claim content is for personal shopping or overseas clients. “When you post or see posts like this online, it removes the intrigue,” said the associate. “Coming to Harrods is an experience in itself. During sales, you want to go inside and explore. When everything is online, it becomes a task.”

From a strategic standpoint, that loss of intrigue cuts deeper than one sales cycle. Mark Cohen, former Sears Canada CEO and director of retail studies at Columbia Business School, described visible discounting as fundamentally corrosive to luxury positioning. “Price discounting is lethal to a true luxury brand,” Cohen said. “It’s poisonous. It’s toxic.” Once customers anchor on discounted prices, he said, brands struggle to recover. “How do you reset a customer’s expectations of price and value? You can’t.” And department stores, already exposed to discounts that undercut their offerings on online retailers, are treading an even thinner line.

The scale at which that pricing signal now travels is amplified by Harrods’ reach. In 2024, the retailer reported that around 100,000 people visit the store every day, and many share their experiences across socials. This means behaviour observed on the shop floor is quickly exported far beyond Knightsbridge.

That visibility extends even to brands operating on concession models, which historically allowed for tighter control over pricing and stock. Chanel, which runs its Harrods presence as a concession, has offered discounts of around 40% during private sale periods, according to multiple TikTok videos posted over the past month. TikTok users described people behaving like animals to get into the sale. Although some users mentioned a virtual queue, videos showed an open sale area monitored by staff, with steady footfall and a wide selection of items available at around 40% off.

The associate said this exposes a broader structural weakness within department stores. “They’re not set up for modern shopping,” they said. Staff at Harrods were only issued with work phones last year, limiting real-time clienteling and digital engagement. Social media presence and compelling in-store experiences beyond major brand takeovers remain “few and far between.” And so management continues to rely heavily on footfall, even if the footfall itself becomes harder to sustain, and to remain reliant on these sales periods.

“VIPs are not happy about the sales,” the associate said, speaking about crowded stores and VIP’s not being able to access collections. “They also don’t like seeing pieces discounted shortly after purchase.” Harrods’ teams attempt to manage that dissatisfaction through service and access, but the pressure is mounting.

The backdrop is a challenging financial environment. In October last year, Harrods Group (Holding) Limited reported that gross transaction value (excluding VAT) fell 2.4% to £2.198 billion (around $2.8 billion) for the year to February 2025, while turnover edged up just 0.6% to £1.082 billion (approximately $1.37 billion), below the U.K. inflation rate. Operating profit fell 17% to £177.7 million (about $226 million), while profit before tax swung to a loss of £34.3 million (roughly $44 million), compared with a £111.5 million profit (around $142 million) a year earlier.

The group cited investment in salaries, rising distribution costs and significant exceptional charges, including digital transformation and compensation provisions related to historic abuse perpetrated by former chairman Mohamed Fayed. U.K. department stores are also still contending with competition from stores abroad, where tourists can still shop with the VAT discount when travelling.

Managing director Michael Ward described 2024 as a year of stable trade despite challenging conditions during the earnings, pointing to continued investment in Harrods’ Knightsbridge store. But the figures underline the bind facing high-end department stores still dependent on physical retail at a moment when pricing information is no longer contained by geography or access.

The timing is notable as the global luxury market continues to soften, with brands grappling with slower demand, elevated inventory levels and more cautious consumer spending following years of post-pandemic growth. All of this is coupled with the bankruptcies at Saks Global, Ssense and Luisaviaroma in the last year. Against that backdrop, the visibility of extreme discounting at one of the world’s most prestigious department stores risks delivering another blow to luxury’s ability to defend full-price value.

As Curtin put it, “Margin loss hurts for a day, but training customers to wait hurts for seasons.”

How even the ultra-wealthy are embracing lab-grown diamonds

When Jean Dousset opened its first New York flagship on Mercer Street last month, the move underscored how lab-grown diamonds are gaining traction even among the highest-spending luxury clients. The SoHo showroom — the brand’s East Coast debut — was conceived as a relationship-led extension of a largely digital business, reflecting demand from clients including Beyoncé, Eva Longoria and Paris Jackson.

“New York had been on my mind for a long time,” founder Jean Dousset said, noting many East Coast relationships had been “entirely online or through virtual appointments.” SoHo’s creative, design-oriented feel was intentional: “It doesn’t feel like traditional luxury retail,” he said. Inside, the showroom is intentionally calm and edited, designed to support longer consultations, education and conversation rather than transactional browsing.

The opening builds on the brand’s 2023 pivot to lab-grown diamonds exclusively, a decision rooted in design freedom rather than trend. “It allows for a different kind of freedom as a designer and opens up clearer conversations with clients,” Dousset said. Affluent buyers are interested in the customizability of the stones, as well as the option to get larger ones than they would with natural stones, he said.

Price points reflect this positioning: Jean Dousset’s ready-to-ship pieces span from roughly $5,650 to over $60,000, with larger bespoke works above that range. Similarly positioned London-based Kimai offers customizable lab-grown engagement rings and fine jewelry from $895 to over $20,000.

Executive Moves

• Gabriela Hearst has promoted longtime sales chief Michele Cohen to president, tasking her with driving global expansion across retail, wholesale and new product categories following the departure of CEO Thierry Colin.
• Diesel has appointed Andrea Rigogliosi as chief executive officer, with the former Miu Miu retail chief joining the brand after nearly three years without a permanent CEO. Rigogliosi will report to OTB Group CEO Ubaldo Minelli.
• Bloomingdale’s has appointed Russ Patrick as general merchandise manager of home, with the longtime Neiman Marcus merchant relocating to New York as part of the move.
• Alo appointed former Dior and Miu Miu executive Benedetta Petruzzo as international CEO, a newly created role alongside co-founders and co-CEOs Danny Harris and Marco DeGeorge, effective January 10.
• U.K. designer Samuel Ross has joined Whoop as an investor and global creative director under a multi-year partnership that will see him designing limited-edition Whoop bands and technical apparel.

News to know

• A Houston federal bankruptcy judge approved Saks Global’s $1.75 billion debtor-in-possession financing over objections from Amazon, which argued the deal improperly encumbered the Saks Fifth Avenue flagship, according to Judge Alfredo Perez.
• Richemont reported fiscal third-quarter earnings on January 15, posting an 11% rise in sales to €6.4 billion (about $7 billion) for the period ended December 31. It beat expectations through strong jewelry demand — led by Cartier and Van Cleef & Arpels — and a rebound in specialist watches, which offset ongoing macroeconomic pressures.
• Brunello Cucinelli reported record 2025 results on January 12, with sales up 10.1% to more than €1.4 billion (about $1.5 billion), driven by double-digit growth across Europe, the Americas and Asia.

Listen in

On the Glossy Podcast, hosts Danny Parisi, Zofia Zwieglinska and Jill Manoff are joined by Mitchell Parton of Modern Retail to unpack the evolving state of the American shopping mall, examining why foot traffic rebounded over the holidays, which brands are thriving or struggling in today’s mall ecosystem, and why Gen-Z shoppers are showing renewed enthusiasm for mall culture. Listen here.

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