Ralph Lauren has delivered its strongest quarter for new direct-to-consumer (DTC) customer acquisition since the pandemic, adding an extraordinary 1.9 million new DTC customers worldwide, according to the company’s latest earnings call and multiple reports. This milestone highlights both the brand’s agile digital transformation and the enduring resonance of its luxury lifestyle appeal among a younger, increasingly global consumer base.
Standout Performance in Q2 2025
For the second quarter ended September 27, 2025, Ralph Lauren reported double-digit revenue growth, totaling $2 billion, a 14% year-over-year increase, dramatically outpacing market expectations and its own guidance. Operating income is expected to rise significantly over the previous year, with gross margins improving, thanks to strong full-price selling and a favorable product mix.
“These results underscore our diversity of growth opportunities and the broad-based momentum of our iconic brand, which is resonating across generations, cultures and geographies,” said CEO Patrice Louvet on Thursday’s earnings call. “Our strong performance through the first half of this fiscal year also gives us confidence to take up our full-year guidance once again, even as we remain relatively cautious in the second half of the year due to potential consumer headwinds and general volatility, while we are watching the macro environment closely.”
DTC Strategy: Digital Innovation Meets Elevated Experience
DTC channels, covering branded stores, e-commerce sites, and experiential flagships, now represent nearly two-thirds of Ralph Lauren’s total sales. That share is expected to climb, as the company invests in technology, key city ecosystems, and exclusive collaborations.
The brand’s digital expansion, including an AI-powered styling tool, and the launch of a dedicated Canadian ecommerce site after opening a physical Toronto flagship, are helping deliver more personalized customer journeys across regions.
Geographic and Demographic Surge
Sales in China grew more than 30% in Q2, propelled by new stores and increased online engagement. Ralph Lauren’s targeted approach in key city ecosystems across London, Paris, Shanghai, and New York continues to boost local relevance and global desirability.
The company saw particular strength across younger, higher-spending customer segments while maintaining resilience among its traditional, value-driven shoppers.
Brand Affinity, Loyalty, and Full-Price Momentum
The quarter also marked record gains in brand affinity, reflected in growing Net Promoter Scores, increased consideration, and higher purchase intent year-over-year. Ralph Lauren’s ability to hold full-price sales and limit promotions allowed for improved margins, with average unit retail up in all DTC regions.
More than 62 million social media followers, up low double-digits from the previous year, and robust activity around high-profile campaigns, such as official outfitting for Team USA at the Paris Olympics and iconic sponsorships of Wimbledon and the U.S. Open Tennis Championships, further built authentic consumer connections.
Strategic Expansion to Sustain Growth
Looking ahead, Ralph Lauren will continue scaling its DTC ecosystem, with 250 new stores planned over the next three years and a strong focus on digital commerce, which now accounts for about 30% of sales.
Technological innovation, like intelligent inventory using artificial intelligence, is being piloted to improve conversion rates and keep best-selling styles in stock globally.
The Industry Outlook
Ralph Lauren’s record DTC customer acquisition comes as luxury and premium brands across fashion are seeing renewed momentum, with consumers prioritizing quality and timeless style over fast fashion. The focus on direct channels, personalized technology, and international growth positions Ralph Lauren as a leader in the post-pandemic retail recovery.
