Founder's Story - The Secret World of Luxury: What She Learned Leading Hermès, Godiva, and Burberry | Ep 242 with Virginie Costa

Episode Date: July 21, 2025

Virginie Costa has quietly shaped some of the most iconic global brands from the inside out. In this powerful conversation, she reveals the hidden mechanics of luxury leadership, how to earn your seat at the table, and why the future of finance is transformational, AI-powered, and human-first. Key Discussion Points: What makes the Birkin bag the holy grail of luxury The biggest myth about retail’s death—and how luxury stores still thrive From France to the C-suite: how Virginie built her career at Hermès, Godiva, and more The real traits that define successful CEOs (it’s not what you think) What aspiring executives must do now to rise faster Why CFOs are the new storytellers in a data-driven world How to lead business transformation—and still keep empathy at the core What AI means for the future of finance (hint: it’s not job loss, it’s reinvention) Takeaways: Learn the business before leading it—always start with a listening tour Success today requires purpose, people, and the courage to transform The CFO of the future is more than a number-cruncher—they’re a change agent Great leaders build trust, drive culture, and never stop being curious Closing Thoughts:From luxury handbags to billion-dollar balance sheets, Virginie Costa has mastered transformation at every level. Her insights will change the way you think about leadership, finance, and the future of work. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

So Virginie, if you ask anyone, what's the number one luxury item that they would want to buy besides a yacht? But when it comes to, you know, clothing or accessories, I'm sure almost every woman would say a Birkin. Like if you bought a woman a Birken, that is probably the number one thing that you could buy any woman when it comes to the luxury items. What has kept or mace and have in this mystique around, you know, this bag? going for so long? That's a very good question. So thank you for having me. The mystic is exactly what I'm passionate about.

It's the brand purpose and the brand equity. And the Birkin bag in itself has an amazing story. I don't know if you heard it, but the bag actually was born after an exchange between the CEO of them as then and the famous actress Jane Birkin. and what happened is that she had a huge towed bag that was all messed up in a lot of ways and she unfortunately some some of the items she was carrying with it went on the floor so the CEO next to her was asking her so I just noticed your bag I think you need a bigger and more practical bag and so he used a frame that's called the sack oh a courroix which is a

maybe a little more rectangle bag and he made it a little more narrow as this way, but expanded it on the side and that became the working bag. So first, the first thing is it starts with a iconic product, a unique brand equity and brand purpose. And what I've been very lucky to have met him, the CEO, went back when. And I remember what he said to me, he said, you know, at the end of the day, the product is what is the most important thing. The quality has to be unique. And when the product will be that fantastic, it will find its own customer. And so Hermes has carried on with that legacy and that thinking and is maniacally obsessed about the quality, about the integrity. And as a company, they have very strong values and culture. So at the end of

the day I want to say for me, it's the mystic of any luxury brands reside into the brand purpose. And I strive, I strive really bringing brands like this on a continuation story and a sustainable growth path. So when you see the rise of fast fashion access to really inexpensive versions that are very similar to different things, Do you think this is hurting the luxury market or helping the luxury market? It's an interesting one. I think it's a combination of both because in some ways, you know that you're with a fake bag when comes the time that you want to repair it. Because like anything else, you know, you need some repairs and some maintenance. What the luxury brands do also is that they accompany the product until the end.

So as an example, if you have a M.S. bag, not necessarily burke in whatever bags, and you have, you know, at the end, it starts to look a little older. You can bring it back to the store and they will expect it for you. We'll tell you right away if it's a fake. And if it's not a fake, then you have the opportunity to get it fixed and repaired. So I think it helps in some ways to gain a larger audience. that would not go to those stores or to those malls. But on the other way, of course, they do fight all the time, counterfeiting.

Everyone knows that counterfeiting is not the best way to produce. But that's why I guess it's a combination of both. And when you think about it, like your Birkin bag, as an example, it's an investment for life, the real. one, you know you will be able to carry it through to the next generation, actually. It will be that great quality that you can actually pass it on to your kids or send it to Sotheby's for an auction. So that's pretty much what my view would be. So it's been amazing. If I go to a mall that has luxury stores, like for example, in Orange County,

where I live, the mall is very busy. If I go to a store, that has like general stores that are not luxury, the mall is almost essentially dead. There's like nobody there. And I find it very fascinating how luxury stores are continuing to possibly thrive. I don't know all the numbers, but I'm guessing thrive more, you know, than stores that are non-luxry.

What we're using, and it doesn't have to just be Hermes, but I know you've worked with many luxury stores, but when you look at, you know, because I think this is a big thing, will malls die, will they survive? Like, this is always the talk every year. is, you know, how are in-store opportunities, does it still exist for brands? It's, what's happening right now is, like, I think we're in a transition mode, you know, after COVID.

Things are getting normalized a little bit again. So traffic in stores is always a question. It's not just a general store's luxury brands also look at those traffic numbers. and I don't know that it's only because you have luxury stores that you're going to get more traffic. And the reality is you want to touch the product in luxuries. That's for sure. You want to know why you're paying the price tag you're paying.

So the physical contact, the client experience inside the stores as well, all of this does bring a specific, you know, interest. But yeah, the general question about is retail dead? I don't believe it, personally. I think that now we're closing full loop, the 360 experience from my phone to my iPad to my visit in the physical space and then I order online. So I think that retail traffic is an overarching, very valid point.

But in the case of luxury, like I said, you want to feel it. You want to know that this is real. I'm getting the work in. So I'm sure a lot of people are working in these stores, working for these companies, are hoping that, you know, I want to move up one day. You know, I want to be like Virginia and I want to be an executive for one of these companies. So what do you think helped you along the path? Was there something that you said, okay, I've worked for these companies.

I know what they're looking for. I know what expectations are. Is there anything you can give there or even just any advice to someone who's, you know, starting off now in the beginning? And they're like, I want to be an executive one day. Sure. Listen, I chose finance because I really wanted to understand how businesses bring value and grow value. And also because I saw finance as a tool that can provide a great storytelling and can really enable the company to continue and grow. Early on, I realized numbers are not just enough.

It's also about people. It's also about culture and purpose. So in terms of advice, I would give to someone wanted to. to follow your similar past is master the fundamentals, know your numbers. But then build trust and don't forget that leadership is all about people and purpose. So you want to make sure that exactly you are someone that can bring value and be curious, be bold, don't wait, don't ask for permission to sit at the table, step in, take accountability, and bring people along with you on the journey.

The future belongs to finance leaders who can see the big picture and bring people with them. I'm sure when you grab your seat at the table or you make a seat at the table, there's snags along the way. I'm sure there was challenges. Anything that you remember that stands out

that gave you a good lesson? Sure. Actually, two things. When I started my first TFO post, so that was 20 years ago, ago when I was a young woman. The environment was different, obviously, over there. And I had to trust my own voice, lead with confidence. And the way I approached it was really leading also by empathy. You need to understand people. You need to understand the different points of you. And the best finance leaders are enablers and connectors.

which is something that I've always been passionate about, which is, you know, connecting the dots. So, yeah, that's the first thing. The other thing, I will remember one of my mentor at the beginning of my career told me, let them make mistakes. That's how they will learn. And that was a bold statement, but it was very, very, useful and helpful for the rest of my career, a growing talent.

Being able to be in the same room as some of these executives, like you said, CEO of Ermeyce and these other organizations that you've been a part of, was there any commonalities among CEOs or C-suite at the highest level at these companies? No, they are all very different. They're all very unique. But the successful CEOs have been lucky to partner with always, as I said before, always come from the place of the people first. Now we even call it human capital. This is the new denomination. But it's true. The people are your biggest assets. And if they are happy, they will stay with you.

they will want to grow with you. And that's what matters. It's really driving, driving people and making sure that everyone at the past. So I would say if there is one commonalities, that would be that the focus and the prioritization of people and talent. So when you look at success now where you're at in your life, because I'm sure, like you said, 20-some-odd years ago when you started, success looked a certain way. you achieve some of the successes or all that you're hoping for. But what does success look like for you now? So it's true.

The role of the CFO has evolved tremendously over these past 20 years. I have also had a couple of opportunities where I hold both the CFO and the CFOs, the chief operation officer. And that was very helpful to me for the evolution exactly of finance. I see finance to me becoming a force on transformation. I led a few transformation offices, actually. And it's really the new phase. And transformation has always been a world that we use a lot around us.

But since COVID, there has been a lot of transformation. A lot of companies had to adapt to the. new normal. So to me, finance is about transformation. We will lead on AI adoption. We will redefine how we value people and intangibles and embeds sustainability now into every decision. So the CFO will be key storytellers and translating complexity into clarity and helping businesses grow with purpose and integrity. So now the CFO role, can handle a lot of other topics because of this unique viewpoint that enabled the companies to really see,

like I said before, connecting the dots. Like if I move these, what that's going to look like here? So for me, and I'm very passionate about business transformation, it brings challenges, but it's also where you have the biggest opportunities. And that's how usually you can grow, faster. I imagine it could be challenging and exciting being the CFO just because you have to sometimes give the bad news. You also have to sometimes give the good news. And maybe you have a CEO that wants to go one direction. But if they're publicly traded, right, there's certain scrutiny that they have

to follow. And you might have to give them the bad news. But when you're, when you go into an organization and you're looking at transformation, I'm guessing they bring you in for some sort of change normally, you know, hoping like positive change or whatever the change might be. What are some of the first few things that you do when you start at an organization at that level? The first thing I always do and I, and that would be also an advice for future generations, is you need to learn the business. You really need to learn the business. To be a good CFO nowadays, you're not just reporting the numbers. You are driving the business. You need to have a financial strategy, align with the purpose and the integrity of the brand.

So the first thing I always do is I spend as much time as I can to visit the locations where the company is established, getting to meet as many people I can, always asking the same question. I go on a listening tour, actually, if you will, which is tell me what are the things we are doing right and tell me the things that you think we're doing wrong. These are my first questions always. And the next one is even sometimes more telling, which is what works you up at night. And that's how you get to really learn the business from the ground up. And the reason why I do that is going back to our mess as an example, I've been so inspired by their

onboarding, whatever function you're in in the company, you need to spend your first week in a store. And depending on your area, you will be a cell, you will mirror a cell associate or you will mirror the cash register, you know, whatever function brings you in. But you'll spend a week in the store looking at the product, looking at the relationship between the clients and the sales associates and the products. And for Mondalise, which was my most recent post, I spent a lot of time visiting factories, visiting the different occasions that were part of the region

in Canada, in Mexico, and just getting to meet as many people as possible to hear and be really open to exactly, like I said, tell me with the most honesty you can. What's working? What's not? And what gets you have at night? I like what you're saying there where basically there's no ego that, you know, you have to go in a store. If you're a C-suite, you have to go work in a store.

I think that would be very interesting. They should film that. It would be interesting to see how a new C-suite or vice president or president has to work into a store and the sales. I think that's amazing. AI is obviously transforming every. industry. You touched on it a little bit earlier. I know you just chaired a CFO summit recently, and I'm sure AI was a big topic. Can you talk about maybe some learnings from that and how you see the future? Yeah, thank you. Don. It was an amazing event, and we had CFOs and CHROs in the audience.

AI was the number one topic. And the way I approach it right now is people are very nice. offers that they're going to lose their jobs to AI. And with me, having worked for 30 years, so I always remember when my first job, there was no computer, no internet, no iPhones, only landlines. So I've lived through a lot of evolution of the technology. And what I've noticed at each revolution or new step,

it actually, it doesn't necessarily make you lose your job. It makes you change your focus and working on other tasks. In finance, in particular, AI will help us continue our journey on automating anything that is really pure routine, transactional, same old, same old. And so that finance professionals can now focus even more. on the value creation, on the value chain. So to me, the future of finance is human-centered, AI-powered, and purpose-led. I hope you're right. I mean, I hope those things happen.

It sounds amazing. I guess we will see, right? It seems like it's moving like 100 miles a minute. But I can imagine in the CFO or finance roles, AI could be an incredible tool and opportunity to, you know, to cut down on mundane things and to really hyper focus on big picture, bigger impact items. But if you want to get in touch with you, they want to find out more, they want to follow your journey. How can they do so? Sure.

You can find me on LinkedIn, Virgini Costa, where I share a lot of insights on exactly transformation, strategy, and finance topic as well as leadership. I also speak regularly on events. and I'm always happy to connect with people. So especially if you're passionate like me, you can reach out this way. And you can also reach me via my website, virginie costa.com. And let's stay in touch. Well, Virginie Costa, a great conversation.

I know you and I talked earlier before we started about France and how we were just in Lyon. And that's where basically you grew up. Um, best food probably on the planet is it as overall, uh, but this has been an amazing conversation. Thank you for today. And I'm really inspired about, uh, luxury in the future. And then obviously, you know, the CFO role that most people, the CFO role, I don't think it's like, uh, like in a band, you have like the lead singer is like the CEO who's always

out there. And the CFO is like the drummer who, who no one really knows, but is like an integral part of the of how things happened but really thank you for all that you do and joining us today thank you for having me