DALLAS, Dec 5, 2005/ FW/ --- The opening of the ‘Modern Luxury 2005’ conference today in Dubai brought together luxury purveyors from around the globe, including Giorgio Armani, and Gucci’s CEO Robert Polet and Versace’s CEO Giancarlo DiRisio.

In DiRisio’s opening speech for the International Herald Tribune’s sponsored conference, the Versace CEO explained the restructuring strategy and new direction for the House of Versace.

He concluded, “Gianni Versace was the man who shifted culture and blended fashion, glamour, art, music, and celebrity. Now a new Versace is being born from his creative legacy and a new Medusa that is looking very much alive. Certainly, we are only at the beginning of our journey, however we are convinced that the road we have started to take is the right one and that the Medusa, emblem of Italian Luxury, will shine brighter than ever on the Olympus of great fashion brands.”

Yet, it is not only Versace that is beginning a new journey. The $167-billion-a-year industry that was stagnant for the past three years is now finally on the rebound as the global economy recovers and traveling has resumed.

And how are the luxury purveyors planning to attract customers back? SERVICE.

Gone are the days when buying a designer label purse is considered luxurious. It’s no longer just about a label, it’s about the ‘little things’ like a smile, addressing you by your name, knowing your favorite brand, and sometimes, knowing your dress or shoe size without announcing it to the world.

Here in the U.S., Neiman Marcus and Bergdorf Goodman have been doing it for years. Valet parking is part of the service when you shop at these stores. And when you have a lot of packages, someone will actually carry all those for you all the way to your car, including loading them for you.

The luxury industry is planning to take it a little bit further with chauffer-driven limos and personalization of handbags when a customer makes a purchase by stamping it with their name inside.

According to the Boston Consulting Group, the luxury market will reach $1 trillion in 2010. That’s five years away, and along the way, expect more innovations and redefinition of luxury by its purveyors.