The ‘digital age’ has transformed business and marketing in an unprecedented manner. Luxury brands now have more visibility and increased ‘brand awareness’ than ever before, due to consumers being interconnected through the adoption of digital technologies and social media platforms. This interconnectedness crosses national borders, social classes, religious groups and cultures. However, the dilemma for the luxury industry has always pertained to the digital side of marketing, this is especially true because of the need for luxury brands to convey exclusivity and prestige. Luxury brands need to tread carefully when formulating plans for their online presence.
In an online article by Forbes magazine, Marketing CEO Shama Hyder outlines four secrets she believes are essential for all luxury brands to incorporate into their digital marketing strategies.
1) Brand Narratives Matter
Shama explains the need for luxury brands to create a strong narrative which portrays the ideas behind the brand, e.g., short advertisements for Rolex displaying longevity and precision. Personally I think narrative is extremely important regardless of the product you are marketing, and I believe if you can provide a good narrative which is personally relevant you can just about sell anything. However, Shama highlights the symbolic and expressive nature of luxury products, which naturally leads us to consider how we present our brand narrative to the consumer online, and the importance this has on the value proposition.
2) Balancing exclusivity with visibility
Some people argue that a strong online presence from luxury brands takes away from their exclusivity, however, in the ‘digital age’ I feel luxury brands have no choice but to embrace social media and the online world. A report from McKinsey confirms this, which found that 50% of luxury consumers are influenced by content they read and view online. Therefore, Shama believes that exclusivity and visibility shouldn’t be a ‘zero sum’ game, and should be mutually beneficial. She uses the example of luxury brands partnering with high-fashion models on Instagram to promote their product. This platform is inclusive globally, however the association to the high-fashion models infers exclusivity.
3) Inspire a Sense of Belonging
This is where social media fits perfectly with luxury brands, if the brand can inspire a sense of belonging amongst its target market, it can create more engagement and create a sense of community amongst luxury consumers on multiple online platforms. However, luxury brands need to be careful as to which events or communities they will associate with, to ensure they do not tarnish the reputation of their brand.
4) Amplify
This concept, all comes down to seasonality and promoting your brand around suitable events online. This way you can drive consumer generated content through the use of #hashtags, social media commentary, and reviews. You can also source social media user generated photographs which picture your brand in a positive light. These images can then be displayed on your social media channels. A good example of this, was the #MyCalvins campaign on Instagram in 2016 right before the spring fashion launches. The campaign had a truly global impact going viral, and most certainly caused revenue to spike significantly.
In conclusion, the online world is something which can entirely augment and drive sales for luxury brands. However, I believe the brands themselves need to tread carefully and ensure they provide the same exemplary experience online as they do in their ‘brick and mortar’ outlets.
What do you guys think of these 4 strategies for luxury brands? Let me know below.
Warm Regards,
Eddie
featured image: http://www.newsweek.com