Tips for Luxury brands: How to convey the experiential luxury in your product?
It was explored recently how new technologies contribute to luxury transforming. Big data and artificial intelligence, for example, are redefining how rich consumers and luxury brands interact. Changes are also taking place at a deeper level and fundamentally reshaping the luxury industry.
Millennials consumers and Generation Z are really pushing the growth of luxury sales worldwide / Ph. Pinterest
Experience is always an important part of luxury goods buying
Rich consumers increasingly target a shared economy and seek an emotional connection online. The transformation of this luxury is coupled with a change in the generation of wealthy consumers. Millennials consumers and Generation Z are really pushing the growth of luxury sales worldwide.
Wealthy consumers have new expectations, especially when it comes to luxury. They want more from the brands they buy. According to a study from Nielsen, 73% of Millennials say they are willing to spend more on a product if it comes from a sustainable or socially conscious brand.
Therefore, the high-end tourism industry is set to see the spending of wealthy young travelers reach $1.4 trillion by 2020. Therefore, it is no surprise that the luxury group LVMH intends to buy Belmond hotel group for $3.2 billion. Belmond recorded $572 million in revenue in 2018 from the category of luxury hotels, train services, and river cruises.
There are four ways to convey the experiential luxury in your product:
#1: Attract your consumers from the beginning: This will give you valuable input, of course, but also building a group of high early adopters will help you spread once your product is ready.
#2: Improve the experience of luxury goods buying: Whether you sell products online or in a brick-and-mortar store, it's important to make the buying experience as enjoyable and special as possible. This is an important contact point to talk directly to your customers.
#3: Build relationships outside the transaction: A luxury product is often a symbol of special moments or a worthy milestone that consumers want to remember. As a luxury brand, this is an unique opportunity to build long-term relationships with your buyers.
#4: Communicate your brand value throughout your customers' journey: Beyond communicating what those values are, luxury brands need to help customers experience and live those values for themselves. This is about the embodiment of a lifestyle that luxury brands build into customers' minds.
Let's apply and share the above ways.