Brands can struggle in a web world which brings choice, which brings access to all consumers.
Luxury brands can be the hardest hit, with the rise of the informal economy and the rise of the fake economy. But it is about giving the consumer a reason to buy the perception of luxury.
I was interested to read an article in Monocle looking at how luxury brands are coping with the 'bling culture' and how they continue to develop their brands.
Sandro Reginelli of Maurice Lacroix and Andre Csiki of Zenith have they pieces of advice for brands
- We always need to evolve the definition of luxury and add a little more elegance - I like this idea, too many companies believe just the name will suffice, but brands who succeed hold the values of the past whilst redefining what that means for todays generation.
- It involves a sophisticated approach to design and branding - again I think this is valid for all social marketing. Social media in itself, marketing in itself will not be enough...it is about using it to emotionally attract consumers
- It means a renewed focus on technical expertise - see technical expertise takes time to copy, the growth of skeleton dials is a way of redefining luxury.....by bringing the mechanism to the forefront, you are putting your key difference front and central to the idea of luxury.
Commoditization can seem like a downward spiral, but that doesn't have to be the way - it should be seen as the inspiration for maintaining the luxury element. One reason I put a lot of store on employee engagement - because it is about each employee being guardians of the brand and continually working to enhance the product away from the commodity items...because that is where the premium comes from....
