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    In 2015, The Value Of Prada And Other Luxury Brands Shrank.

    2015/5/28 10:06:00 65

    2015PradaLuxuryBrandValue

      

    Luxury brand

    Marketing activities have become closer to the general public.

    The report says that the millennial generation has become the main force of consumption, and the expensive hobby of buying luxuries is not in line with their mild and sustainable lifestyle.

    This forced some luxury brands to invest more money in creating unique brand experiences to increase mutual understanding with consumers.

    LV is taking advantage of this.

    It founded the Paris LV Museum of art foundation, designed by the famous architect Frank Gehry. It no longer adopts the form of sponsorship art exhibition, but plans the brand exhibition by LV.

    But the luxury brand's ability to reach the public is very limited, just like the price of Hermes and Chanel is not high enough for everyone to afford.

    This has created opportunities for Michael Kors, a more popular and more popular brand, which has opened its stores to 85 countries around the world.

    Increasing influence has helped it enter the list for the first time this year.

    As a price affordable mid-range luxury brand Tommy Hilfiger, no longer appeared as a luxury brand, BrandZ placed in the category of ordinary clothing.

    This is related to the repositioning of Tommy Hilfiger, which is losing its luxury coat and turning to lifestyle brands, which has made Tommy Hilfiger a 29% increase in brand value in the past year.

    In May 26th, Tommy Hilfiger released its first overseas fashion show in Beijing to highlight its importance to the Chinese market.

    Meanwhile, emerging luxury markets such as Mexico, Turkey and Nigeria are also emerging.

    This is a huge challenge for the luxury industry that did not rely on data to drive sales in the past.

    BrandZ recommends that the acquisition of consumer data has become an essential capability in all consumer markets.

    Luxury goods only enter this new information flow to ensure the balanced development of the global market.

     

    China's performance is too bad.

    Prada

    And so on.

    As one of the spokesmen of high price products, luxury goods are often the industries with high value brand output.

    This year, however, it was the year when luxury brands were the most devalued in the history of BrandZ ranking. In 2015, the overall value of luxury brands dropped by 6%, compared with 16% in 2014.

    Among them, Prada declined the most, and the value of the brand dropped by 35%.

    Coach and Fendi, which entered the list for the first time last year, are missing this year. They are replaced by Michael Kors and Tiffany.

    Although the global economic crisis has improved, sales of luxury goods have not yet recovered due to various reasons.

    As Prada 1/3's performance depends on the Asia Pacific region, it has become the biggest victim of China's economic slowdown.

    With the addition of two other BRICs emerging markets such as Brazil and Russia, the political turmoil has also made Prada worse.

    Interestingly, although Louis Vuitton is most commonly complained by most Chinese consumers, its overall brand value still ranks the top of the BrandZ luxury list for several consecutive years in the world.

      

    They don't do it.

    Advertisement

    But it can achieve steady growth for 10 years.

    A list of BrandZ lists may confuse you. Why are Zara and Hermes going with Apple, Amazon, Google and SAP? They are the 10 most developed brands in recent 10 years.

    6 of the 10 brands are in the technology industry.

    One of the reasons why Zara and Hermes are able to keep pace with these huge user technology companies is that the two brands have grasped the core of brand value - a stable brand positioning.

    As we said before in the FBI luxury package survey, Hermes's emphasis on technology rather than Logo coincides with the shopping habits of today's emerging consumers. It rarely advertised its own assertions.

    Nowadays, when other big names are busy spending a lot of marketing funds or reshaping the brand by changing designers, Hermes can remain steadfast in the industry.

    This applies to Zara at the same time.

    Compared with H&M, which is keen on trying new things in channels, design and marketing, Zara has rarely done mass advertising.

    Its advertising cost accounts for only about 0.3% of its sales, far below the industry average of 3.5%.

    This enables it to quickly shift production costs to product changes, and windows are the best advertising.

    Therefore, even in 2010, when the consumer market began to experience recession, the clothing brand value dropped by 4%, and Zara grew by 4% in the harsh environment.

    Millward Brown has monitored 87 of the top 100 brands in the past ten years. The study found that the brand itself has a stronger value drive than advertising.

    A strong advertisement can bring 27% growth to the brand, but the growth of the brand positioning and business philosophy has reached 168%.

    "If you haven't yet identified the theme of your brand, chances are not always great."

    Millward Brown's global BrandZ director Peter Walshe told Marketing Week, "this is not against advertising, but good advertising is icing on the cake, it must be built on the correct positioning of the brand first."

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    Sports are the most fashionable.

    Not only luxury goods, but the entire fashion industry is facing a clear consumption trend in recent years: consumers think that a good lifestyle is the most expensive way to spend.

    Of the Top10 clothing brands released by BrandZ, 3 are sportswear brands, which are Nike, Adidas and Lululemon.

    Last year's Brazil world cup is undoubtedly the best marketing opportunity for sportswear and footwear brands.

    The growth of Nike's female business has also surpassed that of male businesses. The new advertising marketing of "Better for It" has stimulated the enthusiasm of Nike consumers to rekindle health and exercise, which has increased the online sales performance of the brand by 42%.

    The market for sportswear is becoming crowded.

    Even so, the hot situation has helped Lululemon's sports and leisure to recover slowly from negative growth, and consumers are beginning to miss the elastic pants.

    Exercise is only one aspect.

    Consumers are more willing to invest in lifestyle items than ever before. The fifth ranked Next is a British brand that provides fashion clothes, accessories and furniture for families.

    This trend has also led several fast fashion giants including H&M to create more diversified product lines in the past two years - cosmetics, furniture, sportswear and so on.

    The Japanese brand UNIQLO continues to make great efforts in the market segmentation of functional fashion, constantly introducing special fabrics, such as Arism, which are produced by creative technology, to give people a better experience of keeping warm or cooling.


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