Luxury Brand Touches Are The Trend Of The Times.
This is the nightmare of the supply chain of e-commerce because of the high added value and high output of luxury brands.
So these luxury brands must strategically consider how to pport their goods to digital tool oriented consumers.
To some extent, exclusive exclusive Luxury Retailing world has become the last barrier of shopping in the old era.
Hermes will not sell its iconic platinum packages online; the Chanel, with its unique purse and ladies' clothes, will only sell the brand perfume and beauty products on the Internet. You will not see any handbags priced at $3600 on the Celine website or even other department store platforms.
Even though some brands will be retailing through e-commerce platforms, they will not be overblown on Instagram or Facebook. All brand communication will pass through chic Madison Avenue.
Display window
Display, or Vogue, Elle magazine advertising presentation.
Experts say the way to deal with digital marketing is carefully considered.
In part, it ensures the exclusiveness of the brand and ensures that the high-end goods purchased by consumers are beyond the reach of others.
In addition, retailers may also want to draw a line between exclusive and popular online counterfeit products.
However, McKinsey Co's latest research report finds that everything except luxury business is wrong.
The electricity supplier channel is the key to improving sales volume and affecting the amount of purchases inside the store.
Nathalie Remy, one of the authors of the report, said: "this is a fairly traditional industry, and consumer experience has always been very important.
But now, for the consumers in twenty-first Century, the definition of customer service is very different from the past. The times have changed. "
McKinsey found that almost all the global luxury market growth in 2014 came from the electricity supplier.
In 2009, the growth rate of luxury business turnover was only 2%, and now this figure has climbed to 6%.
By studying the "shopping behavior" of 7000 luxury consumers in the world, it is found that 3/4 of luxury consumers will be influenced by digital information, including web browsing and social media.
McKinsey points out that perhaps the reason why luxury brands are less focused on the performance of e-commerce is that the target users of brands are usually older.
But the report found that among the luxury consumers, the baby boomers (who were born in early 1946 to the end of 1964) share the same amount of time on the Internet as the millennials, and have the same number of mobile devices.
In other words, the rich baby boom generation is the same as the new generation.
Online retailers
Target consumers.
Remy said: "smart phones are a trigger point, fundamentally changing user behavior."
The report found that every photo released by luxury brands on its official Instagram account has 10000 identical photos spontaneously emitted by consumers.
Many luxury retailers keep a low profile online to control brand image.
But this finding may indicate that this strategy does not guarantee brand control, but loses direction.
Consumer
The ability and influence of story telling.
If luxury retailers are fully developing online channels, Remy says they will face some unique challenges that are not the same as those in the mass market.
Remy said: "we feel that the real milestone in the market is coming."
At the same time, she added, some brands have entered the warm-up stage and will enter new sales channels at a faster pace than other brands.
Remy added that high-end products failed to provide the same experience as mass market retailers such as Amazon.
She said: "luxury brands have lost their historical advantages, so the question now is: how can they make up for this gap?"
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