How Should Tiffany Face The Challenge Of Gift Labeling?

The core of new luxury consumption is not only to bring fresh and personalized products and services to consumers, but also to establish emotional connections with them.

Social media has been so developed that consumers will no longer be willing to passively accept or cater for brands to convey information through stores and the media.

In other words, many luxury stores have long relied on VIP membership, strict security and different attentions to create a high-end sense of the market approach has been unable to impress the present.

Now.

"Slowing consumer spending, uncertainty in the global economic situation and intensified challenges in the jewellery market will have a negative impact on the overall turnover of the group."

Tiffany&Co. group CEO Frederic Cumenal has recently been publicly stated.

But complaining about the bad economic environment does not bring any benefits to Tiffany, it must speed up the search for new profit points.

To change the status quo, the first thing is to get rid of the "gift" label in the brand image in the past 180 years, that is to say, you have to let consumers buy products for themselves instead of always selecting gifts for others.

In the last quarter of 2014 to 2015 fiscal year, Francesca Amfitheatrof, the new design director of Tiffany, released her first model.

"Tiffany T".

This series does not contain a large number of gem elements, but the Tiffany Logo "T" with rings, bracelets and necklace design, with a small number of broken drill.

According to Tiffany's official account, this series of target customers are free and independent urban women rather than men who buy gifts for wives or girlfriends.

This series is selling well as Tiffany expected, but the official did not disclose the specific sales figures.

"Tiffany T has maintained a strong growth momentum, but it did not pull the Tiffany's others as expected.

Sales growth. "

Oliver Chen, an analyst at Cowen & Co., a US investment bank, pointed out in relevant reports.

Tiffany T is doing well. Although it still faces the same problem of simplification as flagship product series, it still lets Tiffany see hope, so the brand decides to continue developing new categories to attract consumers.

In April 2015, Tiffany launched a new retro style wrist watch series Tiffany CT60, which is divided into two kinds: 18k rose gold and stainless steel. At the same time, different sizes are designed for women and men respectively.

This time, however, Tiffany is a bit of a mistake. In the downturn of the luxury goods industry, the first category is the watch. It is by no means a clever move to introduce the category far away from consumers' recognition of the brand.

"Watches are the highest technology category in the entire luxury industry. Hermes makes watches. Many luxury brands also make watches, but the best technology and tabulation story is always in Switzerland," Lou Yan said. "Market, industry and consumers think so."

Although Jon King, vice president of Tiffany, claims that Tiffany has 186 years of tabulation history, it uses Swiss made automatic chain movement and polishing process, but the contribution of wrist watches to Tiffany brand performance in the past 186 years has accounted for some problems: in the past, it was mediocre, and there was no reason for it to be effective in the low tide period.

After excavating its creative director Grace Coddington as the first creative partner, Tiffany increased the budget and intensity of quarterly marketing.

Cumenal feels that the business cycle has become "unpredictable". We must seize the time to find new consumers.

Tiffany recently signed a cooperation agreement with Net-a-Porter, a luxury electric provider, to enable Tiffany T to cover consumer standards in more than 170 countries. Tiffany's self operated e-commerce providers only covered a small number of European and American countries in the past.