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    Want To Tell The Electricity Supplier Love Is Not Easy, Luxury Brands Need To Continue To Break Through.

    2016/8/17 17:14:00 39

    Luxury GoodsDiorElectricity Supplier

    At the beginning of this month, France

    Luxury goods

    Brand Christian Dior (

    Dior

    On its official WeChat public platform, it released the "Lady Dior Small handbag Tanabata limited, online boutique sale" news, becoming the first luxury brand to sell handbags through "micro business".

    Before that, there were many luxury brands such as Cartier (Cartire), IWC (Wan Guobiao), Montblanc (MontBlanc), Longchamp (long) and so on, which opened WeChat online sales platform.

    These unusual actions are not only surprising but also reflecting the efforts made by luxury brands in the past to seek new impetus for growth.

     Fendi

      

    Luxury brands really love

    Online retailers

    "The bulwark giants have refused to enter the fortress of the electricity supplier."

    This is probably the most commentary on luxury brands in the industry since last year.

    According to reporters, Fendi (Fendi) began to develop e-commerce business from last spring.

    Chanel began working with Net-a-Porter in April last year to boldly use jewelry to test water suppliers.

    At the same time, Gucci's electricity supplier plan is being implemented step by step, launching a new US website.

    At the end of last year, LVMH also kept pace with this rhythm. Its brand TAG Heuer entered Jingdong and Dior was constantly bombarding in the US.

    In July of this year, Prada also couldn't sit still, announced the opening of online sales business in Europe, and launched cooperation with Net-a-Porter and Mytheresa.com.

    The luxury goods who have hesitated or even rejected the electricity supplier seem to see the way to go in the future.

    Gucci CEO Marco Bizzarri said in a June public speech that she hoped the company's e-commerce business could quadruple.

    Zegna, a high-end menswear brand in Italy (Zegna), has also expressed interest in the electricity supplier. Recently, a phrase on its top floor is worth remembering: "making electricity providers does not mean that the future can only live on line.

    But if you don't give consumers the choice, then it's out of date. "

    "In 2016, more than half, but the luxury retail industry is not having a good time, and the share prices of luxury group such as LVMH and Kering are all down.

    Many of these are implicated in the decline of traditional retail and tourism performance.

    But what should be seen is that fashion retailing has changed. The electricity supplier is of great significance to the future development of luxury brands. "

    Commentators commented.

    Reporters learned from a report by L2, a business intelligence agency, that online luxury sales increased by 20% in 2015, which is nearly 3 times faster than the overall luxury market.

    McKinsey's report also shows that luxury sales account for 6% of total sales of luxury goods, about 15 billion 500 million U.S. dollars.

    By 2025, this figure is expected to rise to 28%, and sales will reach $77 billion 600 million.

     Luxury goods

    Luxury brands are the ones that electricity providers have to face.

    When luxury brands have turned their eyes to the electricity supplier, the first step they need to solve is the following step.

    Question one: how to pplant the luxury sense of luxury goods?

    The sense of luxury and ritual of luxury consumption often brings great shopping experience to customers.

    Compared with the physical stores, luxury goods to achieve this point on the electronic business platform has become the most difficult thing.

    Although online shopping for luxury goods is not discounted, shopping experience may be greatly reduced.

    According to analysts at Forrester, luxury brands have been reluctant to do business in the past. A big reason is that they focus more on store experience rather than on how many products they sell.

    "Many luxury brands do not support online sales because they are looking for more than dollars."

    Many luxury brands are also working hard to solve this problem.

    For example, Burberry has played the role of digital pformation.

    The front page of its online store has a clear scrolling picture showing all kinds of new products. These pictures will be synchronized with the major magazines, and the new products and models will also appear in various shows.

    This combination makes Burberry's online store an interesting and creative platform.

    However, in order to emphasize differentiation and characteristics, luxury brands may be over the top in some ways.

    Foreign analysts pointed out: "web pages too complex may cause browsers to crash, so some products can not be displayed in digital form."

    So, it is still a long way to go to put the cultural gene and spiritual consumption inherent in luxury property into the virtual shopping platform.

    Question two: just selling online is far from enough.

    Last year, McKinsey made a survey of the consumption habits of 7000 luxury consumers in the world. According to the results, it appealed: "luxury goods, if you don't pay more attention to the electricity supplier channel, be careful of your sales."

    Reporters learned from the report that most consumers have adapted to the normal way of all channels.

    Whether in stores or on computers or mobile phones, through Instagram or marketing e-mail, consumers hope there is no obstacle between different shopping channels.

    McKinsey reminds luxury brands not to belittle social software, because "it's not just a toy for young people".

    According to the survey results, luxury consumers are most obsessed with digitalization, and are also the most active social media users.

    At least 80% people play social software once a month, and 25% use social software every day.

    {page_break}

    Therefore, McKinsey believes that luxury brands should shift their attention from the website to the new media.

    Because the target users of the website are older consumers.

    And McKinsey found that the baby boomers (in the United States refer to 1946-1964 years of age) and the "millennial generation" (born in 1984-1995 and accompanied by the Internet) spend as much time on mobile devices.

    In other words, the wealthy baby boom generation is also the target consumer of luxury goods.

    "If we are bold enough to open up online sales channels, luxury brands may encounter some unique challenges that they will not encounter in the ordinary consumer market."

    The report points out that

    In the next five years, the "interconnectedness" of consumers will increase. Through the Internet of things, social business and other elements, luxury brands will face the challenge of cross channel and nonlinear attracting consumers.

     Luxury goods

    Question three: how can we not be upset by the price system?

    In addition to giving consumers a sense of honor, luxury brands also have a very important point of credibility, which includes their "never bow" prices.

    It is understood that many luxury electronic business platforms will attract consumers with low price discounts, which is the most dissatisfied part of luxury brands, because they worry that this will upset their price system.

    The prices of luxury brands are exactly the same as those of offline brands, but other luxury electronic business platforms often have their own discount tempo.

    "A large number of sales channels can expand sales, but for luxury brands, on the one hand, many products are made by hand. They will worry about not keeping up with production. On the other hand, they also hope that performance will gradually increase and sustainable development, rather than soaring or falling."

    Insiders explain this.

    In addition, Gachoucha Kretz, a luxury research expert and marketing professor at HEC business school in Paris, has told the media that there are too many exposures to the e-commerce platform. "Consumers can not only compare different products, but also compare different brands.

    This is not a good thing for luxury goods. For example, different luxury brands have "Boston bags" and have similar designs.

    All this may become a painful point for luxury brands to do business.

    Of course, in the actual operation, the luxury brands will encounter more problems in the process of changing the business model, but it is always hopeful to take a step.

    How magical is China's electricity supplier market to luxury brands?

    Online, luxury brands will never dare to belittle the Chinese market.

    With the growth of luxury brands at present, China's online fashion and luxury goods market is becoming more and more important.

    Although these luxury brands will take some time to enter the Chinese electricity supplier market as official status, China's various types of fashion business platforms gradually began to take shape from three or four years ago.

    For example, consumers can buy licensed luxury brand products on the platform such as walking show and temple library.

    It is understood that the ranking from the show network and Temple store mall also shows that LV, Hermes, Chanel, Gucci, Burberry, Cartier and other old brands are most popular among Chinese consumers.

    Philip Plein and other high-end personal brands are also moving rapidly. The strength of slow hot Valentino and Fendi in China is also rising.

    LucaSolca, a bank analyst in Paris, France, once said that when luxury companies realized that adding physical stores was no longer the only choice, the Chinese market had been infiltrated, and the market position was occupied, so they were looking for more opportunities for growth.

    In the past few years, China's market sales have increased by 30%, giving the convenience of consumers online and the seamless connection with offline stores. This high speed growth is expected to continue.

    This is the most luxurious brand's attitude towards China's electricity supplier market.

    A luxury electric business operator told the billion state power network that these luxury brand headquarters allocated limited inventory to the Chinese market, they optimistic about China, but also worried that the proportion of electricity supplier sales was small, and input output was disproportionate.

    In addition, the fakes and pricing problems commonly existed in the Chinese electricity market have made them hesitate.

    "They decide to communicate with each other for a long time, but the Chinese market is changing too fast."

    Luxury brands need to sort out the "love hate" sentiment on the Chinese electricity supplier market. There is no answer yet, but this "China electricity supplier dream" is still looking forward to.

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