Luxury market, conducted in the Internet Age
Guide language: Web has increasingly become a commodity sold the big stage. Today, the luxury goods but also to join them. Expected network may soon become a luxury retail market sales.
Luxury market will be faced with the lowest point ever. According to a new survey predicts the past few years, people’s luxury spending will be reduced 6 percent, fell to 29.47 billion euros. London retail analysis firm Verdict, said Japan and the United States will bear the brunt of their respective 14.6% and 12.1% face of declining sales.
Once the global economic recovery, a distinct luxury retail market will appear. Which are now fashionable eye-catching than the appearance of goods, consumers are more inclined to the conservative products – According to the survey, people’s demand although fewer, but more requirements in terms of quality excellence. The Internet will become an important channel for selling luxury goods to help them to expand markets and reduce costs. While luxury brands are usually the use of e-commerce is not so positive, but this change will encourage retailers to sell their business innovation.
“The Internet is particularly suitable for jewelry accessories, such as watches and jewelry, they do not like the clothes do not fit as a fit problem, and online retail platforms such as the private sector can provide just the design and production of personalized service.” Verdict said the company , other luxury goods companies will have to look for measures to cope with the volatile currency markets.
To seize the customer’s heart, or eye
At one time, high fashion brands are always superior attitude, accept the cult of the people who love fashion. The heavy door of their store is always tightly closed, and only a few in each country set up shop in several cities. This situation seems to be gradually changing.
This year in June, Dolce & Gabbana announced the formal establishment of an online store dandgstore.com, selling goods among men and women clothing series, there are accessories, swimwear and perfume and so on, and its cover as many as 31 countries. As early as in early 2008, Yves Saint Laurent’s design director Stefano Pilati in order to save expenses, had the YSL Rive Gauche men’s range of conference, autumn and winter scene shifted to the network, while the form of video-branded Web sites, YouTube, and Nick Knight’s SHOWstudio published.
When the Christian Lacroix, Just Cavalli High fashion brands such as the news have spread the brink of bankruptcy, brand awareness, superior attitude as if does not work. In addition to price cuts, it also must provide customers with more shopping channels, so as to enhance their sales performance; the other hand, those who would otherwise purchase of a few big-name apparel, customers may now only focus on a brand above the and therefore bear the brunt of all the brand needs to be done is to seize the hearts of customers, so that they become his loyal buyers.
The most effective way? Of course, the network.
Network evolution to today, has become an indispensable part of people’s lives. Network interaction, openness and timeliness so many former can not become possible. And as YouTube, Twitter, and online communities like Facebook, but also the sharing and interactive features will be played to the limit, this stage is called “Web 2.0 era.” For those first-line brands, in order to play well “affinity card”, to narrow the distance between the brand and customers, do not use the Internet, it’s like the talk.
Interactive, or wait and see
However, the Web 2.0 era has brought not only opportunities but also risks. The network characteristics make everyone can speak their minds, brands are in this area, has lost in the traditional media as a powerful control; while some countries with a large number of loyal readers well-known blog, it can offer many brand integrity while the value of feedback, on the other hand, brand blog, if subject to criticism, negative impacts can be significant. Is a step forward, or continue to wait and see? Alexander McQueen and Louis Vuitton to make a different choice.
Alexander McQueen is not only set up their own online communities, but also employed a MySpace user for its brands aimed at young people McQ planning advertising; Louis Vuitton here seems little more cautious, even though several cities have opened up an online shopping service, However, online communities and forums, seems uncertain. However, there is little the same, the two brands and blog writers have maintained close contact, and in order to deal with media standards to treat these writers.
And the Louis Vuitton brand, like staying on the sidelines holding a minority, such as Gucci, Bottega Veneta, Emporio Armani, and Dolce & Gabbana, etc. Although these are big line on the Internet to sell goods, still not a established his own online community. Like Louis Vuitton senior said: “We are still in wait and see during the … … After all, the Internet is a no bottom line, beyond the control of the world.”
There is no bottom line, not control it. Perhaps this is a lot of first-line brands on whether to take “interactive” This is a move up her mind, one of the reasons, after all, water can carry a boat can also capsize.
This concern is understandable. The long history of luxury brands took a very long time to shape their own brand image, a lot of energy to control the media and advertising in promoting their own products used by the rhetoric and context, which is in open communication, once all the space, its perfect difficult to ensure that the image is not undermined. Like “The market is a conversation (The Cluetrain Manifesto)” said: “People here know more about themselves than the brand of their products. Moreover, whether good or bad news is, they would tell everyone.”
Expedient still insist on posture
The most expensive Vertu mobile phone from the June 24 start in the (Western Europe, a brand-name discount site) to do online promotions, the price will be four off the original retail price. This online style price cuts include the Signature Diamant, Constellation and Ascent, are the seasonal series, also in Vertu’s sales in stores. Signature of this Series is in September 2008 in Paris, launched in just less than one year were classified as to the promotion of. But at the same time, those who will be four fold to do promotional mobile phone Vertu series actually still on the official website.
All sales where the brand is doing the same, the whole price-cutting products will be sold out within a few hours; but these are usually not sold the stock the previous quarter. Obviously the Vertu does not comply with the golden rules of retail that is, “never able to cut prices to sell the shelves in retail stores buy seasonal goods.”
Some brands choose to maintain his own position, walked the traditional old, not to explore the Internet store, do not interact online. Chanel is one of the representative. In May this year, Chanel posted on its Web site the latest No.5 perfume commercials, and the square in this fashion last year co-exclusive video site a series of advertisements broadcast video, but these videos have been reproduced is strictly prohibited and any person who try reproduced, will jump out of line “will be held liable,” the letter, but the audience wanted to comment have no way to start with. Chanel insisted not to sell their goods online, although the loss will be a lot of money every year, but to ensure his “own nose clean” of good reputation, merits and demerits of, is hardly conclusive.
While the same brand of Christian Dior in France has been actively using a variety of network resources, the brand promotion. This year, May 20, Dior online release of the film “The Lady Noire Affair”, which is Dior created specifically for the network a series of short films (a total of four, each about 6 minutes) the first part. In order to promote this series of short films, Dior make full use of the network propaganda advantage. It first established by the end of April this year, the web site, and then carefully selected a group blog, in the above paragraph 8 seconds broadcast of interactive video clips. On the screen, Marion Cotillard for Lady Dior interpretation of Lady Dior handbag in hand, video clips to people two questions: “What is her handbag?” “She was looking at what?” Then, Lady Dior topic also appears in Twitter, in a day and will be updated a twit, while also continue to add more Snapshots.
More than that, Dior and other sites through co-operation to encourage people to go there to look for clues Lady Dior and give prizes discoverer. At the same time, Dior Youyi e-mail form to send promotional materials to customers in Europe, and intends to make trailers spread each site and blog.
The results showed that this ad campaign has made remarkable success: There are more than 1200 websites that broadcast the Department of 8 seconds of the interactive video clips; Twitter, there are 1300 (the number continues to increase) the follower always concerned about the Lady Dior dynamic; about 100 million Web sites mentioned in the film; and www.ladydior.com Since its inception, has been more than two million hits; more worthy of attention is only one month, Dior world had the same number of landing sites Over the past 6 months the total number of flat.
Whether, like Chanel so insistent on their own high-profile, or, as Alexander McQueen, or Dior, as measured by a more proactive manner and consumers closer relations, there is a trend will not change, that is, the network’s impact will be more on the fashion to the greater. Like Luxury Institute’s CEO Milton Pedraza said: “The brand and among the public dialogue on the network will be the trend – especially those who update cycle is short, driven by the trend of the industry, such as fashion. To create these interactive communities, and may be the brand consumers and fans, may be an independent third party, it could be the brand itself – or three seven men are. In any case, most of the luxury brands will eventually enter a new era of Web 2.0. ”