Barbara Jarabik: Make sure your messaging is consistent – from your website to your social media posts, everything should reflect the luxury image you are trying to create. Be strategic in your use of social media marketing – a luxury brand should be active on social media platforms to generate brand awareness. However, it’s important to maintain a sense of privacy and exclusivity with your online presence. You should also consider the demographics of your target audience and use the digital platforms that will reach them most effectively. It is forecast that Gen Y (born between 1981 and 1996) and Gen Z (born between 1997 to 2012) will represent 45 percent of all luxury sales by 2025. Therefore they should play an important part in your digital marketing strategies.
Adidas purposely only creates a limited amount of every new model to make them appear rare. While they sell for $200 from a retail store, they are often resold for upwards to $1,000! This is also an excellent example of using scarcity to entice people to purchase the shoes because there’s a good chance they won’t be able to get them or they’ll have to pay insane resell prices. Another brand we can learn from is Paul Parkman. This luxury shoe company uses exotic materials like crocodile and python to make their footwear one-of-a-kind.
Exclusivity is fundamental to luxury brand marketing as it maintains consumer desire through scarcity and rarity. If anyone could walk into Louis Vuitton and buy a handbag, Louis Vuitton would lose their appeal to those who wish to have something that others can’t get access to. Given the Internet’s accessibility and autonomy, many luxury brands worry about losing their sense of exclusivity when it comes to going online. This, however, is flawed logic.
You’ve written ads to catch the eyes of affluent searchers. You’ve negated keyword modifiers that imply discounted pricing. Now let’s dive into income-based geo targeting. This is another truly phenomenal way to cut wasted spend and ensure the ads you’re paying for end up in front of the right people. How do you make that happen? Simple. According to Google, income-based location targeting is “based on publicly available data from the US Internal Revenue Service (IRS), advertisers are able to target ads to certain areas according to their average household income.” When you created a customer profile, detailing your ideal consumer, average household income was probably something you considered. It’s part of how you determine what you sell and how you sell it. Now you can leverage IRS data to help you to discover and advertise to these fine folks. And the best part? You can layer income-based targeting with your other location targeting for maximal effect. This means you don’t have to wholly exclude areas that fall outside of those designated as having higher household incomes; you can create separate campaigns (ensuring your budget is skewed towards geos in which the likelihood of your ideal prospects living there is greater) or just use bid adjustments.
According to a report by McKinsey digital now influences at least 45% of all luxury sales. It’s understandable why luxury brands have been hesitant to move online. Yet, with print and display advertising returns decreasing, and luxury shoppers spending more time online and on mobile devices, luxury brands need to not only adapt to survive in the digital universe, but to thrive also. While the strategies outlined below will provide useful inspiration, it’s worth pointing out that the best strategies will always come from clarifying your goal, breaking it down and brainstorming brand-specific solutions with your team. For this we’d recommend using a tool like TrueNorth or one of the marketing planning tools mentioned here. Read additional details at https://www.behance.net/barbarajarbik.
Digital signage mirrors are another way for luxury brands to advertise efficiently : The world digital signage mirrors market was valued at USD 780 million in 2021. The global market is expected to grow steady at a CAGR of 12.21% to reach USD 910 million by 2023. Digital signage mirrors can greatly improve individual efficiency by choosing outfits as per weather updates while also offering bus and train schedules (including traffic updates). Digital signage mirrors in smart homes, planes, commercial spaces, hotels, etc. are designed to be connected to users as well as with different devices around. Energy efficiency is one of the major advantages that will drive the adoption of digital signage mirrors.