“Companies that fail to adapt to changes elsewhere in their industry’s value chains are often blindsided by competitors who react to those changes” (Jones, 2010, pp 47). Within the last decade luxury market has changed dramatically. Marketing strategies of luxury brands should also rapidly change according to the changing needs of customers. The way luxury brand marketers sell their products depends very much on the particular country. Internet markets are dominant in the emerging economies with their development reflecting the trends in luxury brand production.
Best practices adopted by luxury brand marketers
The following are the best practices that lead to the success of a luxury brand. One of the best practices to market luxury brands is through online marketing. Brands like Jadelink, Levis and Nike adapt exclusive online marketing strategies entertaining customers to shop almost all products online from anywhere around the world. Another marketing strategy that helps in promoting luxury brands is mobile banner advertisements. Tiffany and Co. markets its products through mobile banner advertisements. Celebrity endorsement, social networking websites and online video ads are other few best practices. One of the prominent luxury brands Louis Vitton has dedicated pages containing online video advertisements for each of its products in famous websites such as Guerlain, Youku, and Cartier. In the present age, almost all luxury brands have their presence in social networking websites like twitter and Facebook with pages exclusively dedicated for their brands. Another famous Indian based diamond Jeweler, Titan Nakshatra believes in celebrity endorsement. Miss World and actress Aishwary Rai is the brand ambassador of that brand. Hosting extravagant parties is yet another promotional strategy (Okonkwo, 2009, pp 308). For instance, Damiani Jewellers, a Canadian based diamond jeweler host parties, very often, exclusively for its clients in order to impress them.
Worst practices adopted by luxury brand marketers
With changing trends of consumers it has become difficult for luxury brand marketers to interpret the best practices drawn from strategic and operational requirements of each luxury brand. There are too many worst practices followed by luxury brand marketers. Many marketers still rely upon acronym riddled traditions for marketing a brand rather than producing products that would real results and speak for their quality (Bruce, Moore and Birtwistle, 2004). It has been identified that many famous brands like Boton, Vero Moda and Jessie failed in the recent quality test conducted by Guangzhou Industrial & Commercial Administration Bureau (Globaltimes). Another worst practice is that the marketers rely on conventional marketing tools in order to promote their brands. For example the diamond Jeweller Orra still advertises its products in newspapers and sells them through retail outlets and has no provision for online shopping in its website. In addition to that marketers lack an idea of customer’s preference towards variety and the price of the products offered. Hope this picture would change soon!
- Bruce, Moore and Birtwistle (2004), International retailing: A case study approach, Butterworth Heinemann, New York.
- Globaltimes, Available at http://www.globaltimes.cn/NEWS/tabid/99/articleType/ArticleView/articleId/669145/More-luxury-brands-found-to-fail-quality-control-tests.aspx, Accessed on 20th March 2012.
- Jones G (2010), Beauty imagined: a history of the global beauty industry, Oxford University press, New York, pp 47.