Until recently, luxury products could be associated with something that is available only to a select few. The slogan "luxury goods market" evoked images such as expensive yachts, sports cars or watches worth several dozen or even several hundred thousand. In recent years, however, the marketing of luxury products has undergone a major transformation. Now luxury is perceived differently and, what's more, it is available to a wider group of people. Contents Marketing of luxury products and its evolution 1. Exclusivity takes a backseat 2. The number of retail customers is decreasing 3. E-commerce is gaining importance 4. The world's middle class is growing Marketing of luxury products and its evolution A great example of how the marketing of luxury products is changing is Apple's cooperation with the fashion giant Hermès a few years ago, which resulted in a special edition of the Apple Watch.
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definitely not cheap, but they are also not expensive enough for most people to call them luxury some time ago. The thing is, luxury product marketing doesn't look like it did just a few years ago. It's not just about fabulously expensive cars, products studded with crystals and things that are several or even several dozen times more expensive than their quite good quality counterparts. The definition of luxury goods has changed a bit, and with it - the entire marketing. It all comes down to 4 things in total. 1. Exclusivity takes a backseat Living in luxury no longer means having products that make it difficult to doubt that a person is really rich. Exclusivity has largely fallen into the background, which is confirmed by research and reports, such as Albatross Global Solutions and Numberly "The Journey of a Luxury Consumer".
It turns out that for consumers the key determinant of luxury is not exclusivity. What's more, it doesn't even take second place. She dropped to third place. In front of it is quality, and in second place is elegance. Currently, when consumers reach for more expensive products, they look primarily for reliability or good appearance. brand identity, the feeling of belonging to a specific group and not falling behind, e.g., peers are also important. Exclusivity fades into the background. Most millennials don't care at all about showing off their wealth. For them, the most important thing is to keep up with their peers and have items that fit their lifestyle. Many of them reach for luxury products to gain recognition from friends, emphasize their status or gain social acceptance. This means that the needs and desires of luxury buyers have changed. Brands must therefore adapt theg People are no longer looking for a sense of uniqueness to the same extent as it was some time ago. It is true that offering limited editions or limited sales times still works, because then the FOMO effect works. However, if you take into account all buyers, retail sales and difficult availability no longer work.