OPPapers.com

Luxury Marketing

Luxury Marketing
Luxury Marketing is the art of pampering customer’s senses and ego – overtly, so the world notices. Price is no real objective, as for many the greatest luxury is showing the world prices don’t matter to them. The Theory of Giffen Goods can also be applied to the luxury segment because of their exclusivity. Luxury fundamentally revolves around experiences and service. Luxury marketing is becoming particularly important in emerging economies like India, where the new rich want to announce themselves and the old rich want to separate themselves.
Luxury Brands
Leading Brands of the World aims to effectively communicate the unique essence that is embodied in every brand to those in the brands target audience. A prominent shift that is taking place in luxury markets today from 'Old world luxury charm' to that of 'New world luxury charm' reflects the challenges that luxury brand marketers could face if each luxury target segment is not correctly addressed. Each market differs in cultural, rationale, sociological & emotional values and understanding these emotional value ties to that of a sentimental purchase is vital for successful brand penetration.

Old world luxury charm is deep rooted in the attributes, qualities and features of the product whilst 'New world luxury charm' is defined by the consumer who focuses on the experience of luxury deep rooted in the goods and services they purchase and not in the ownership or possession of the product itself. So 'New luxury' is about the experience of luxury while 'Old luxury' is about the product itself.

All luxury segments such as property, auto, apparel and accessories, manufacturers are reporting enthusiastic sales this year. The reason is simple — the uber-rich consumers’ boisterous lapping up of products and services that command a premium.

The 8 P’s of Luxury Marketing

1. Performance: The delivery of superior experience of a luxury brand at both levels – product level and experiential...