In the second of two posts, we explore more ways of ensuring your luxury brand stays relevant in a digital world.
If you’ve already read the first part of this post (and if you haven’t, you can find it here) you’ll already have explored 8 ecommerce and experience-based considerations that need to form part of your next marketing plan.
In this post, we consider the experience and industry-based predictions that need to be factored into your CRM strategy.
9. Make lasting impressions count
Constant connectivity doesn’t simply enable more efficient marketing and distribution of premium goods. It can also encourage greater consumption of luxury content, from editorial spreads to the sort of ad campaigns that go viral on Instagram.
The sheer variety in the potential to exploit ever-more-visual forms of media – to shape brand identity, create potent touchpoints and ignite the desire to own your luxury products – will challenge traditional market share assumptions, and make it ever more vital that your online presence extends beyond basic ecommerce.
10. The robots are coming – to boost productivity
The concept of chatbots and AI self-service may leave you rather cold at present. After all, a prestige brand shouldn’t be sullying itself with crude technology that customers can always, always spot a mile away.
But AI advances are unrelenting. Soon, robotics won’t be something you do to create a cheaper, mass market (and therefore less personal) level of service. They will be how you enhance the customer experience. So start building greater investment into innovative technologies now, because chatbots, robotic customer service assistants and intelligent fulfilment systems are set to redefine the way we shop.
11. Virtual reality shopping – expect to see more
If your opinion of VR is that it’s purely for gaming (and the occasional retail gimmick) then you really haven’t been keeping up. Saying “no area of retail is immune from VR” sounds like a threat, but in reality it’s a glorious, immersive opportunity. And with the level of sophistication now available – and when used appropriately – it’s something that can be entirely suitable for luxury brands.
12. Make retail a destination
The concept of combining pure retail with additional services such as grooming or a members’ club may not be new, but it remains a powerful way to create a retail destination and experience. What’s set to change is the way CRM supports the natural synergies between shopping and the broader experience. Because only when the two are rooted in an authentic brand promise, integrated through all customer touchpoints, will customers truly be won over.
13. Identify your profitable product core
Intense competition places limits on the scope of any luxury brand’s natural expansion, so brand strength will be essential in meeting challenges of new markets. When assessing additional product lines, therefore, base them on your existing capabilities.
14.Develop the infrastructure
Decreasing foot traffic and the speed of the fashion cycle are likely to continue weighing heavily on retailers’ minds over the coming years. Consider the unused potential in your CRM system for helping you identify the supply chain improvements that can enable you to respond.
15. Embrace “cewebrities”
The luxury market is as susceptible to the effect of web celebrities and influencers as any other.
Consumers follow influencers because they feel they are an authentic source of deep product knowledge and that their opinion is of value. Brands that embrace such opinions will have a much stronger, independent voice in the marketplace – an advocate who can say the things you won’t, and access the people you can’t.
So if your brand has traditionally used exclusivity as a tool, it may be time to reconsider.
Does VR, AI, social media and disruption represent a daunting prospect for your luxury brand? We can help you set a strategy for the future. Drop us an email and let’s discuss.
CRM Divisional Director