The impact of the COVID-19 coronavirus outbreak and resultant lockdowns on the luxury business was the nub of the discussion between The Luxury Item’s Scott Kerr and Mickey Alam Khan, editor in chief of Luxury Daily.
In this podcast, Mr. Alam Khan shares reasons why the luxury business will bounce back again, and which consumers will most likely not return to luxury shopping for a while. He also debunks the idea that consumers will swing back entirely from experience to owning product, even clearing a misconception.
“We should not confuse experience with not owning product,” Mr. Alam Khan said.
Founded by Mr. Kerr, The Luxury Item regularly interviews luxury leaders. Mr. Kerr’s day job is president of Silvertone Consulting, a New York-based brand strategy company. Before launching his company in early 2018, he led global strategy & insights for Time Inc.
New York-based Luxury Daily is the world’s leading business publication covering the luxury ecosystem and brands delivering high-quality products and services.
Measured, but optimistic tone
In this latest interview, Mr. Alam Khan shares some of the biggest lessons he has learned from covering the COVID-19 pandemic since it started affecting luxury goods sales in China.
Mr. Alam Khan talks about the future role of department stores, and why having strong digital, ecommerce and customer service strategies will be key to a luxury brand's survival.
In the podcast, Mr. Alam Khan discusses how an upended luxury travel industry will change, and whether social media influencers will matter in a post-COVID-19 world.
Also, when the United States and Europe emerge from full quarantine, do not expect the same revenge spending as in China, the editor said. Sustainability will now have to take a backseat to safety, too.
Mr. Alam Khan reminds us that the luxury business was doing quite well, thank you, until the COVID-19 virus forced governments to shut down stores and physical business operations.
So he is skeptical with the rash of solutions from consultants to fix a luxury business that is still figuring out where it stands between government and consumer actions.
“You can’t plan for victory while you’re still in the battlefield,” Mr. Alam Khan said. “You can hope, though.”