October 1, 2018
NEW YORK - Luxury retailers need to create welcoming spaces to allow consumers to fully immerse themselves in brand messaging.
High-end stores are becoming more welcoming of different shoppers, an executive at Coresight Research noted during a fireside chat at Luxury Marketing Forum on Sept. 26. Other brands are becoming part of a "new luxury"
"The luxury store is the temple of the brand," said Marie Driscoll, managing director for luxury and fashion at Coresight Research. "It's where the consumer comes together with all five senses to experience everything about that brand."
Luxury Marketing Forum was organized by Luxury Daily, with venue sponsor UBS
Today, luxury stores are more inviting than in the past while offering unique products and experiences.
Luxury consignment platform The RealReal is one brand that Ms. Driscoll considers "new luxury" — inclusive and transparent brands are embraced by millennials and Generation Z.
The RealReal opens in LA. Image credit: The RealReal
Originally an ecommerce-only brand, the retailer has expanded to bricks-and-motar locations. When shopping at a physical location, consumers can learn from associates how to properly value high-end clothing.
Locations also include cafes and garden spaces where shoppers can relax.
Ralph Lauren is celebrating a fashionable milestone. Image credit: Ralph Lauren
U.S. fashion label Ralph Lauren is expanding its 50th anniversary celebrations to physical stores. Mannequins are dressed in iconic — and still wearable — looks from the last five decades.
Instead of exploring its history at its retail locations, Italian fashion label Dolce & Gabbana draws inspiration from its surroundings.
By including exclusive merchandise at each location, including city-specific pieces, Dolce drives traffic from visitors and locals alike.
Physical experiences and amenities remain a key loyalty driver, despite the growth of ecommerce in the luxury sector.
A new report from Fresh Relevance found that 43 percent of consumers prefer to try out merchandise in-store before buying online, and 22 percent prefer retailers that offer amenities. Along with services, retailers should focus on providing convenient ecommerce experiences and personalized communications to gain consumers' repeat business (see story).
As the holiday season is expected to see a healthy spend from consumers, luxury marketers need to attract gift shoppers with an emphasis on experiential retail that ties into the holiday spirit.
The in-store experience remains extremely important for holiday shopping, and not just in delighting shoppers. The need to attract them to physical locations is vital, as 42 percent of holiday shoppers shop spontaneously, says Bazaarvoice (see story).
"You're not compelled to 'buy now' [at luxury stores]," Ms. Driscoll said. "We're compelled to discover and feel at home.
"When we feel at home, that's when we buy."