Online Marketing For Luxury Goods And Services
In the last decade or so, techniques in digital marketing have changed the way goods and services are being marketed. From traditional industries such as law and financial services to emerging industries, methods in digital marketing have increased lead generation and allowed communication to be more forthcoming between brands and consumers. In recent years, traditional luxury brands are adopting digital marketing to improve sales and brand awareness.
First of all, to define digital marketing: this is simply the targeted and measurable marketing of goods using digital channels to convert customers. Some people will argue that the sole purpose of digital marketing is to boost sales. In addition to increased sales, digital marketing is very effective in cultivating brand loyalty and interpreting customer behaviors for marketing campaigns.
For luxury brands, the potential benefits of digital marketing is too good to miss. Reputation, brand perception and customer service are all vital to the longevity of prestige brands and this is exactly what online marketing can achieve for them.
Online marketing methods to promote luxury brands
Luxury brands look, feel and communicate the experience of luxury. At the heart of successful digital marketing campaigns for luxury brands is the promise of this luxurious experience. Here are the main ways prestige brands conveys this to target consumers:
1. Luxury brands use online marketing to showcase their high standards of service
Businesses in the luxury industry care greatly about customer loyalty and satisfaction. Many of the most luxurious catering, hotel, lifestyle, travel and fashion brands in the world communicate about their exceptional customer service and customer satisfaction in their content marketing. Testimonials, reviews and content generated by customers are amplified using digital marketing until everyone knows about it.
2. Luxury brands can control their image using multiple marketing platforms
Once a brand establishes itself as a luxury brand, it will go about communicating this using digital channels. The brand will have an air of exclusivity and only linked to other luxury lifestyle websites or publications. Money and effort is invested in creating luxurious looking websites, ad campaigns, mobile apps, marketing videos and online content. Digital marketing spends for luxury brands can go into the 7 or 8 figure range.
3. Customer service is personalized and loyalty rewarded
Luxury brands rewards customer loyalty with perks and upgrades. The standard of customer service for luxury goods and services is already high; loyal customers will be rewarded with exclusive products or sneak peek of products before general release. Customers can subscribe to luxury brand newsletters and digital video channels. Luxury brands collect the email addresses and customer data for personalized email marketing further down the line.
4. Review sites are carefully monitored by luxury brands
Customer reviews can make or break a luxury services business. Positive review can increase conversions dramatically. Online reputation management is a big part of a luxury brand’s digital marketing strategy. Some will hire diligent reputation management agencies to respond to any negative reviews or remove false reviews altogether. Luxury brands are aware of what customers are saying about them publicly on social media channels so they will monitor the social media platforms constantly.
5. Luxury brands can launch their own review/forum sites
Luxury brands have the resources to launch their own review sites for their own verified customers. Independent review sites do not have the strict filtering in place for genuine customers. In this way, luxury brands can manage any disputes or address issues raised by genuine customers.
6. Social media accounts are managed 24/7 by luxury brands
Social media management for luxury brands is 24/7 in different time zones and for multiple social media platforms. Response rates for luxury brands are high and messages are replied to within 1-2 hours.
7. Customer communications are dealt with in a professional and timely manner
Bad customer experiences are dealt with using a professional manner on social media and online review sites. Luxury brands are very responsive to reviews because they invest a lot of time and money in cultivating a perfect reputation. Great reviews are acknowledged by luxury brands and shared across social media channels.
8. Luxury brands use contests on social media
Prize draws bring awareness to their brand and also to reward fans who follow their updates closely. Any engagement through digital channels will help to promote luxury brands. Contests may attract leads that have never purchased from the brand before.
9. Luxury brands consult multiple marketing agencies to target customers globally
To create global marketing campaigns, luxury brands will liaise with digital marketing agencies around the world for different perspectives and culturally sensitive ways of targeting their global customers.
10. Luxury brands marketing teams work closely to create consistent messages
The different marketing teams liaise with each other to create a harmonious message for consumers of luxury brands. The more cohesive the message, the easier it is to build a brand for longevity.
11. Luxury brands reach out to other brands for content marketing
Many luxury brands team up with complementary brands in the luxury industry to create content that appeal to their target demographics. For instance, Louis Vuitton partnered with Square Enix in 2016 to target their well heeled gamer clientèle, Chanel partnered with Billionaire Boy Club founder Pharrell Williams for an exclusive new collection in select boutiques, and smartphone compamy Apple teamed up with Hermes to release an ultra luxe smart watch.
12. Luxury brands use digital marketing for effective story telling
Behind every luxury brand there is a great story of craftsmanship and passion. Luxury brands will use every opportunity to romance audiences with their brand heritage and what compelled them to create the brand. Patek Philippe, Kuoni (established 1901), Mont Blanc and Caron Paris are exceptionally good examples of this.