Havas Media Network’s Post

With Millennials and Gen Z consumers comprising over 40% of all luxury spending —according to a report by Luxe Digital— luxury brands are in an arms race to build their digital capabilities and become sophisticated in an area they might have traditionally ignored. Luxury brands are embracing digital and taking talent in-house—a key trend shaping the luxury commerce landscape today. Read more trends, challenges, and champions in the space in Havas Market’s Redefining Luxury in the Digital Marketplace white paper: https://lnkd.in/emuWau8M #LuxuryeCommerce #MeaningfulShoppingExperiences #RedefiningLuxury

👀 The world of #luxury retail is experiencing a fascinating transformation. While established brands still cater to their loyal clientele, new generations of discerning shoppers are entering the scene, demanding personalized and digitally-led experiences — so much so that #Millennials and #GenZ will account for 75% of luxury goods buyers by 2026. To thrive in this dynamic landscape, luxury brands must understand the nuances of different shoppers and leverage technology to provide the desired experience. This guide highlights different types of shoppers that will be crucial for growth in 2024 and what brands can do to meet their needs 👉 https://lnkd.in/dxVphxhm

Do you know why Luxury Retailers Are Opening More Stores At International Airports? In today's market, catering to digitally savvy consumers—particularly Millennials, Gen Z, and the emerging generations—requires more than just traditional brick-and-mortar strategies. These demographics seek a seamless omnichannel experience that combines the convenience of digital shopping with the tactile engagement of physical retail. Airports present a unique opportunity for brands to connect with these consumers beyond their screens, fostering meaningful interactions and brand experiences in a physical environment. Read this Forbes story for Yukun Bi's insights on the matter! #travelretail #luxurymarketing Worldwide Partners, Inc.

The #luxury market is undergoing a seismic shift, and it's all thanks to Gen Z. Today, the younger generation is redefining what it means to indulge in luxury. By delaying #discretionary purchases and prioritizing experiences over material goods, we’re seeing Gen Z make fewer impulse buys and more thoughtful investments. This customer set also expects environmental and social responsibility from their favorite brands, demanding transparency and ethical practices. So, what does this mean for the future of luxury #retail? → Personalization Will Be Key: Brands must offer products that can be tailored to individual preferences, such as custom scents, personalized #fashion or bespoke experiences. → #Sustainable Practices Are Non-Negotiable: From sourcing materials to packaging, every aspect of the supply chain will be scrutinized. Brands that fail to meet these expectations will lose out. → Digital Engagement Is Crucial: Gen Z lives online. Brands need to engage with them where they are - on social media platforms and #digital marketplaces, leveraging analytics to understand their preferences and behaviors. The luxury market is not just being reclaimed by younger generations; it's being redefined. Is your brand adapting to meet the demands of Gen Z? We’re here to help you navigate the changing luxury landscape and prepare for the next generation of wealth. Reach out today: https://lnkd.in/g7QW_QZr

Good news for the luxury retail segment! Saks reports increased optimism among U.S. luxury consumers, especially millennials, with 70% feeling positive about finances. The retailer's "Luxury Pulse" survey highlights personalized experiences as key, with 93% valuing individualized content. While 57% plan to maintain or increase luxury spending, overall growth may be gradual, with personalized offerings gaining importance. #luxuryliving #luxury #luxuryretail #saks #luxuryconsumers https://lnkd.in/gUD-ppVj

I am thrilled to announce the completion of my thesis, “The Luxury Consumer Paradigm: Navigating Generational Shifts for Long-Term Brand Loyalty.” 🎉 Generation Z is at the forefront of reshaping the luxury goods industry, forecasted to account for 25% to 30% of luxury market purchases by 2030 (Bain & Company). Before Generation Z, it was Millennials shifting the landscape. Before Millennials, it was Generation X. There will always be an upcoming luxury consumer challenging the traditions of long-standing luxury brands. To prevent falling behind, brands must continue reconstructing their strengths in a way that resonates with the next-in-line generation while continuing to nurture their relationship with already established clientele. The discourse on evolving consumer behavior, shifting preferences, and generational divides in the luxury industry has raised a crucial question: How can a luxury brand align its marketing mix to cater to all generations within its consumer base? My thesis delves into this dilemma, proposing a novel approach to luxury consumer segmentation using the Enneagram of Personality. Personality types remain consistent across generations, offering a robust approach for luxury brands to connect with their diverse consumer base by understanding their desires, fears, and motivations. This segmentation is the foundation of a proposed framework that guides a luxury brand through establishing its marketing strategy. I would like to express my heartfelt gratitude to my thesis committee, Alessandro Cannatà, Carin Wightman, and Roberta Demesko, for their invaluable mentorship and professional expertise. I am also deeply thankful to Roberta Demesko and Katie Miller for generously sharing their insights and experiences from the luxury industry, which greatly enriched my research. Visit https://lnkd.in/gtGKNmrk to view my process book, providing an in-depth breakdown of primary and secondary research, key findings, and the Luxury Generational Loyalty Framework. #lxmt #luxury #scad

Luxury Retailing: Three Learnings for Growth Across Global Markets Consumer shopping habits are evolving due to various factors, including digital advancements, shifting demographics and evolving cultural dynamics. As such, luxury brands and retailers must update their strategies to stay competitive. Looking for more on luxury? Dive into our recent report, which explores key trends driving growth in global luxury retail and how major players are responding to changing market forces. Data in this research report include: • Global luxury market size and growth by geography (2019–2028E) • Overseas tourist visits to Japan (2019–March 2024) • Year-over-year high-end fashion travel spending growth for March 2024 Gain insights into the modern luxury market: https://lnkd.in/dWMGm23a #LuxuryBrand #LuxuryRetail #Fashion

Gen Z and Gen Alpha at the Forefront For the next generation of luxury buyers, being seen isn’t just about the physical world but also their digital personal expression. These audiences are shaped by their digital upbringing. The result of the algorithmic echo chamber, and the rise of ideological identity means that for gen Z in particular, they hold strong world views and expect brands to do the same. They are less preoccupied with status and exclusivity and instead see access, authenticity and greater self expression as meaningful drivers. Gen Z and gen Alpha’s constant connectivity exposes them to luxury lifestyles earlier, with gen Alpha beginning luxury shopping at 15, compared to gen Z’s at 18. By 2030, the luxury market is predicted to expand to 500m customers, driven in part by the ballooning speeding power of these audiences. Whilst the wealthiest 2% of the planet (who skew 45+) accounted for 40% of luxury spending last year, millennials through to gen alpha accounted for all growth in the sector. All of it. Some traditionalists may scoff at the idea of targeting lower frequency luxury consumers, but it’s worth understanding that these emerging luxury brand shoppers account for a whopping 50% of the luxury brand market. Nurturing these audiences, understanding and segmenting them by needs and adopting nuanced strategies will ensure the staying power of next generation luxury. -Emily Gray

As the global population ages, luxury brands face a unique opportunity to appeal to an older demographic that possesses both wealth and a refined taste for luxury. This age group, typically overlooked in favour of younger consumers, is notably loyal and looks for meaningful, high-quality products and experiences. Successful engagement with these mature consumers requires a deep understanding of their desires for tradition coupled with modern convenience. Brands that skilfully blend these elements can capture and retain this valuable market segment. Strategies should include personalised communication, accessible luxury services, and products that emphasise comfort and elegance. Showcasing legacy and craftsmanship can resonate well with these consumers, who often appreciate the story behind their purchases. This may be an unpopular viewpoint, but the older boomer generation of consumers are more like their Gen Z counterparts in how they consume luxury than brands are willing to admit. Adjusting the approache to address the values and lifestyles of older luxury buyers not only enhances brand loyalty but also secures a customer base that values longevity over fleeting trends. Learn how HNW clients make buying decisions https://lnkd.in/gVnzg6pU. #LuxuryMarketing #ConsumerBehaviour #AgeingConsumers #BrandLoyalty #LuxuryLifestyle

As the global population ages, luxury brands face a unique opportunity to appeal to an older demographic that possesses both wealth and a refined taste for luxury. This age group, typically overlooked in favour of younger consumers, is notably loyal and looks for meaningful, high-quality products and experiences. Successful engagement with these mature consumers requires a deep understanding of their desires for tradition coupled with modern convenience. Brands that skilfully blend these elements can capture and retain this valuable market segment. Strategies should include personalised communication, accessible luxury services, and products that emphasise comfort and elegance. Showcasing legacy and craftsmanship can resonate well with these consumers, who often appreciate the story behind their purchases. This may be an unpopular viewpoint, but the older boomer generation of consumers are more like their Gen Z counterparts in how they consume luxury than brands are willing to admit. Adjusting the approache to address the values and lifestyles of older luxury buyers not only enhances brand loyalty but also secures a customer base that values longevity over fleeting trends. Learn how HNW clients make buying decisions https://lnkd.in/gT5V36qR. #LuxuryMarketing #ConsumerBehaviour #AgeingConsumers #BrandLoyalty #LuxuryLifestyle