McCann Paris’ Post

Over the last 15 years, the luxury industry has quietly defined the economy, generating $1.5 trillion annually with a 7% yearly growth. The luxury market is stronger than ever but is undergoing pivotal changes, making it harder to understand its broader impact. This year, Cannes Lions introduced the Luxury & Lifestyle Lions, highlighting the importance of this evolving market. Tune in from the #EqualityLounge at #CannesLions2024 as luxury leaders unpack proprietary research on the new dynamics of luxury and affluence, and learn how to position and elevate your brand at the premium price point. • Nadia Tuma Weldon, Head, Luxury Strategy and Insights, McCann Paris • Hilary Milnes, Executive Americas Editor, Vogue Business • Julien Calot, Chief Creative Officer, McCann Paris • Émilie Nguyen, Sales Director CPG & Luxury, Pinterest

Our Female Quotient panel discussion on the new dynamics of luxury is live to watch below (begins about 5:20). It's a great conversation with great people - and makes me wonder: should we produce a regular luxury talk show?

The definition of luxury is shifting for new consumers that are activating in the luxury space. Recent research from Dot Dash Meredith and Ipsos reveals a narrative of transformation, painting a picture of a new era in luxury, characterized by authenticity, self-expression, and conscious consumption. Join us in the #EqualityLounge at #AWNewYork24 as we explore what luxury means now and how brands & advertisers should address the needs & expectations of the modern luxury consumer. • Whitney Krause James (she/her), President, Ipsos • Leah Wyar Romito, President, Beauty, Style, and Entertainment Group, Dotdash Meredith •Jessica Chung, Corporate Growth Strategy Lead, Ipsos Strategy3

In my view, the real reason why luxury brands fail... Luxury brands do not fail because of poor products or a lack of heritage. Often the worst performing brands have incredibly good products. Instead, they fail because they are unable to engage with their clients in meaningful ways. Clients expect an emotional journey, one that makes them feel valued, inspired and part of something exceptional. Brands that do not actively work to create this journey again and again become ordinary and lose desirability. The fight for loyalty is won or lost in every interaction. Every touchpoint counts. Brands that do not deliver on the high expectations of clients will face the brutal reality of irrelevance and financial decline. The real reason luxury brands fail is simple: they stop inspiring. In luxury, the moment a brand stops inspiring, it starts failing. Do not be one of them! #whiteorangeexperiences #luxurybrands #lifestyle #luxury #exprientialmarketing #engagements

Balancing Tradition and Innovation in Luxury Brand Repositioning Repositioning a luxury brand is complex, often leading to mistakes that dilute value and alienate loyal clientele. Key missteps include: Misunderstanding Luxury: Focus on core values and emotional connections, not just quality and craftsmanship. Ignoring Storytelling: Develop authentic, client-centric narratives to inspire and differentiate. Lack of Consumer Insights: Conduct thorough market research to align with audience needs. Neglecting Loyalty: Don’t alienate existing customers with drastic changes. Weak Digital Presence: Ensure a strong, aligned digital strategy. A holistic approach and sufficient resources are crucial for successful repositioning. Source: Daniel Langer, CEO of Équité and a luxury strategy professor, shares these insights. #luxury #brand #ARBO #revenue #growth

New Audemars Piguet CEO Ilaria Resta partners with outgoing CEO François-Henry Bennahmias for a final (comical) holiday greeting. Historically, humor and luxury brands have been mutually exclusive concepts. Luxury defines clear limits, while humor sets the world upside down. Could it be that the luxury sector overlooked a strategic opportunity? Recently, some traditional fashion houses have distorted the traditional communication codes of the luxury industry by embracing humor as an effective tool within marketing. Why? Because humorous campaigns present a new concept of luxury: attention-grabbing, accessible, highly shareable, and connected to reality. According to Deloitte, by 2025, Millennials and Generation Z consumers are predicted to represent more than 40% of the overall luxury goods market. In 2017, they were responsible for 87% of its growth. The Gen Z demographic alone is slated to be the single largest group of consumers worldwide in just a few years. And millennials are expected to be the largest spenders by 2035. So, luxury brands need to pivot to meet this digital generation and take a more light-hearted approach to meet these new consumer preferences better. -- Enjoy my content? I'm Vincenzo, and I talk about innovation, marketing, content creation, and sports business. Click my name + follow + 🔔 #luxury #luxurybrands #marketing

💥 Kickoff of the luxury track at the #IMTCMarketing Conference in Venice this morning, co-chaired by Professor Ben Voyer and myself. An amazing roundtable bringing together academics and practitioners, providing food for thought: Caroline Grauel emphasized that the Covid-19 crisis has heightened our awareness of mortality, underscoring the need to invest in strong and enduring luxury brands. David Dubois highlighted that new technologies are particularly interesting for luxury brands when they contribute to experiential immersion. Benny Briesemeister pointed out that, in comparison to customers of the same age in other markets, luxury consumers are more open to new experiences. However, it seems that younger luxury consumers tend to be more conservative. Prof Ben Voyer Voyer advised understanding your territory, using the example of Chanel, a women's wear brand that remains focused on women because that defines who they are. And so much more... Thanks to everyone for sharing these valuable insights!

Elevate. Emotion. Experience. These are the keys to captivating the elite 2% of luxury customers, according to Bain. As the market slows down, brands must focus on engaging and retaining these highly valuable clients, also known as VICs, to thrive. But competition for their attention is fierce! To succeed, brands must craft meticulously curated strategies that create an atmosphere of luxury and evoke powerful emotions. By doing so, they can cultivate loyalty among this exclusive consumer group. This will lead to sustained and increased spending from these valuable clients in the long run. #LuxuryBrands #LuxuryExperience #Luxury

Luxury Brand Reputation & the Duty of Being Extraordinary I am passionate about the values & dream of true luxury & believe that as professionals in this sector it is above all about "being extraordinary" & the doing will follow. For 20 years I strived to do the extraordinary in the brands I worked for & then a few years ago I stepped out as I knew something was missing. I developed my “being & it has been a game changer that I wish I had learnt 20 years ago. It seems to me that the luxury industry has a similar journey to embark upon.  The post pandemic rules of the luxury game have changed with clients recalibrating their expectations & they are voting with their wallets. Employees are also expecting more from the luxury brands they work for.  As one frontline luxury director so rightly put it to me a few weeks ago “if the brand kills the luxury dream in me - how can I make clients dream? It seems that it is no longer enough for luxury to just “do the extraordinary” there is also the duty to “be extraordinary” going beyond product & services. Luxury brands obsess with brand image tracking but I prefer looking at brand reputation (being) as it comprehensively covers brand image as well as leadership behaviours, conduct, the workplace, & societal responsibilities. The 2024 Global brand reputation report from RepTrack has just been published & I find it disappointing that the great luxury brands & groups we all love find themselves on the lower end of a global reputation tracking spectrum. The particulary worrying positioning is that of LVMH group which has fallen 45 positions in two years to No. 93 - the fall is more worrying than the ranking. The question we should ask - has chasing sales, being obsessed with product & marketing deprioritised certain factors that are vitally important to a brand's reputation & long term future? If as a luxury company you want go beyond “doing” to also “being then let’s talk to walk the talk in terms of luxury extraordinary. Anthony Ledru Cyrille Vigneron Lelio Gavazza Andrea Guerra Leena Nair Ilaria Resta Julien Tornare Jean-Baptiste Sassine Stanislas de Quercize Sandrine Conseiller Stefano Cantino Florence Garnier Gavin Haig Sandrine Conseiller Jerome Lambert #luxury #ultraluxury #brandreputation #brandimage

As the demand for luxury products grows in emerging markets, luxury brands must adapt their branding strategies to cater to these new consumers. This requires a deep understanding of the local culture, preferences, and values of the target market. By creating tailored marketing campaigns that resonate with the local audience, luxury brands can establish a strong presence and build brand loyalty in these markets. Luxury brands must also prioritize customer experience and service to ensure that their high-end products are perceived as valuable and worth the investment. This includes providing personalized services, exclusive events, and top-notch customer support to create a sense of exclusivity and luxury for their clientele. In today's competitive market, luxury brands must continuously innovate and stay ahead of trends to maintain their status and appeal to discerning consumers. By staying true to their brand identity while adapting to the changing landscape, luxury brands can continue to thrive and attract new customers in emerging markets. Contact us to learn more about our luxury branding services and how we can help your brand succeed in the global market: https://lnkd.in/dUf4PRfU Luxury Branding Social Media Marketing Monaco Luxury Luxury Marketing #luxurybranding #monacoluxury #socialmediamarketing #monacolifestyle #luxurymarketing #marketingagency #emergingmarkets