Three Questions: Do luxury brands “get” digital marketing?

Fadi Shuman

It’s not exactly a secret that mainstream brands have a little more flexibility when it comes to marketing on any platform, not just digitally. However, since online and mobile media are a little newer, it is taking luxury brands a little time to catch on. According to an expert from Pod1, luxury brands are well on their way to getting it, but they could still use some help.

That said, the biggest problem for luxury brands on digital is trying to create an experience that is similar to print or in-store, without diluting brand presence by marketing to a mass audience. Because of this fear, most brands make sure that their websites are very beautiful, but forget about the whole “functional” aspect that should be the centerpiece of a digital strategy. And, now that almost all brands are on mobile, luxury brands now have to ensure a seamless experience on all channels, including those that are portable.

In this installment of Three Questions, Fadi Shuman, the CEO and cofounder of Pod1, discusses what challenges luxury brands face and the biggest mistakes they are making.

What advantages do mainstream brands have that high-end brands do not when it comes to digital marketing?
Lower cost mainstream brands allow the majority of the buying public to be spontaneous.

This spontaneity is served well online through paid search, banners, one-day sales and so on. It has been proven again and again that these tactics are effective. Luxury brands are not able to benefit from these trigger-happy customers as their price point doesn’t allow it.

What are some of the biggest mistakes they are making?
Luxury brands continue to be strong at social media but a huge Facebook following doesn’t mean a strong turnout at your ecommerce store.

There is a serious lack of investment in CRM and looking after their existing customers online. Today, for the most part, purchasing an item from a luxury brand online versus a mainstream brand is the same experience. They usually follow up emails about shipping, etc. but really, that’s it. Surely your $1000 plus purchase deserves a little more love?

All in all, do you think luxury brands “get” digital marketing yet?
Yes, absolutely, but there’s still a way to go for them to be as immersed in it as some of the other verticals.

The challenge luxury brands have is that mainstream digital marketing isn’t as effective as it is with non-luxury brands.

The primary reason for this is that luxury inherently implies a big-ticket item and therefore for the most part, a considered purchase, which means customers may not ultimately make the purchase decision within the same lifecycle as expected and may take their purchase offline.

The inability to measure this adds to the lack of confidence in digital marketing.

About Rachel Lamb

Rachel is the manager of brand and social content at EVINS. Email her at and follow her on Twitter at @RM_Lamb.

22. May 2013 by Rachel Lamb
Categories: Opinion, Three Questions | Tags: , , , , , | Leave a comment

Leave a Reply

Required fields are marked *

Anti-Spam Quiz: