We’ll begin with an analogy. are often collector’s items. Over time, society has celebrated the “it bag,” and viewed these as status symbols that are also used on occasion or even every day. These bags are known to cost a small fortune, with virtually no cap on how high the price can climb. Why is this?
Well, many designer labels started out as luggage c cell phone number database ompanies. With bags being a necessity to carry around personal belongings, these craftsmen created portable ‘luggage.’ This means these brands have created products using handcrafted expertise. They also use the finest quality leather. In other words, part of the price tag is attributed to the labor, the materials, and the special skills involved.
But even at their highest levels, the cost of these bags far exceeds the price tag. Of course one needs to account for the markup, but how much is one willing to increase the ROI of a designer label? That is where the branding comes in - it changes things. Buying into a brand is affording yourself the lifestyle that it offers.
When we’re talking about brands, demand and pricing follow the brand associations. Chanel bags are notoriously more expensive than other designer labels and are known for their signature style and high resale value. Gucci, on the other hand, is often associated with new money and sensuality.
Building a Luxury Brand
The question is, how does one build a luxury brand, especially when there is no legacy behind it?
There are a few instant tips that come to mind, namely: don’t follow along with the trends! Even if you are new to the market, luxury brands don’t ride the wave to reach their point in the market. They take a slower approach in calmer waters. After all, as high as a trend can boost you, it can allow you to drop just as far down. That brings us to the first thing to keep in mind: Luxury is timeless.
Secondly, luxury is in the detail. If you compare an everyday brand item to a luxury one, what you’ll notice is the distinction of detail that is carried through to every element. Style and having an eye for design are necessary. Luxury is about creating a holistic feeling of elevation that excites and soothes the senses. Every convenience should be there and to the highest possible degree. Going on a quick detour from bags to biscuits, think of a cheap packet of biscuits - it is exactly that, biscuits using the most affordable ingredients in a packet. The luxury variety is made with top-end ingredients, but it is also in packing that ensures the product won’t go to waste, with seal tags or tin instead of plastic.
Finally, luxury is about lifestyle. Whether the person buys a product or service as a once-off aspirational goal or is able to fill their surroundings with it, you need to think about the emotional value and the life that the person is buying into. There are various sectors of luxury, from cars to fashion, beauty, hospitality, and jewelry. Either way, the product is more than just that - it needs to provide a feeling that is worthy that says “I made it.”
Related: You Can't Buy Your Brand's Reputation, but You Will Pay For It