{"id":23600,"date":"2020-04-30T08:30:17","date_gmt":"2020-04-30T07:30:17","guid":{"rendered":"https:\/\/www.hult.edu\/blog\/?p=23600"},"modified":"2021-10-11T12:23:05","modified_gmt":"2021-10-11T11:23:05","slug":"join-forces-lessons-from-luxury-marketers-in-the-coronavirus-pandemic","status":"publish","type":"post","link":"https:\/\/www.hult.edu\/blog\/join-forces-lessons-from-luxury-marketers-in-the-coronavirus-pandemic\/","title":{"rendered":"Join forces: Lessons from luxury marketers in the coronavirus pandemic"},"content":{"rendered":"

The sudden shift in shopping behavior, due to the coronavirus pandemic and ensuing restrictions, has led to a challenging time for marketers of non-essential product categories\u2014primarily luxury brands. Consequently, consumption of product categories such as luxury accessories, luxury fashion, and luxury gastronomy are severely affected.<\/p>\n

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On March 24, the Twitter handle on fashion insights @theindustryfash tweeted “British luxury house Mulberry warns it’s headed for a loss as trading is ‘severely impacted’ by global COVID-19 crisis.” Mulberry’s major products include classic leather bags, accessories, womenswear, and travel collections. Since the consumption of luxury brands is associated with dream, should these brands continue to communicate with their consumers using only virtual, experiential brand-related content focusing on the brands\u2019 aspirational image? Or, should such brands\u2019 communication with their consumers switch to new, more empathetic messaging? Now is a crucial time for luxury marketers to make definite choices in the context of their brand’s communication\u2014or face the consequences.<\/p>\n

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Luxury consumers’ tastes are evolving<\/h3>\n

It’s important for luxury marketers to acknowledge that luxury consumers\u2019 sensitivities are evolving due to the catastrophic effects of the pandemic. Keeping the pandemic in focus, luxury leader Louis Vuitton (LVMH) is doing an excellent job of altering their brand\u2019s communication with consumers. When the pandemic hit France, they formally announced that LVMH will be producing hand sanitizers by converting three of their perfume manufacturing facilities. This announcement was also widely shared across the brand\u2019s social media channels. Additionally, they started a hashtag campaign #LVMHJoinForces as a marketing initiative. In my earlier research<\/a>, I found that cause-related campaigns from luxury brands can engage their consumers as brand-related content. #LVMHJoinForces campaign has been gaining considerable social media attention.<\/p>\n

 <\/p>\n

The disastrous consequences of the pandemic can make lasting changes to consumer psychology. As a result, consumer focus shifts to becoming more environmentally conscious and more responsible buyers. Due to increased awareness of green sensibilities, consumers will be more inclined to buy sustainable products. Luxury marketers should use this opportunity to start communicating their sustainable products. Interestingly, the primary consumers of luxury brands are materialists who have values incompatible with sustainability. However, in one of my earlier pieces of\u00a0research<\/a>, my co-researcher and I found that materialists do find sustainable luxury appealing.<\/p>\n

 <\/p>\n

Sustainable credentials of luxury brands is becoming increasingly important<\/h3>\n

At present, luxury brand Prada has been specifically communicating the sustainable product-oriented characteristics of their products. For example, on March 18, Prada posted on Facebook<\/a> about their woven bucket bag made from treated corn husks. Production of natural fibers from corn husks is eco-friendly.<\/p>\n

 <\/p>\n

In the context of luxury gastronomy, marketers can concentrate on innovating the food experience by delivering such experience virtually while focusing specifically on consumer wellbeing.\u00a0 Currently, celebrity chef Massimo Bottura from Gucci\u2019s high-end restaurant Osteria is offering free virtual cooking classes called “Kitchen Quarantine”<\/em>\u00a0on Instagram<\/a>. The primary focus of this cooking show is about sharing with the whole world, and the chef provides tips on limiting food waste.<\/p>\n

 <\/p>\n

Going further, luxury marketers can start tours of their flagship stores using virtual reality. Since consumers are no longer able to shop or visit flagship stores located in famous locations such as Champs \u00c9lys\u00e9es or Fifth Avenue, the psychological distance associated with such stores has increased. In one of my prior research<\/a>\u00a0articles (done in collaboration), we found that when psychological distance increases, immersive virtual reality has a positive effect on purchase intention as consumers find such experience novel and satisfying.<\/p>\n

 <\/p>\n

Updating your luxury brand’s messaging is key<\/h3>\n

On the contrary, some luxury brands are still messaging aspirational content instead of altering their communication to address consumers\u2019 wellbeing. For example, on March 25, Herm\u00e8s shared an Instagram post “Beauty is a gesture”. This related to a collection of shades for the lips and it did not resonate well with some Instagram users. \u00a0Some users showed their anger by replying to the posts with comments such as “Give a gesture to the world” and “Who cares about that when there are people dying from coronavirus?” To date, Herm\u00e8s has only made one Facebook post about COVID. This post is an announcement of Herm\u00e8s temporarily closing their stores for the safety of their clients and associates. Clearly, Herm\u00e8s is not making the right choices now. Marketers at Herm\u00e8s should immediately start working on their brand’s communication to address consumer wellbeing.<\/p>\n

 <\/p>\n

Even in these unprecedented times, many luxury marketers are making the right choices to focus on their consumers\u2019 wellbeing and safety.\u00a0 These brands are joining the war against the pandemic by producing sanitizers, gowns, and masks. They’re communicating with their consumers through marketing campaigns related to their initiatives. Many luxury brands continue to preserve their allure by looking inward. Smaller brands with limited resources should look at how luxury brands are communicating with their consumers. Smaller brands should also try to connect with their consumers by focusing on wellbeing and safety.<\/p>\n

 <\/p>\n

\"\"<\/a><\/p>\n

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Keep yourself agile in the face of disruption with a business degree from Hult<\/a>. Switch up your messaging with a Masters in International Marketing<\/a>. Or give your employability a huge boost with an MBA in international business<\/a>. Get in touch today to find out how Hult can help you adapt to the new ways of conducting global business.<\/p>\n

 <\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

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