When it comes to marketing a product, there’s arguably no one better than luxury brands. Whether it’s a bag, a car, or a watch, they can sell anything. It all comes down to their impeccable marketing strategy. They know how to promote a product even if it’s less affordable than other varieties on the market.
Despite the difference in target markets, there are things that small businesses can learn from luxury companies.
Here are three important marketing lessons from the world’s most expensive brands:
When you buy any product from a high-end brand, you’ll know it right from the packaging. The colors, the weight, and sometimes even the scents are all indicative of the product’s quality. It stands apart from its more affordable counterparts. For example, a pricey red wine’s neck hanger would have information about its age and origin. On the other hand, if it’s a less expensive brand, the bottle necker would probably be about a sale or a voucher.
Once you’re unboxing a luxury product, the experience is also markedly different. There are more frills and more layers of wrapper to get through. Your anticipation is extended even while you’re unwrapping it.
The great thing about this is that small businesses can imitate the same experience without having a large company’s budget. Take a page out of Hermes’ book and use cloth to wrap your products. It may not be the exact same material, but the end result is nearly the same. Your product would look like it was packed with care and it adds protection during transit. As the customer’s experience improves so does your product reviews and retention rate.
Your Logo Is Your Identity
Look up any outfit during fashion week or visit a luxury store and you’ll notice something that the brands have in common. They all use logo branding in some way. Some use it only for their clothes while others use it for their accessories as well. Arguably the best examples to look for is the most valuable luxury brand in the world, Louis Vuitton. Whether it’s perfume, bags, or clothes, you can find the LV monogram front and center. The branding has worked wonders. A study has found that Louis Vuitton is the most recognizable luxury brand in the world.
For small businesses, Louis Vuitton can serve as a lesson in branding. You don’t have to print your logo all over the product like LV does. But they do set an example on how to do it correctly. The most important thing is the design. Louis Vuitton’s is simple, easy to understand and remember. It’s because their emblem is the initials of their founder which is a nondescriptive logo. In contrast, descriptive logos show elements that show the products they’re selling. For example, if salad bar has vegetables on its emblem, it’s a descriptive logo. According to a study by Harvard Business Review, nondescriptive logos have a more positive effect on brand perceptions and performance. The simple design also allows a business to expand to other ventures. Louis Vuitton started out selling trunks. Now, they sell clothes, perfume, and even face shields. When choosing a logo, keep it simple and elegant.
Social Media Is King
Most luxury brands are established companies that was founded at least 50 years ago. They’ve been associated with royalty and world leaders. But, it’s entirely possible to start a successful brand without a long history. One of the best examples is Pat McGrath Labs. The makeup company was only launched in 2015 but has already achieved tremendous success. Just after 3 years since its inception, it’s been estimated to be worth $1 billion. One of the most important keys of its record-breaking sales is the social media strategy.
Pat McGrath has leveraged her experience as a makeup artist and the popularity of makeup today into an effective campaign. Each time she launches a new product, you’ll see guides on how easy they are to use and how pretty the look on their page. It’s not too different from the YouTube videos that influencers post. They’re even easier to watch because they’re shorter and direct to the point.
Even if you don’t have 20 years’ worth of experience, business owners can still learn from her strategy. Maximize your social media accounts. There’s a reason why videos about unboxing, tutorials, and reviews are so popular nowadays. People want to see the products in action before they commit. You can take advantage of that demand by changing up your social media strategy.
You don’t have to have the reputation or the budget of a luxury company to be successful. But you can take lessons from their marketing campaigns for your own business.