How can luxury goods brands create share-worthy experiences that resonate with the new ideals and values of the younger affluent generations? Explore how luxury brands can infuse experiential luxury in their products to engage their discerning consumers in new and innovative ways. More insights on https://luxe.digital/

1. The Experiential Transformation of
Luxury Goods
by F l o r i n e E p p e B e a u l o y e
01
O C T O B E R
2 0 / 1 9
L U X E P A C K M O N A C O

2. “
Affluent consumers are
abandoning luxury goods
in favour of experiences.
The end.

3. “
Affluent consumers are
abandoning luxury goods
in favour of experiences.
The end. A new chapter

4. luxe in flux
S T A T E O F T H E I N D U S T R Y
• Changes, Challenges, Chances
• New Players, New Playbook
a mindset shift is
required

5. hello,I’m Florine Eppe Beauloye.
• International Marketer
• Editor in Chief of Luxe Digital
• Co-Founder and CEO of mOOnshot digital
• Awarded Top 50 Asia’s Women Leaders
• Author

6. 72%
of Millennials prefer to spend their money on
experiences rather than material objects.
N U M B E R T H A T M A T T E R S

7. 85 %
G R O W T H
Generations Y and Z drive
85% of luxury growth.
50 %
S P E N D I N G
By 2025, they are expected
to account for ~ 50% of all
luxury goods spending.
10 0 %
S T A T E O F M I N D
Changes are transcending
all age groups.
This is what we call the
Millennial-minded
transformation of luxury.
millennial
mania
G E N E R A T I O N A L S H I F T

8. unique set of behaviours & values
G E N E R A T I O N A L S H I F T
source: BCG – Altagamma
Purchase
C O L L A B O R A T I O N S
Growth lever for
2 n d H A N D
Influenced by
S U S T A I N A B I L I T Y
High
S O C I A L M E D I A
interaction
Embrace
M I X & M A T C H

9. experiential
T H E N E W L A N D S C A P E O F L U X U R Y
Experiential luxury (hotels, restaurants, wines and
spirits) is growing more and at a faster rate than
personal luxury (clothing, accessories, jewelry,
watches, perfumes and cosmetics).
2/3of the total luxury
market by 2022

10. experiential, redefined
T H E N E W L A N D S C A P E O F L U X U R Y
F R O M T O
B A D G E O F Status → Self-expression
B R A N D P O S I T I O N Exclusive → Unique
P U R P O S E O F S P E N D Owning → Being
S O C I A L P R A I S E Brand → Backstory
P U R C H A S E D E C I S I O N Spontaneous → Considered
L U X U R Y M E A N I N G Occasional Excess → Everyday Essentialism
L u x u r y f o r
B E T T E R M E N T

11. micro-moments
T H E N E W J O U R N E Y
The consumer journey is a series of questions & needs that must be answered.
C O N S I D E R E V A L U A T E P U R C H A S E A D V O C A T E
Dynamic. Accessible. Continuous.

12. centric retail universe
T H E N E W C U S T O M E R E X P E R I E N C E
Brands must gather intelligence about what affluent
shoppers want and deliver on these increased
expectations across all touchpoints.
Modern affluent shoppers are both Creators & Critics.
Exposed
Engaged
Eclectic
ME

13. strolling and scrolling, seamlessly
P H Y G I T A L W O R L D
Phygital is the seamless strategic blending of
the physical and digital customer experience.

14. How to
infuse experiential luxury
in your product?
T H E B I G Q U E S T I O N

15. experiential product lifecycle
M E M O R A B L E . E N J O Y A B L E . I N S T A G R A M M A B L E .
Co-creation
Experiential spaces
Personalisation
Collaborations & drops
Unboxing
After sale & loyalty
D I S C O V E R Y P U R C H A S E N U R T U R I N G
1 2 3
S t o r y t e l l i n g
D a t a
S t o r y t e l l i n g
D a t a

16. Involve potential shoppers in the ideation and creation of your product.
WHY?
● Provides you with valuable input
● Increases the emotional investment consumers have in your product
● Builds up a group of highly engaged early adopters that will help you
spread the word once your product is ready
P H A S E 1 - D i s c o v e r y
01/ consumer co-creation

17. P H A S E 1 - D i s c o v e r y
01/ consumer
co-creation
Case in point: Glossier

18. Create wow-worthy activations and real-life connections.
WHY?
● Provides a way for brands to build a relationship with customers in person
● Adds flexibility to a retail network
● Creates a sense of novelty and scarcity (constant reinvention)
● Taps into our “get-it-before-it’s-gone,” fear-of-missing-out (FOMO) mentality
● Can serve as learning spaces to gather insights
● Designed to be shared
● Attracts those who would otherwise be “intimidated by the luxury” of flagships
P H A S E 1 - D i s c o v e r y
02/ experiential spaces

19. P H A S E 1 - D i s c o v e r y
02/ experiential
spaces
Case in point: Hermès Carré Club
pop-ups

20. Enhance the luxury purchase experience.
WHY?
● Increases the perceived value
● Responds to the desire for individualism and authenticity
P H A S E 2 - P u r c h a s e
03/ personalisation

21. P H A S E 2 - P u r c h a s e
03/ personalisation
Case in point: Gucci DIY

22. Embrace brand contamination & new distribution formats.
WHY?
● Answers to the need for continuous newness
● Gives traditional luxury brands a modern edge
● Drives brand awareness across a more diverse audience
P H A S E 2 - P u r c h a s e
04/ collaborations & drops

23. Case in point: Louis Vuitton x
Supreme / Burberry B Series
P H A S E 2 - P u r c h a s e
04/ collaborations
& drops

24. Create an exciting product reveal.
WHY?
● On trend and in demand
● Inspires trust (transparency, authenticity)
● Builds anticipation
● Gives product validation
● Done right, it’s a great source of UGC
P H A S E 3 - N u r t u r i n g
05/ #unboxing

25. Case in point: Apple
P H A S E 3 - N u r t u r i n g
05/ #unboxing

26. Build long term relationships.
WHY?
● Builds a community around your brand
● Can influence discussions around your brand
P H A S E 3 - N u r t u r i n g
06/ after sale & loyalty

27. P H A S E 3 - N u r t u r i n g
06/ after sale &
loyalty
Case in point: Mercedes-Benz
Brand Clubs / Rolls Royce
Whispers app

28. C O N N E C T I V E T I S S U E S
storytelling is everything
Communicate your brand values throughout the customer journey.
Tell me a fact and I’ll learn.
Tell me the truth and I’ll believe.
But tell me a story and it will live in my heart forever.

29. C O N N E C T I V E T I S S U E S
storytelling
Case in point: Louis XIII Cognac x
Pharrell / LVMH Clos19

31. Leverage actionable insights.
WHY?
● Data is an enabler for personalisation at scale
● AI-powered technologies ( Chatbots, Machine
learning, Voice recognition, Image recognition) to the
rescue
● Caution: Privacy, privacy, privacy
● Data can help brands create a seamless journey
across touchpoints
● Data can help acquire, up-sell and cross-sell
C O N N E C T I V E T I S S U E S
the power of data

32. Rewrite your story of luxury.
Empower individual identities and lifestyles.
W H A T ’ S N E X T

33. thank you
Q U E S T I O N S ?
w w w . L u x e . D i g i t a l