TO BE VS. TO HAVE. THE ESSENCE OF EXPERIENTIAL LUXURY TODAY

Beyond exclusive products, luxury consumers look for unique experiences in which they can deliver their identity. The challenge of luxury brands consists of being able to generate memorable experiences, becoming real suppliers of a lifestyle.

To enjoy Béliye Nóchi (White Nights) of San Petersburg, to run with Siberian Huskies thru the Artic, to swim with sharks in South Africa or to enjoy a private concert in a castle. Experiences today have priority over the ownership.

With a turnover of 465,000 million €uros, according to Boston Consulting´s True-Luxury Global Consumer Insight  study, on a global level the experiential luxury takes precedence over the traditional luxury goods market. And its perspectives of growth are higher as well (6.7% vs. 4.7%), driven by hostelry and travel.

Understanding the customer experience as the experience that is felt not only when purchasing and enjoying goods or services from a brand but also when interacting with people of its company, it has to do with feelings and emotions. The concept is closely related to customer satisfaction, the engagement and its loyalty, priority aspects when managing a luxury brand.

There are more customers behind any customer. If the customer experience is positive then a domino effect is created through Word-of-Mouth or viralisation throughout social networks. The crux of the matter for luxury brands is how to do such a memorable experience to be told. According to previously mentioned study of Boston Consulting Group, Worth-of-Mouth is the main factor that influences in luxury purchasing decision, being social networks and blogs its drivers of growth,

To make memorable experiences in the luxury universe today one has to be able to create the WOW effect. How to do it? Paying special attention to details to exceed customer’s expectations. Customization when handling the customer service and surprise him regularly to maintain his loyalty are key aspects of customer relationship management.

More than possessions, the experiences that one pass have became true identity symbols. Thus, today luxury consumers prefer to be, to live and to share than to have or to purchase. The real challenge for contemporary luxury brands is to create experiences that would be able to express a personality and an identity, becoming true suppliers of a lifestyle.