I’ve been getting quite a few business owners coming to me wanting to become more of a luxury brand and I thought a topic on what do luxury customers want before they make a buying decision. Would be a great conversation to have.
So whether you are new to the luxury space or you already have a luxury brand. Understanding the buying motivations of high-end or HENRY (high earning not rich yet) customers is so important.
Because the better you can speak their language and create experiences they love. You can better position your business as a permanent spot in their life.
First, if you haven’t already be sure to check the link in the description of this episode and download the complimentary guide on 7 facets of a successful luxury eCommerce experience. If you want to have more success online and beyond within your business.
Understanding Modern Luxury
As you know I focus on modern luxury brands that sell products and the luxury brands of today are different than those of several years ago.
Consumers of luxury brands today want a deeper more meaningful connection with the brands they care about. Whether that is respecting changing climates, creating more sustainability in product production, or having more social awareness.
Generational shifts are also creating a new level of luxury. Millennials and Gen Z are taking up a larger space of buying power and they have some things they want companies to honor.
Note that I am not saying traditional luxury brands never have cared about any of these topics. As that wouldn’t be fair, I think it’s just now more apparent today that we as consumers want to know what bigger impact companies are making.
Especially when you think about the future generations to come.
With that in mind, another area we have to consider is that there are different levels of luxury.
The Levels of Luxury
Luxury has levels as people would say…
“There’s levels to this.”
In general, there are about 3 levels of luxury that consumers often fall into due to their own motivations.
Uniqueness
The luxury buyer in this category values having something that most don’t possess. They want the rare finds. So if you offer anything that is rare to access or innovative these are your people. They also value “belonging” to this unique group.
For example, being on the waitlist for a Rolex watch that may not become available for several years.
It’s important that if you sell to this type of customer you allow them to express themselves through customizations. This could be as small as allowing for product personalization. Or provide them with a certain level of concierge service.
Legacy
The legacy buyer is looking for authenticity to imply wealth. Brands can usually communicate this by being inconspicuous and showing the timelessness of their brand.
Usually, this is communicated by highlighting certain features that make a product unique.
For example, the French jewelry brand Chaumet was founded in 1780 and they sell amazing jewelry.
Aspirational
The Aspirational buyer is different in that they are looking to make a purchase that represents self. They want their purchase to meet an internal expectation of how they determine “I have made it.”
Quick question, do you have a product that if you were to go buy that would give you the “I made it” feeling?
When attracting buyers in this category you can create marketing that shows quiet luxury.
Quiet luxury is sort of what it implies a bit more understated but flexible for the individual to express themselves.
Gucci does a great job of this and you can look at their Instagram and other marketing channels for ways that show this.
Diving a bit into each type of luxury consumer it’s important to note that you’ll have all of them who will engage with your business.
Being aware of their behavior and desires will help you to create marketing and experiences that resonate with them. Of course, you may have customers who are primarily one category based on how you create your business.
One way to define this is to review your own luxury brand strategy and get clear on how you want your brand to best show up in the market.
If you want to dive deeper into what is luxury brand strategy? Then check out the linked article in the show notes for a more in-depth look at why you need this part of your business before everything else.
As it will help to create not only a better forward-facing experience for your customers. But also it will help to make sure your brand integrity remains intact. So that when your customers, partners, employees, etc engage with your brand it’s cohesive.
Other Essentials of What Do Luxury Customers Want Before They Buy
Another thing that I want to touch on is that luxury customers want at least 2 other things regardless of the level of luxury they are within.
That is excellent quality & a great experience.
Luxury customers are great about doing research and look for quality first over price in a lot of cases. It is important that the quality of your products match the price points that you command.
Fortunately, I’ve worked with some amazing business owners who pour intention into their products. Even if there is an upcoming new product launch if the product is not up to standard. The launch will get pushed back until it’s right and sometimes things do happen during manufacturing.
Next is a great experience…which often distinguishes luxury brands from other companies. When you have a concierge experience you’ll easily pay more for the convenience. And yes, there is a difference.
Think of how you can elevate the experience of your customers. From the first interaction to the sale and beyond. You want their experience to be amazing and also make sure that everyone on your team understands the rules of engagement for your business.
That way regardless of who your customers are interacting with they will receive the same level of service and experience that they expect from your brand.
I hope you found these insights helpful if you want to know more about how to build a successful luxury brand be sure to the previous episode on 5 Elements of Building A Strong Luxury Brand.
