Digitization of the luxury sector, essential to its survival

Although the luxury goods sector has been somewhat reluctant to embark on its digital transformation, it is today the industry that offers the most novelties, unprecedented experiences and innovations to set itself apart and arouse desire. After all, how do you deal with the need to modernize and facilitate access to your products when the foundation of your identity, prestige and appeal is based on rarity and exclusivity? The great luxury brands have always been bold and creative when it comes to digitalization. The key to the digitalization of luxury? An identity that speaks to new generations, the next consumers to be seduced.

Premium consumer experiences driven by luxury

Luxury goods are second-rate consumer goods, defined by their rarity, excellence and high price. The sector stands out for its ultra-personalized, premium service quality, and for the unparalleled experience that is supposed to create strong consumer desirability. Digital luxury thus appears to be a rather antinomian expression, since digital tends to democratize openness to competition.

However, this disadvantage can be overcome by reversing one's point of view: easier access does not necessarily reduce the exclusivity and rarity of a product, but can on the contrary prove to be an innovative gateway to reach a new typology of consumers, a real growth lever for brands. For digital is a new buying habit and a means of continuing to stand out and increase brand awareness. The luxury sector has seized this opportunity to respond to new consumer habits, and even surpass consumers' expectations to satisfy them and surprise them even more. The luxury sector, which is accustomed to tailor-made solutions, is multiplying in-store services and experiences, to cultivate proximity and a sense of service at every stage of the customer journey.

By taking into account new consumer behaviors, the digitalization of the luxury goods industry enables us to better understand our customers through data collection, to offer them a premium experience and continue to make them dream. Despite its reluctance, the luxury sector is today one of the most innovative and creative in this field, and continues to build stronger links with its customers.

Using technology to build exclusive customer relationships

One of the differentiating assets of luxury is the exclusive, privileged relationship it maintains with its customers. It's based on the close bond created between the luxury brand and the consumer who owns its product, and feels valued by it. As for digital technology, it promises to strengthen customer knowledge and structure exchanges through data collection.

The key? A dream opportunity to develop ever more advanced and personalized experiences, to increase satisfaction and, even more, a feeling of exception. Luxury brands can expect to enhance their image thanks to the digitalization of luxury goods, as its virality makes it a formidable lever. Between reviews, shares and social networks, brands no longer hesitate to offer "Instagrammable" experiences with the help of marketing d'influence, to create a real community around their products.

By putting people at the center of their attention, brands can maximize the impact of their offers and services thanks to data; they can't do without analyzing consumer behavior and purchase signals to understand expectations and anticipate needs in order to convert more. Monitoring customer opinions and interacting with your community is an opportunity to humanize your brand image. The creation of dedicated services and the use of tools to offer premium support are two ways of marking attachment to customers, cultivating difference and favorably impacting sales. Digital luxury can deliver an unrivalled level of service to enchant the shopping experience, and bring satisfaction and loyalty.

We can see their use of technologies (Augmented Reality for fitting, Virtual Reality (VR), voice recognition coupled with Artificial Intelligence or even drones for faster deliveries) for unprecedented services and experiences aimed at customers keen on exceptional, immersive experiences.

The progressive digitization of the luxury industry

Brands surprise their target customers by offering exceptional, multi-sensory and even artistic experiences at their points of sale. A visit to the store must create and even maintain a need, to turn a new customer into a regular. The luxury goods industry is adopting the codes of e-commerce, with stores that carry no stock, but offer efficient and ever-faster ordering and delivery services. The challenge is to reproduce the fluidity of the online experience, while maximizing the benefits and experience of the in-store visit. Cultivating their prestige and know-how while bringing digital technology and innovation to bear at the heart of the customer experience - that's the challenge of the digitalization of luxury.

This is whereinteractive digital signage comes into its own, relaying digital window displays into the heart of physical points of sale. All means are good to offer an immersive, tenfold sensory experience.

British retailer Burberry is pioneering the digitalization of luxury with monumental, connected installations in its famous London concept store. Genuine touch-screen tablets and interactive screens, positioned at strategic points in the store, enable customers to order, consult the catalog and pay for their purchases. Time-saving, image-enhancing and personalized, digital signage is the ideal tool for delivering a remarkable customer experience. Attractive and interactive, it increases attention tenfold and transmits information instantly, centrally and automatically.

From catwalk shows to interactive catalogs, personalization platforms and advertising spots, digital signage provides brands with a dynamic showcase, a formidable space for self-expression, and one of the most profitable ways to enhance brand image, generate in-store traffic and maximize sales. It's one of the most cost-effective ways of enhancing brand image, generating in-store traffic and maximizing sales. Cenareo and its dedicated digital signage management system meet the digitalization needs of the luxury goods industry, for tailor-made communication at service of a unique premium experience.

Generation Z, tomorrow's customers and luxury's new target group

The luxury sector is well aware that 15-24 year-olds, known as Generation Z, are the consumers of tomorrow. It's only natural that they should be the new target for development, thanks to a number of levers.

In addition to collaborations, which represent unheard-of ways of integrating the codes of another entity for the duration of an ephemeral mix & match that allows for every whim, luxury companies are redoubling their efforts to extend their empire. In addition to an active and essential presence on social networks, notably on the latest TikTok, some brands have expanded the range of their services by offering sales via the networks, the creation of Instagram filters to try on products, advice services via visio as well as the use of augmented reality. Houses such as Gucci and Hermès have also entered the online gaming segment, a successful gamble in the age of gamification.

{{cta('a9c3190d-785d-48ac-8685-72490cbafbb5')}}

Are you looking for powerful tools to generate qualified traffic and offer your customers a unique experience? Cenareo supports companies in the deployment of their marketing omnichannel strategy, thanks to its dedicated digital signage system. Create and distribute high-impact multimedia content on your screens to surprise your customers and build loyalty.