Why low key luxury is taking over the world, August 2013
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Transcript of Why low key luxury is taking over the world, August 2013
WHY LOW-KEY LUXURY IS TAKING OVER THE WORLD? AUGUST 2013
What is low-key luxury ?
Profile of low-key luxury Discreet logo or no logo at all Unique luxury quality (coveted materials, delicate processes) Confidential brands thriving on word-of-mouth
It can be niche brands or selected line of items that are less eye-catching than the rest of the brand offer
What is low-key luxury ?
MarniMaison Martin Margiela
Shang Xia Erdem
Jacques Britt
Why low-key luxury is becoming the norm ?
I. Fashion is in a state of perpetual renewal : After the whole extravaganza of the ‘bling-bling’ trend, it is time to keep a low profile
Absolut Bling Bling Lady Million , Paco Rabanne, 2010‘Celebration’, Madonna
Goldvish cell phone
Why low-key luxury is becoming the norm ?
II. Because of the economic crisis, customers now want to prove they are discerning rather than just rich.
They do not trade down to lower-price brands and stores, they limit the volume they purchase
There is a quest for meaning beyond labels. Consumers want authenticity as proved by the success of Shan Xia
Shang Xia collection
Why low-key luxury is becoming the norm ?
III. As luxury is becoming commoditized, consumers are looking for ‘niche brands’ which seem to offer more value & character
Luxury brands themselves have contributed to this commoditization with their diffusion brands to reach broader targets
Why low-key luxury is becoming the norm ?
III. As luxury is becoming commoditized, consumers are looking for ‘niche brands’ which seem to offer more value & character
Fast fashion & retailers like H&M have made catwalk looks affordable to the mass-market
Campaign 2013, Zara
ILLUSTRATIONS OF LOW-KEY LUXURY
From Mass luxury to Exclusive luxury
Versace
Louis Vuitton
Rolex
J’adore, Dior Santa Maria Novella
Patek Philippe
Bottega Veneta
Maison Martin Margiela
Growing importance of Bespoke
May it be tailor-made, customization, made-to-measure, demi-couture or personalization, Bespoke is one of the way to indulge yourself keeping a low profile
• In London, orders taken in 2010 by the 14 tailors of Savile Row Bespoke have increased by 10% compared to 2009
• Aston Martin recently announced that one major factor driving expansion at its Newport Pagnell factory headquarters is an extension of its Works Tailored department (personalization division)
Logofication is out
If logos were great boosters for luxury brands these past years, they are now more synonymous for mass luxury than exclusive luxury
Louis Vuitton aims at reducing the visibility of its famous Monogram fabric to promote models such as Capucine
Logofication is out
It also explains the success of Prada in China with its 8% increase in net profit for the first six months of 2013
Prada F/W 2013 collection
Sophistication is in
As customers seek novelty and understatement in luxury, they turn to more sophisticated brands. They become connoisseurs. More and more brands are adapting their speech to flatter these new experts.
Mulberry website Vacheron Constantin new mobile app
Grenson website
Harris Tweed label
In a nutshell
To make a fashion statement, the golden rule is now UNDERSTATEMENT
Affluent customers are looking for new ways to stand out from the crowd, low-key luxury is the answer for them
Low-key luxury customers want to be in the Know, not in the Show anymore
Proving that you know what luxury is without claiming it with labels & logos, that is the ultimate luxury experience
Next buzz word is ‘Stealth Wealth’