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Week 3 Read the article and choose any luxury hotel brand and present the following on the power of the brand

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Week 3 Read the article and choose any luxury hotel brand and present the following on the power of the brand

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Your presentation must have the following;
1. Brand Effect
2. Value System
3. Value Hacking
4. Conclusion

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Brand Marketing Blog

Branding influences people desire to purchase, share, donate, etc. Why is this the case? And how can we tap into that power?

I have been studying branding for a decade and a half, and read a dozen books to answer two undying questions: what makes branding work? Moreover, how can I get people to care about my brands? I have never felt more confident about the answer then now.

What is the power of branding? The power of branding is its ability to influence behavior. We brand companies so they can build reputations. A brand with a good reputation elicits more purchases, advocacy, donations, shares, etc.

We give names, logos, taglines, and colors to organizations so that people can more easily assign reputations, attributes, and values in their mind. Subconsciously, they place the brand in their value system, which guides their next actions. If they can act to get something they value and they see the brand as helpful, then they will turn to the company.

For example, if someone wants to replace their car, they will look for opportunities. If they value sustainability, then they will see Tesla cars, ads, and showrooms everywhere, and they will be filtering out all the options and brands that they don't associate with sustainability: Jeep, Ferarri, Ram, etc. If they value ruggedness or performance, they will see the landscape entirely differently.

The power of branding comes from deep, subconscious parts of our brain that developed many millennia ago. Branding is just how these ancient yet sophisticated neural systems work in today's world.

Brand Effect
Branded products or services sell more at higher prices. They form their own market.
Organizations nearly universally understand that they need to brand themselves; they need to assign a name, logo, and foster some consistency around their communications. If every organization feels the need to do this, then the effect must be powerful.

The brand effect is the ability of reputations to influence people's future behavior. For businesses, this means branded companies sell more at higher prices, but the power of a strong brand can also affect people's desire to donate, share, participate, volunteer, file taxes, and many other desirable actions. People are more willing to associate with and help organizations that have a reputation, and names and logos help people keep track of those reputations.

In economic terms, a company's brand is its influence on the demand curve; demand moves up and to the right, meaning customers would buy more and pay higher prices. The brand effect is interesting because companies should only be able to influence the supply curve, but we observe that companies with a strong brand move the demand curve.

For example, there is low demand for electric cars, but there is a high demand for Tesla's electric cars. There is low demand for tablets, but there is a high demand for iPads. Successfully branded products seem to break from the economics of their market and form their own market.

So a brand is something that can be invested in through brand marketing and generates a return, like any business asset. The value that investment is called brand equity. The further a brand pushes that demand curve, the higher the brand equity. Apple currently has the highest brand value in the world.

Our Value Systems
Brands work because they can slot our individual value systems.
Branding works because of the human propensity to subconsciously gather attributes and build reputations. These standings help you filter information and choose your next actions.

Our ability subconscious reputation gathering evolved because it was crucial to the survival of our ancient ancestors. Remembering which berries were nutritious or what animal was a predator allowed our ancient ancestors to spot opportunities and avoid threats. We could parse the increasingly complex natural environment. Reputations are also critical for social species, like humans.

A value system if the filter of motivations and beliefs you put on the world in order to act. You may have heard of value system before in a religious or cultural context, such as the 'Christian value system' or 'western values.' This is the same context; our culture and our religion affect what we value and, in turn, how we act. However, our personality, social group, and past experiences also shape our values.

"[Y]ou can't even look at the world without a value structure," says Jordan Peterson, best selling author, and psychology at the University of Toronto, during this lecture. "It's chaos if everything is equally unimportant, or equally important."

To act, you need to know if one action is better than another. There is a nearly infinite number of things you can do. You act based on what you value.

Presumably, you are reading this article on a phone or tablet, which has a ton of apps you could be using. On the internet, there are nearly infinite pieces of content you could be reading. There are one hundred things you could be doing in your immediate environment: getting a cup of coffee, tidying your purse, talking with the person near to you, etc.

However, you aren't doing any of those things, nor would you even contemplate doing any but a tiny fraction of possible behaviors. Why? Because you value what you are currently doing or the fruits of those labors. You are perpetually trying to better your standing; you are always assuming that an outcome of an action is better than what you have at the current moment. It's the human condition.

Values can change based on your mood or physical state. When you are hungry, you see the world through the eyes of a hungry person, and you are more likely to see restaurants or ads for food. When you are feeling jealous or insecure, you notice ads for makeup or luxury cars. Facebook offers to target advertisements for brands based on mood.

Brands Interact and Slot Into Our Value System
Our value system affects the brands that we notice.

"[T]he average person sees between 400 and 5000 brand messages a day," Omar Akhtar, an analyst at Prophet said in this post, "which means that 90% of everything a brand communicates is bound to have zero impact."

So what is the difference between the branded messages that get noticed and ignored? Our individual value systems. If a brand offers something you value, you notice it's messages. If a brand has proven its value or demonstrated its alignment with your personal values, then you notice it's messages.

Let's go through a few examples:

People who value an active lifestyle are far more likely to interact with Nike, Adidas, Lululemon, or Fabletics.

People who have had continuous positive experiences with Apple don't even see messages from other phone or computer manufacturers.

People who value environmental action see brands like Seventh Generation, Patagonia, and Method.

The Porsche and the Gucci Dress
A narrative example of a couple and what they each notice.
A middle-class couple is walking down an urban street. A bright white Porsche drives by them and the man, who is a car enthusiast, gets all excited.

"Wow," exclaims the man. "That was the new Taycan. You don't see that every day. Did you like it?"

"I didn't notice..." the woman says, passively.

They continue walking down the street. After another woman in a bright pink dress passes by, the woman whispers in the man's ear.

"That chick was wearing a Gucci belted dress coat," she whispered. "Those things are really expensive. She must be a trust fund baby."

"I didn't notice...," the man says.

This story rings true because we filter the brands we see and interact with based on our values. The man values sports cars and noticed them, and doesn't care about dresses, so he ignores them - moreover, vice versa for the lady.

Value Hacking
How do you break through and into a person's value structure?
So, the consumer's brain is actively filtering out brands they don't value, but new brands are getting noticed. Actually, once a brand breaks through into people's value system, they experience breakout success with hockey stick growth curves.

How does that happen? Only a few ways: by removing a barrier to something people value, aligning your brand values with them, combining two values, framing your message in something they value, and talking directly to open people or early adopters.

1) Solve a previously unsolved problem for them.

Most name brands found their success from commercializing a new technology that solved a nagging problem for people. The explosive growth of a company that has a novel solution to a problem is what the angel investors and venture capital firms are banking on when they invest in technology startups, but innovations happen outside of silicon and software.

We wrote a case study on the success of DC Shoes. Ken Block and Damon Way, the founders of DC Shoes, had only mild success in the skateboard movement until they started combining the impact absorbing rubbers used in running shoes with the flat bottom sneakers that borders needed to perform tricks. The shock absorption reduced the injuries and aches of skateboarders feet, allowing them to stay out for longer, which they valued... a lot!

Note that this also works for non-profits. 4Ocean broke out because they found a donation model to clean up the oceans, which is a problem that people are just waking up to.

2) Align your brand values with the values of an under served group.

There are groups of people whom all share common values. These groups often rally around a brand because it speaks to their values or helps them identify with a group. You can attract an army of loyal patrons if you can align your brand's values with the values of a group of people.

For example, there are a set of people who put a high value on being able to switch from activity to everyday living. It's a very coastal Californian fantasy; do a 5k run at sunrise, towel off, and sit for your morning espresso and breakfast on a coffee shop patio.

Vuori authentically aligns with this market in both their messaging and products. They make athletic wear that looks casual. Their design ethic is: "built to move, and styled for life."

The interest (and presumably sales) of Vuori are just exploding. They have doubled their brand equity every nine months for the last 2 ½ years.

3) Place your brand at the intersection of two values.

People are never one dimensional; they always have multiple values that drive them. Sometimes there is the opportunity to combine something a group of people values with another value.

For example, everyone values humor, and some people value staying informed regarding the news. The Daily Show became the first late-night show to break out in thirty years by injecting humor and the news.

The intersectional approach is the strategy we are using with our project brand, Nordeau. We know that some people highly value skiing and/or snowboarding, and looking / smelling / feeling good for apres-ski. We hope that we can gain a loyal base of skiers and boarders by serving them and aligning with their values, and then broaden own to the broader personal care market. You can read how we arrived at that strategy in the post: Our Lifestyle Brand Strategy.

4) Frame your brand's message in something they already value.

If you cannot or are not willing to change your brand's values, but you want people to notice your message, then you can frame your message in something that people value.

Advertising agencies are masters of this. They can take messages about insurance, toilet paper, or floor cleaner, and wrap it in humor, self-identity, or family values, and suddenly people listen.

You can also do this by context. Brands use conventions to get in front of a group of people with the same value. I worked with Warner Brothers on their booth for Fan Expo, Toronto's biggest comic convention. The convention was an opportunity to frame the movies and TV series' they distribute in a way that spoke to people who valued comic book storytelling and superheroes.

5) Target early adopters or creative people.

Some people are more likely to step out of their value systems and try new things. Marketers and technologist call these people "early adopters" but psychologists define these people as high on the "openness to experience" personality trait.

These people are typically highly creative, outgoing, and have liberal political views. You may consider trying to get in front of such people with ads, demonstrations, or trials of your product.

Conclusion
Work with people's existing value, and your brand will break out.
The effect of branding is powerful, or nearly every company would not feel the need to have a name and a logo. The power of branding is to influence actions; a strong brand can lubricate the process of asking for purchases, likes, shares, donations, or whatever action a business desires.

The branding effect is powerful because it is subconscious. We evolved the ability to gather reputations. The reputations we have in our lower level brains allow us to filter the information from our environment and spot opportunities. We all filter out messages from brands we do not care about, and actively look for info from brands we do care about.

So how do we, brand builders, make sure our brand is on the list of what people care about? You have to work with what people already value.

We all value safety, family, social groups, status, freedom, self-expression, and self-actualization. However, individuals can have very different values; surfers value the ocean lifestyle, while Wall Street bankers value making money.

For your brand to break out, you need to find under-served groups and understand what they value. They either have trouble accessing what they value or doesn't find brands that align with their values. Serve those people, and your brand will find success.

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The Power of Branding: Brand Effect And Why It Works - BMB

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Branding influences people desire to purchase, share, donate, etc. This makes companies with strong brand able to charge more and sell more. Why is this?

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Tutorial questions

Q1 emotion is something that is out of your control, thus, using emotion to connect or attract customers is the most effective way to build long term relationships. Buying luxury brand products makes them feel good and brings them to a higher level of position,and showing off what they bought and getting likes from others feels great, too. That is why young people are willing to spend their money to buy luxury brand goods or services and posting. Emotional services create something unusual, special and unforgettable to the customer. The feeling for eagering to have this experience again is addictable. And this is the luxury hospitality industry’s advantage and strategies to bring customers back to them again.

Q2 emotional connection is incredibly important because this is what customers remember eventually. after their staying, they will forget about what they felt and experience after a while however, when they plan to gp travel or get themselves something special, they will remember how nice their experience was last time. Once you start remembering how they felt about it, customers won’t be able to stop thinking about having it again and coming back.

Q3 and Q4 daina

Q3：Aman Resorts: Aman Resorts focuses on providing guests with tranquil and exclusive retreats in unique destinations around the world. Their properties are often located in secluded and breathtaking locations, offering a sense of escape from the hustle and bustle of everyday life. Aman Resorts' success lies in their commitment to creating a serene and immersive environment, where guests can disconnect from the outside world and experience tranquility. Attention to architectural design, use of natural materials, and integration with local culture also contribute to the emotional appeal of their properties.

Q4:

Storytelling and Brand Narrative: Develop a compelling brand story that resonates with your target audience. Luxury brand hotels are adept at crafting narratives that evoke emotion and create a sense of longing. Connect with customers on an emotional level by consistently communicating the brand story through a variety of channels, including websites, social media and on-site interactions.

Loyalty and Rewards Program: Implement a loyalty program to reward and recognize customers. Offer exclusive deals, personalized offers and surprise gifts to strengthen the emotional connection with your loyal customers. Make them feel like valued members of a unique community and foster a sense of belonging and attachment to the brand.

Q5 zi yang

With the slowly increasing pace of activity since the nationwide lift of Covid-19 lockdown, despite the worries of many, hospitality businesses are seeing the increasing return of customers coming back to enjoy its luxury services it offers. Due to the increasing influx of customers after years of slack, the staff may not be able to effectively accommodate and engage with customers with complete care and forge emotional connections with them. I believe the hotels can host a training program that trains them on how to emotionally connect with the customers such as by actively listening to them, showing the staff's willingness to help and personalize your marketing efforts. They can also implement additional staff to the frontline, preferably a wide array of different nationalities, locals and internationals. The locals from the local populace as they have a much more mutual understanding with each other and internationals who are multilingual that are able to communicate with international foreigners and meet their needs.

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Question 1:
Emotional branding is the process of forming a relationship between a consumer and a product or brand by provoking their emotions. Marketers achieve this by creating content that appeals to the consumer's emotional state, ego, needs, and aspirations.

They experience emotions of trust, security, contentment, and confidence. These emotions are evoked by perceptions that their luxury brands are authentic and timeless. For these consumers, it is not enough that a product is well designed and crafted with the best materials and workmanship.

Question 2:
Emotionally engaged customers are three times more likely to recommend a product or a service and three times more likely to repurchase from the same brand. Emotions build loyal clients. The richer the emotional content of a brand mental representation the more likely the consumer will make future purchases and become consumer loyalty. Research revealed emotional customers spend twice as much as satisfied customers. Customers who feel emotionally connected to a brand are more valuable than satisfied customers.

Because the desire to buy is about status, the psychology of why we buy designer things deviates from conventional economic logic. The higher the price, ostensibly, the more status you're purchasing.

Question 3:
Strengths of Luxury Brand Management
Brand Authenticity and Production:
Focused on quality, production, and attention to detail, luxury businesses frequently highlight these attributes. The premium cost can be supported by this authenticity and brand loyalty can be increased.
Example: Hermès is known for its handcrafted leather goods and exceptional craftsmanship, which have become synonymous with luxury and exclusivity.

Weaknesses of Luxury Brand Management
Balancing Tradition and Innovation:
Luxury brands frequently maintain a balance between appealing to changing consumer demands and the desire to maintain their legacy and heritage. For brand management, finding the ideal balance between conventional elegance and innovation can be challenging.
Example: Burberry made an effort to revamp its brand image in 2018 with a new logo and streetwear-inspired designs, it received criticism from certain devoted customers who thought the brand was departing from its historical roots.

Question 4:
Understanding customers: It is important to identify the different customer segments that are targets for the brands. This will help identify their specific needs, which tend to differ from customer to customer. Luxury brands would be able to provide services tailored to each segment.
Exclusivity: Luxury brands must provide unique and exclusive products to their customers. Customers are often motivated to buy such products as they create a sense of high status. VIP events, limited edition production, and even personalized benefits such as product recommendations and tailored experiences are a few examples.
Engaging customers: It is very important to ensure that the customers are emotionally aligned with the brand and their values. Luxury brands must engage with their customers in order to maintain an emotional and social connection. This can be done by listening to customer feedback and addressing their concerns.

Question 5:
- Limited Customer Interactions: Due to the high volume of guests, it may be difficult for large hospitality businesses to engage meaningfully with every customer. This restriction may make it more difficult to forge emotional bonds.
Strategy: Staff Development and Training Give frontline employees thorough instruction in empathetic customer service, active listening, and effective communication. To give guests a more intimate experience, encourage staff to have sincere conversations and offer tailored recommendations.
- Cultural and linguistic barriers may arise as a result of the diverse clientele that hospitality businesses frequently serve. These obstacles may make it difficult to communicate effectively, which can hinder the development of emotional connections.
Strategy: Cultural sensitivity and multilingual staff: Employ staff who are fluent in the various languages that visitors frequently use to communicate. Promote cross-cultural training to improve sensitivity and understanding of people from different backgrounds. When necessary, use digital tools or translation services to fill in communication gaps.
- Lack of Feedback and Understanding: It can be difficult to tailor experiences to satisfy particular emotional needs when there aren't adequate feedback mechanisms or an understanding of each customer's unique preferences.
Strategy: Customer feedback should be gathered and analysed. Put in place systems to collect customer feedback, such as surveys, reviews, and social media tracking. Consider patterns, preferences, and potential areas for improvement as you analyse the feedback. Utilise this information to create more individualised experiences, foresee customer needs, and strengthen emotional connections..

Additional question AI:
Artificial intelligence (AI) is quickly becoming a must-have for businesses trying to improve the customer experience, increase revenue, and get useful insights from data. Luxury goods and jewelry companies have adopted artificial intelligence (AI) technology such as chatbots and face recognition to improve the client experience and provide personalized product suggestions.

Examples of Artificial Intelligence in the luxury brand are Chatboxes, Facial Detection and Recognition, Maps and Navigation, and Search Algorithms.

As digital technology advances, luxury brands and jewelry firms are increasingly embracing digitalization to remain competitive. The increasing usage of artificial intelligence (AI) is one of the most important developments in this business.

Focussing on the Hotel industry, AL is not only present in the operation of the hotel, but in revenue management, sales, human resources and labor, marketing, and not to forget the guest experience.

An example is that Hotel workers can communicate with visitors in real time, providing personalised suggestions and support, thanks to AI-powered chatbots and virtual assistants. Smart room technology combined with AI can make visitors' stays more comfortable and easy.

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For Mandarin Oriental’s distribution strategy, it focusses more on indirect distribution strategy together with the exclusive distribution option when selling its luxury brand products. Indirect distribution means it focuses on the manufacturers using intermediary businesses or organizations logistics capabilities to sell its products to consumers along with exclusively only selling its luxury products at a few known locations. For Mandarin Oriental, it sells its hotel exclusive products online such as a traditional Chinese fan created only by the renowned art director, fashion designer and Oscar-winning artist Tim Yip (winner for Best Art Direction for the movie Crouching Tiger, Hidden Dragon) and the Thai silk scarf, designed by legendary fabric house Jim Thompson exclusively. In addition, at Mandarin oriental Bodrum, through one of the hotel’s branches, the luxury brand Chopard, a Swiss manufacturer of luxury watches, jewelery and accessories available in retail store at the area.

Distribution Channels: online platforms
E-Commerce and Interactive Marketing
The Group's website has comprehensive and informative information on each of its luxury hotels around the world.
Information. The website is available in multiple languages and mobile devices.
A comprehensive app has also been created for the app store. Guests can quickly and easily discover the rates and packages that best suit their needs, then instantly confirm booking for the accommodation of their choice. Then book the accommodation of their choice and get instant confirmation. Extensive, ROI-oriented, search and online marketing strategies further drive customer awareness. Additionaly, Mandarin Oriental introduced RedX Distribution Management System for distribution across all channels. RedX is upgraded system of SynXis, the new feature is added which is dynamic package component to sell multiple revenue sources like spa, golf and f&b.
reference: SYNXIS REDX™ DISTRIBUTION MANAGEMENT SYSTEM GAINS MOMENTUM AND CUSTOMER APPROVAL « Sabre
Synxis to Provide RedX Distribution Management System for Mandarin Oriental Hotel Group « Sabre

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Press Release

DALLAS, TX - June 17 - SynXis, a Sabre Holdings (NYSE:TSG) company, today introduced RedX, the new name for the next-generation distribution management system that was recently launched and is now in use by 500 hotels around the world.

"We wanted to give the new product a name to differentiate it from our classic systems and make it stand out from the competition," explained Bill Nicholson, president and general manager, SynXis. "After doing some market research, we realized the best name was literally right in front of us the whole time. The 'RedX' is something that has been used in the SynXis name and collateral since the company's inception in 1996."

New functionality is frequently added to RedX based on customer feedback and the needs of the marketplace. The latest features include a dynamic packaging component that enables properties to sell multiple revenue sources such as golf, spa services and food and beverage all on the same booking. This feature is available on the booking engine and the direct voice application so reservation agents can also sell packages.

Another in-demand feature recently released is the Group and Wholesaler Rooming List Import functionality. Hotels can import multiple reservations for groups or wholesalers into RedX from any spreadsheet and save time and costly errors when those reservations are then delivered directly into the property management system via an interface.

"We had been using the classic SynXis CRS for four years and our sales
manager introduced us to RedX," said Mike Ouimet, director of sales &
marketing at the Wilshire Grand Hotel in Los Angels. "We were impressed by the easy navigation, comprehensive reporting and, most of all, the animated, user-friendly booking engine which has already increased the bookings from our website. I was also told that we could give input as to how the system should evolve and I haven't been disappointed in how quickly the SynXis development team responds to our needs."

"Being an industry leader, SynXis is in a unique position to shape the direction that distribution management will take in the future," commented Nicholson. "We will continue investing in our products and services to ensure RedX meets our customers' needs both now and into the future."

To learn more about the latest SynXis offerings, visit them at booth #419 at HITEC (http://www.hitec.org/), June 21 - 23 at the Los Angeles Convention Center.

About SynXis® Corporation
SynXis, a Sabre Holdings company, enables hotels to maximize revenue and reduce costs through innovative, market-driven technology combined with outstanding customized support. The RedX™ Distribution Management System, at the solution's core, empowers hotel operators to consolidate and manage hotel inventory from all sources - seamless GDS connectivity, popular Internet travel sites, private-label central reservations systems, and full-service hotel Web sites. It also helps hotels build revenue by enabling them to independently manage each distribution channel from one easy-to-use control center. All of these reservations can connect directly with the PMS. SynXis is the technology source for more than 7,000 hotels, bed and breakfasts, resorts, and destinations, including, Harrah's, Vantis, Interstate Hotels & Resorts, Destination Hotels & Resorts, and Jumeirah Hotels.

SynXis' corporate headquarters is in Dallas, with offices in Denver, Boston and Amsterdam. For more information on SynXis and its products, please call 303-595-2500, e-mail info@synxis.com, or visit our Web site at www.synxis.com.

About Sabre Holdings Corporation
Sabre Holdings, an S&P 500 company, is a world leader in travel commerce, retailing travel products and providing distribution and technology solutions for the travel industry. Sabre Holdings supports travelers, travel agents, corporations and travel suppliers through its companies: Travelocity, Sabre Travel Network, and Sabre Airline Solutions. Headquartered in Southlake, Texas, in the Dallas-Fort Worth Metroplex, the company has approximately 6,800 employees in 45 countries. Full year 2004 revenues totaled $2.1 billion. Sabre Holdings is traded on the New York Stock Exchange under the symbol TSG. More information is available at www.sabre-holdings.com. CONTACT: Sabre Holdings Corporation, Nanci Williams, 682-605-2271 nanci.williams@sabre-holdings.com

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SYNXIS REDX™ DISTRIBUTION MANAGEMENT SYSTEM GAINS MOMENTUM AND CUSTOMER APPROVAL

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DALLAS, TX - June 17 - SynXis, a Sabre Holdings (NYSE:TSG) company, today introduced RedX, the new name for the next-generation distribution management system that was recently launched and is now in use by 500 hotels around the world. “We wanted to give the new product a name to differentiate…

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Luxury brands, including the Mandarin Oriental Hotel Group, use international distribution channels to reach their target markets and distribute their products and services effectively. Here is an example of how the Mandarin Oriental Hotel Group utilizes distribution channels:

The Mandarin Oriental Hotel Group has implemented SynXis' RedX Distribution Management System for distributing their hotel portfolio across all channels. SynXis has been providing customized booking engine services to Mandarin Oriental hotels since 2000, ensuring strong conversion rates. By using SynXis' RedX system, the group can connect with various distribution channels, including travel agents through global distribution systems (GDS), consumers booking via online travel sites, and the SynXis global call center service available in multiple languages.

This partnership allows the Mandarin Oriental Hotel Group to benefit from SynXis' expertise in managing distribution across different channels. They can effectively reach their target audience and optimize revenue management strategies. Additionally, the integration of RedX with the Springer-Miller property management system through Property Connect enables the group to have a single-image inventory and achieve consistency across all channels.

The example above showcases how a luxury brand like Mandarin Oriental utilizes distribution channels, including online platforms, travel agents, and call centers, to ensure widespread availability of their services and maximize their reach to potential customers.

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Luxury brands take part in exclusive distribution. This method creates brand exclusivity and sets its product apart from competitors. Exclusive distribution assists in the help to build a strong base of loyal customers. It also raises clients' desires which creates a hype in the market.

Manufacturers and distributors use exclusive distribution as a marketing technique. Unlike other channels of distribution, distributors in this scenario are given exclusive rights to sell items inside a certain geographical region based on business standards. Manufacturers pick a few sales outlets to create a level of exclusivity for an item or brand, like luxury goods or exotic vehicles.

To maintain a strong position in the market, the corporation may limit the number of items it distributes to retailers at times. The company also has more control over manufacturing, price, contract negotiations and more because it involves fewer entities in the process. Products sold are more exclusive and high quality which adds to brand image.

Online channels such as websites, OTA (Online Travel Agency), and GDS (Global Distribution System) are frequently used by hotels. The company website provides details about the various products and services that are being provided. Partnering with OTAs helps bring in a lot of exposure, attracting more customers whereas GDS brings in more corporate business.

Mandarin Oriental
international distribution channel: Loyalty program - Mandarin Oriental's unique guest recognition program, Fans of M.O. If you sign up, you will have access to free WiFi and special member-only deals, such as discounted dining at all Mandarin Oriental restaurants. Two additional benefits, such as early check-in or late check-out, a dining or spa credit, daily breakfast, or a room upgrade, are also available when you book your stay on mandarinoriental.com. https://www.mandarinoriental.com/en/fans-of-mo/faq

Anticipating the post-pandemic travel surge, Mandarin Oriental unveils online presence to match the luxury experience of its hotels; results already indicate a significant impact on bookings and engagement.

Valtech has partnered with Mandarin Oriental Hotel Group to launch a new digital experience. Mandarin Oriental had the foresight to invest early and put themselves at the forefront of the industry in preparing more personalized digital experiences to greet increased post-COVID traveler demand, which is forecasted to continue to increase sharply through 2026. Partnering with Valtech to transform its online presence in the heart of the pandemic resulted in an initial relaunch in time for the first travel surge in December 2021. This rapidly showed results; the average revenue per booking increased by more than 40% and engagement behaviors rose more than 10%. https://www.valtech.com/news/mandarin-oriental-and-valtech-take-lead-in-post-pandemic-travel-rebound-with-enhanced-digital-customer-experience/

franchise/ management agreements: Mandarin Oriental Hotel Group is delighted to announce that it has signed an agreement with the Al Khozama Company to manage and ultimately brand the Al Faisaliah Hotel, Riyadh.
The Group will take over the management in the first quarter of 2021. The hotel is undergoing a guestroom and public area renovation which will be completed at the end of 2021, after which it will be rebranded Mandarin Oriental Al Faisaliah, Riyadh.

The Al Faisaliah Hotel is in the Central Business District of Riyadh, and comprises 321 guestrooms and suites, with interiors designed by Adam Tihany Design, New York. Also featured of restaurants, lounges and bars, a top floor, swimming pool, Spa, and fitness center.

The Al Faisaliah Hotel has been a leading light in Saudi Arabia’s hospitality sector since opening its doors 20 years ago. We are pleased to be partnering with Mandarin Oriental to further develop the hotel and to create the most luxurious and sophisticated property in the region. https://hospitality-on.com/en/marketing/mandarin-oriental-announces-management-contract-riyadh-saudi-arabia

Place/distribution
This Marketing Strategy element requires Mandarin Oriental International Ld to make some important decisions when developing its distribution plan. It should decide:

Whether the company wants to make the product available to targeted customer segments through its channels, or it needs a distribution partner to serve the customers' needs.
Whether the distribution will be direct (involving no middlemen), or indirect. If indirect distribution strategy is adopted, the number of middlemen must be selected (wholesalers, retailers etc.)
Whether it is interested in: traditional brick and mortar distribution network, online distribution or a combination of both. Certain online retailers like Amazon are available if online distribution strategy is chosen. The company can also develop its online website to sell the product.
Modern customers give high importance to the ‘convenience’ and ‘easy availability’. The selection of ‘right’ distribution channels will require Mandarin Oriental International Ld to:

Firstly, consider the product characteristics. Involving various middlemen to distribute perishable products will not be a wise decision if the product is perishable.
Analyse the market dynamics, customers' preferences and own resources and capabilities. If customers place high importance to personalised services and prefer shopping from traditional stores rather than online channels and firm also has enough resources to open their outlets, than distribution strategy should be set accordingly.
The competitors’ distribution strategies also need to be studied. A comprehensive cost-benefit analysis of each channel and comparison with own resources and capabilities will help Mandarin Oriental International Ld develop an effective distribution plan. https://www.essay48.com/marketing-strategy/9034-Mandarin-Oriental-International-Ld-Marketing-Strategy

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Luxury Brand Internationalization Topic 10!

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Luxury Brand Internationalization Topic 10!

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Class Online Test: Redefining Luxury Brand with Four Seasons

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Class Online Test: Redefining Luxury Brand with Four Seasons

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Q1. What are the 3 key strategies of managing luxury clients mentioned by

Mr. Tom Roelens?                                                                                        15 marks

Q2: What are the various luxury products under the Four Seasons Brand and what is their communication strategy?                                                                 5 marks

Submit your answers in the assignment link on MyTimes.
All the best!

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Redefining Luxury in the Hotel Industry_ By Mr.Tom Roelens, then GM Four Seasons. GRC_2019

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All students reported at Mandarin Oriental KL hotel for the briefing on their case study in the various deparments. All 13 students were split into smaller groups and had to report to various department heads such as HR mgr, F&B, Housekeeping, S&M for their special projects. The students will present their case study on the 4th July 2023 Week 14 of the semester which will be graded by the MO hotel managers and Module Lecturer.

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Group 2: Elisa, ChuHee, Longwei, Alban & Lucas

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Group 2: Elisa, ChuHee, Longwei, Alban & Lucas

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Here is a little video representing the power of the brand:
https://youtu.be/5c9RVGlUKDM
https://youtu.be/5c9RVGlUKDM

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References:

https://www.mandarinoriental.com/en/our-company

https://martinroll.com/resources/articles/asia/mandarin-oriental-a-leading-asian-hospitality-brand/

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Critique the Brand Architecture of Mandarin Oriental. The various products, countires, hotel types, etc. Now critically analyze Mandarin Oriental KL in terms of Clientele, S&M stretegies deployed, Loyalty Programmes, Services and Facilities

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Critique the Brand Architecture of Mandarin Oriental. The various products, countires, hotel types, etc. Now critically analyze Mandarin Oriental KL in terms of Clientele, S&M stretegies deployed, Loyalty Programmes, Services and Facilities

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Condé Nast Traveler Readers' Choice Awards

We're thrilled to announce that Mandarin Oriental, Kuala Lumpur is nominated for this year's Condé Nast Traveler Readers' Choice Awards. Voting is now open.

View All

Rooms

Club

Apartments

Suites

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Condé Nast Traveler Readers' Choice Awards We're thrilled to announce that Mandarin Oriental, Kuala Lumpur is nominated for this year's Condé Nast Traveler Readers' Choice Awards. Voting is now open. View All Rooms Club Apartments Suites

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Product
-Rooms: deluxe city view room, deluxe park view room, twin towers view room, executive park view room, club deluxe city view room, club park view room, club twin towers view room, club executive park view room, 2 bedroom executive apartment, 2 bedroom executive premium apartment, park suite, 3 bedroom executive apartment, club suite, royal suite and presidential suite
-Dining
aqua restaurant & grill bar
mandarin grill
mo bar
Mosaic
The mandarin cake shop
-Spa: spa, sauna, steamy rooms and vitality pools, fitness center, mind & body studio and PBI tennis courts.
-Explore: mike bikes city tour, an ocean of discovery, sasaran sky mirror, a visit through time with royal Selangor. Durain pancakes with chef Michael Wong, durain feast, authentic Malay cuisine with chef saiful asrul.
-Gift card
-merchandise:Shop a wide range of bedlinens, bathroom specialties, bathrobes, slippers and signature Mandarin Oriental aromatherapy spa products.
-Special event packages: bliss wedding package, elegant wedding package, mutiara wedding package and intan wedding package.
-Expert planning: weddings, catering, perfect touches, spa, weddings and honeymoons
-M.O. membership:

Daily Breakfast

Dining or Spa Credit

Room Upgrade

Early Check-In

Late Check-Out

Streaming WiFi

Celebratory Treat

Pressing Services

-Meeting: business meetings such as have peace of mind and mindful meetings at rooftops to boardrooms

Countries
24 countries and 36 hotel and resort 9 residence in the world

Hotel types
-historic hotels (Madrid, Hong Kong, London)
-city escapes (Tokyo, Singapore, Beijing)
-exotic resorts (Dubai, Sanya, Abu Dhabi)
-exclusive homes
-O&MO alliance (MO members and Oberoi Hotels & Resorts’ Oberoi One programmes will enjoy satying at Mandarin Oriental and Oberoi Hotels & Resorts )
-Residence

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The clients that buy luxury brands are looking for high quality products and are willing to pay more for a better, customized product and a meaningful experience. They prefer shopping physically than on the internet as touching and feeling the product is an essential part in the luxury shopping experience. Luxury guest services are often tailored to the specific needs and preferences of each customer.

Chinese customers prefer to collect their product and the information they are looking for rather than going around the shop.

Luxury brands usually offer personalized communication, customized services and special treatment and are working on providing more digital services. They also take the time to regularly collect customers' feedback. The brand has to track the key metrics and incorporate executive attention to enhance the customer experience.

Luxury guest services must also provide a seamless and effortless experience to their guests, from the booking process to the end of the stay.

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A luxury brand marketing strategy aims to create the highest brand value and pricing power by leveraging multiple brand elements, such as heritage, country of origin, craftsmanship, scarcity, and prestigious clients.
- Exclusivity: Luxury products tend to be more expensive, made with higher quality materials and last longer than their competitors. Customers are looking for the best products and services made by top professionals. This is often instantly recognisable, which separates the different types of luxury markets. If any of these things don't agree with the target customers, the  brand perception can go from "luxury" to "torn" in an instant.

- By using brand identity: In order to set your company apart from the rest of the competitors in the market, brand identity is crucial. It distinguishes the business and makes it stand out from the other businesses that offer comparable goods or services. It ensures originality and makes the brand noticeable to potential customers in the marketplace. Brand identity is the visible elements of a brand, such as color, design, and logo that identify and distinguish the brand in consumers' minds. Consistent marketing and messaging lead to consistent brand identity and, therefore, consistent sales. Building a positive brand image can bring in consistent sales and make product roll-outs more successful. Building a positive, cohesive brand image requires analyzing the company and its market, and determining the company's goals, customers, and message. Social media is a powerful driver of brand awareness.

- by pricing: Luxury brands cater to people who have the means and desire to pay more for better features and quality. From the consumer's point of view, the price of a product must match its quality for luxury brands (as some people frequently equate high price with high quality). Because of the higher quality, components, customer care, or procedure, consumers spend more.

- distribution channels: Distribution channels are important to businesses as they allow for the smooth delivery of goods or services to a customer. If a business does not source the best collection of businesses for this purpose, it can lead to unhappy customers and an inadequate provision of services. Creating an efficient process from warehouse to customer can make a huge difference in how customers view your business.

- intellectual property: IP rights are critical for all businesses to protect the development of new products and to create a brand in the market. Intellectual property rights are a mix of trademarks, copyrights, patents and designs. IP law protects the goods and fashion designs from being copied or pirated. IP contributes a lot to saving the fashion designers and creators from the evils of counterfeiting and imitating.

One person who does believe that money can be made by branded luxury resale is Andy Ruben, Founder and CEO of Trove, which allows brands to reclaim control of their own pre-loved merchandise.

Luxury brands used to be allergic to the idea of reselling pre-owned fashion but they have acknowledged the shift in consumers’ perception that the luxury experience today is no longer tied to the satisfaction of being the first owner of a product. High resale turnover and attractive prices, for both buyer and seller, indicates that the value of well cared for luxury goods do not distinctively erode over time. It makes perfect sense for luxury retailers to embrace new opportunities to keep these consumers within their own ecosystem.

By controlling their own resale channel, luxury brands will be able to offer their consumers a much richer and more authentic brand experience than any third party. Cultivating a deeper relationship with the consumer that goes beyond simply the transactional can be achieved by offering early access to new merchandise, incentivizing trade-in for new items, and other VIP perks. Moreover, the brands themselves will gain invaluable data and insights that will allow them to foster a much more loyal consumer for life.

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1. Customers expect customized attention and experience to suit their personal tastes and needs.
2. the article emphasizes the importance of luxury accommodation services and luxury amenities and facilities.
3. some customers expect knowledgeable and attentive employees who can anticipate and exceed their expectations. In doing so, they expect excellent customer service.
4. Sustainability and social responsibility are becoming increasingly important. Many high-end hospitality companies are investing in sustainable practices and initiatives

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Innovating, differentiating and upgrading would be the core of the luxury brands to make them special and to keep delivering the value which is something just more than money.

Customer demands and needs are changing and innovating helps luxury brands to catch up the customers' today's demand and respond to it. For example, recent trends are sustainability and experience. To fulfill this demand, luxury brands should innovate new items using renewable raw materials like GUCCI or promote recycling their products like UNIQLO does.

Differentiating makes brands’ uniqueness and it could be the reason why people choose to buy products or services from them. Luxury brands need to think about what their brand stands for and brand culture to differentiate brand from competitors and counterfeits. If they don’t know their selling point and just rely on the logo, it would cause people to feel “emptiness” of the brand. In other words, other than the brand name, they have nothing special to show to the customers. As a result, it is easy to copy the products and sell them at the market as a real one, and the customer would be persuaded easily to buy fake ones because they will think it’s not really much different between original and fake products, in the customer's point of view, what’s the point they pay more money and choose to buy original one and use their money in other areas. To prevent this kind of activity from happening and becoming widespread, they really need to show their privilege and emphasize it to the customer. It would be materials, skills, technology they invented, and the way of service or marketing. Take Creed for example, they are not producing a very new scent or product however instead they are  ‘recreating’ the perfect and signature perfume of popular brands for a broader demographic. Their chemists can extract essence from finest ingredients and recreate perfume with their traditional technique.

Asking help to the government and the e-commerce organizers to detect and remove the fake products is one of the way, however, it may not be the smartest way and waste of manpower and money because others would come up and do the same things. Another way is that the brand business can educate the consumers regarding counterfeits and how to spot them so they purchase the correct and authentic products and dispelling the allure that attracts consumers to buy fakes.

Also, to control the product's lifecycle, upgrading will play a big role in that. Upgrading products with new or additional functions or service and reintroducing it will help to boost the sales. Or limit the number of products, and reproduction of the products prevent products life to quickly go into a decline phase.

Secondly, making products is more than selling the numbers and shelving numbers. The product is key: your focus may be on sustainability, adventurous outdoor lifestyles, urban sports, streetwear, or something else really cool. Whatever you love and want to share with your customers, you know that the people who buy from you want authentic products and experiences. Product design, quality, fit and thorough attention to detail are critical. Business sustainability is a popular topic and is fast becoming a must-have healthcare factor for companies that want to resonate with and earn the loyalty of their global customers. Take muji as an example: MUJI has an extensive and expanding supply chain of 200 suppliers and 800 subcontracted manufacturers in 20 Asian countries, producing a wide range of apparel, home furnishings and food products on a massive scale. Muji ensures a longer product life by producing high-quality products, thereby reducing the frequency of product replacement. MUJI strives to ensure that all of its activities, including those of its business partners, do not contribute to human rights issues, including harassment, discrimination, modern slavery and human trafficking.

In conclusion, Luxury Brands would be able to maintain their products' desirability and exclusiveness that would ignite the fire in the consumer’s minds to motivate or implant in their minds the notion of the brands in a positive light. Lastly, Luxury Brands are able to control the life cycles of their products which makes it very flexible in terms of managing.

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Group 2: Longwei, ChuHee, Alban, Lucas & Elisa

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Group 2: Longwei, ChuHee, Alban, Lucas & Elisa

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Luxury brands have to put a lot of effort into controlling their products and their lifecycle in the marketplace. It is essential to maintain the exclusivity and value of the brand and not to lose it to counterfeit products.

Luxury brands will adopt a variety of strategies to control their products and lifecycles. First, they create exclusivity and rarity by limiting the production of a product and adjusting its price. Limiting production will create a sense of urgency among consumers, stimulating demand. In addition, it will prevent resale through price increase and have the unique value of the brand. In fact, the price of Chanel handbags has risen 70% from five years ago, and Dolce & Gabbana has discontinued the cheaper D&G brand.

Second, to maintain strict quality control measures. Brands can maintain the quality of their products by using the best materials and employing skilled artisans. By maintaining strict quality control measures, they can make a great contribution to maintaining your brand's reputation and value. A prime example is Chanel, which is known for maintaining stringent quality control measures to ensure that it meets the high expectations of its customers.

Thirdly, carefully manage distribution channels. Brands should carefully select distribution partners and limit the number of stores that reconsider their products. In this way, control over distribution can be maintained, and exclusive stores can increase the exclusivity and reputation of products. Chanel opens stores in iconic and prestigious locations to further enhance its exclusivity and coveted values.

Finally, it is about engaging in brand collaborations and partnerships. Collaborate with other brands or designers to create unique and exclusive products to strengthen your competitive edge. In fact, Chanel collaborated with Pharrell Williams to create a limited-edition sneaker that garnered a lot of attention and boosted sales.

Furthermore, the article also highlights the importance of the design and history of a luxury brand's product in controlling its lifecycle in the market. In today's fast-paced world, fashion trends come and go quickly, leaving many consumers feeling pressured to constantly update their wardrobes to keep up with the latest styles. However, there is a growing movement towards more sustainable and ethical fashion, which emphasizes the importance of investing in high-quality, timeless pieces that can be worn for years to come. This shift in consumer values means that brands must adapt their strategies to meet the demands of their customers. For example, the design of the 255 Reissue or Classic Flap is timeless, and its history is steeped in the legacy of the brand, which adds to its prestige and value. By creating iconic designs and promoting their history, luxury brands can ensure that their products remain desirable and valuable over time.

A luxury brand's ability to control its product and lifecycle is critical. By adjusting prices, limiting production, maintaining strict quality control measures, managing distribution channels, and engaging in brand collaborations and partnerships, brands can create exclusivity and scarcity and preserve their reputation and value. Finally, the Chanel 255 Reissue or Classic Flap is a classic example of how luxury brands can control their products and lifecycles in the market. The brand's approach has allowed it to maintain high prices, avoid overexposure in the market, and preserve its reputation and value, which are all critical factors for success in the luxury goods industry.

In conclusion, luxury brands can control their products and lifecycles in the market through various strategies such as limiting the production and distribution of their products. Overall, by carefully managing their brand image, production, distribution, and customer experience, luxury brands can maintain their exclusivity and desirability, and control their products and lifecycles in the market.

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Re-analyse the article from last week and and critique the distinguishing points on Luxury Guest services provided by companies and expected by customers.

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LuxHub reveals its first global observatory on The Luxury Customer Journey that examines the path to purchase for luxury fashion goods. The proprietary study, conducted in 8 markets with over 6,400 consumers and 25 brands, gives luxury fashion companies a clear understanding of the strategic roadmap they need to develop to engage their target in each market, with a strong focus on their digital transformation.

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1. brand effect
based on thier vision which is 'one that focuses on the guest, first and foremost' they  have provided luxury and unforgettable experience to the guests. always being pioneer of luxury hospitality and they show and power of influence by their excellent services.
soure: The Vision of Four Seasons - Four Seasons Magazine

2. Value system
One of the 4 season's services are 4 seasons  private retreats. The services aims to provide guests to have a beautiful, private place of home that your families and friends can reconect and create memoriable experiences together. People who are lean towards this kind of experience and values are likely attracted or interact with 4 seasosn private residences.
source: https://www.fourseasons.com/privateretreats/

3.Value Hacking
Four Seasons solves previously unresolved problems for guests.
In 1972 Four Seasons focused on mid-sized hotels of exceptional quality, striving to be the best in the destination. This is because Four Seasons believes that quality is the key to a hotel's success and offers 24-hour service. The next Four Seasons' second concept was a service-defined luxury. The Four Seasons is remembered by guests through luxury service. The Four Seasons brand broke through people's value system, a trend that continues so Four Seasons has grown from three hotels in one country to a single hotel brand with more than a dozen hotels in three countries.

source:The Vision of Four Seasons - Four Seasons Magazine

4.conclusion
four seasons always provide luxury stay and exceptional quality service by looking at each of the customer demand and needs. that is the way they create value for the every customer.

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Lisa Oude Maatman, Aminath Auni Zaki, Rendi, Ella van der Voorn, Stéphanie Shannon-Perrinaud

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Lisa Oude Maatman, Aminath Auni Zaki, Rendi, Ella van der Voorn, Stéphanie Shannon-Perrinaud

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Hotel brand selected : Marriott

Question 1 : Brand effect
This brand represents luxury hotels, consistency, quality, reliability and trust.

Source : https://marriott.gcs-web.com/static-files/6c691ae7-0c1e-44ff-85c0-4a790721428b#:~:text=The%20Marriott%20brand%20represents%20consistency%2C%20quality%2C%20reliability%20and%20trust.

Question 2 : Value System
Marriott has a value system that puts people first, pursue excellence, embrace changes, act with integrity and serves our world.

Source : https://www.marriott.com/culture-and-values/core-values.mi#:~:text=Our%20core%20values%20make%20us,integrity%20and%20serving%20our%20world

Question 3 : Value Hacking
Mariott uses data to inform decisions about their customer experience strategy. They use it to know and refine their customer experience. They also reward their loyal customers by offering them free nights.

Source : https://sharpencx.com/blog/marriott-customer-experience-strategy/#:~:text=Marriott's%20customer%20experience%20strategy%20uses,to%20refine%20their%20customer%20experience

Question 4 : Conclusion
Marriott is a brand known for their quality services in the luxury industry. They put their customers first so they have a special and personnalised experience. The brand manage to have loyal customers by rewarding them with gifts.

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1.    Select a luxury product category (or sub-category). Who are the brand leaders in this category?

Luxury Brand of Car, this is the top 10 brands leader in this category:

-        Rolls-Royce Motors Cars

-        Lamborghini

-        Ferrari

-        Bugatti

-        Bentley

-        Aston Martin

-        Maserati

-        Porsche

-        Mercedes Benz

-        Lotus Cars

2.    What are the market shares of the brand leaders?

Market share represents the percentage of an industry, or a market's total sales, that is earned by a particular company over a specified time period. Market share is calculated by taking the company's sales over the period and dividing it by the total sales of the industry over the same period.

Market share of Maserati

In 2021, the Stellantis Group's only luxury brand reported an increase in its global market share to 2.4%, specifically at 2.9% and 2.7% in North America and China, respectively.

3.    What are the marketing channels used by these brands?

Marketing Channels used by Maserati

The top traffic source to Maserati is Organic Search traffic, driving 57.15% of desktop visits last month, and Direct is the 2nd with 18.22% of traffic. The most underutilized channel is Mail.

REFERENCES

https://www.similarweb.com/website/maserati.com/#overview

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Lisa Oude Maatman, Aminath Auni Zaki, Rendi, Stephanie Shannon-Perrinaud

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Lisa Oude Maatman, Aminath Auni Zaki, Rendi, Stephanie Shannon-Perrinaud

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Question 1 : Select a luxury product category. Who are the brand leaders in this category ?
Luxury Hotel : Capella
The brand leaders of this category are Marriott, Hilton and Hyatt.

Question 2 : What are the market shares of the brand leaders ?
Marriott has 13,59% of the market shares.

Question 3 : What are the marketing channels used by these brands ?
- Social media marketing
- Content marketing
- Email marketing
- Influencer marketing
- Events and sponsorships
- Advertising

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Group 3: Longwei, Dai Na, ziyang, sakura

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Group 3: Longwei, Dai Na, ziyang, sakura

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1.

Four season–Alejandro Reynal

Mandarin Oriental—--James Riley

Ritz-Carlton – Herve Humler

Park Hyatt— Mark Hoplamazian

Hilton—Christopher J. Nassetta

Shangri-la—Beng Chee Lim

2. Hilton
Hilton has the highest global market share of 10% at 2022

3. Website ( E-commerce)
digital platform ( Tripadvisor, Trivago, Booking.com)
Newspaper
Magazines
TV
Hilton Honours: Hilton Honours are one of the industry’s leading guest loyalty programs, which allows loyal customers to get bonus points by staying in Hilton hotels, flying with certain airlines, paying by certain credit cards and etc.

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1.       Select a luxury product category (or sub-category). Who are the brand leaders in this category?

2.       What are the market shares of the brand leaders?

3.       What are the marketing channels used by these brands?

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How do luxury brands stay authentic? By creating a unique and unforgettable experience and delivering exceptional personal service. Here are some percentages of how a brand differentiates itself from others. Stated in the article "The Global Luxury Customer Journey"; "boutique experience (61,3%), boutique windows (60,8%), official brand websites (54,7%), face-to-face opinions of friends/family (52,1%), search engines (45,8%) and on-line fashion publications (43,5%)" by LUXHUD.

https://www.iesa.edu/paris/news-events/brand-luxury-management-definition#:~:text=Luxury%20brand%20management%20focuses%20on,%2C%20food%2C%20and%20even%20palaces

Other issues that lawyers working in the fashion industry may encounter include licensing and creating franchise agreements, distribution agreements, and other commercial business needs that are essential for a luxury fashion brand to run effectively.

Brands are often owned by large groups

https://www.lawcareers.net/Explore/BlogPost/Kat-C-W/The-law-of-luxury-brands

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Always mention your group members name and attach a group selfie at the end of every discussion :).
Cheers,
Dr.Ruth

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luxury guest service provided:
-off-line service (boutique)
-e-commerce and online sales provided
ex) subscription to web site
-customized service and special treatment
-loyalty program

customer expectation:
-customers have become increasingly price and quality-conscious
-customers seek better, customized, meaningful experiences and services during their purchase luxury brand products

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Mandarin Oriental Kuala Lumpur outstands itself with the view of the Petron towers. The brand position itself as a high-luxury brand hotel to give guests a personalized experience.

-Mandarin Oriental KL has a diverse range of clients including business travelers, leisure tourists, and local elites due to the location of its property.
-Sales and marketing strategies. The brand has targeted advertisement campaigns through digital media and travel industry events. Partnerships with luxury brands and collaborations with local businesses are other examples of their way of marketing.
-Mandarin Oriental has a loyalty program called 'Become a Fan of M.O.". By joining this membership you will receive the following benefits; Daily breakfast, Dining or spa credit, room upgrade, early check-in, late check-out, streaming WIFI, celebratory treat, and pressing services.
-The hotel offers personalized services for example 24-hour room service, valet parking, and dedicated staff to meet the need of the guests.
-Mandarin Oriental KL offers a wide variety of facilities. 7 restaurants are present in the building all with a different cuisine. An option for everybody. A spa & Wellness, fitness center, tennis court, mind, and body studio are all present. Not to miss venues for weddings and convention rooms. Mandarin Oriental has it all.

"To delight and inspire our fans at every opportunity. We are committed to continual improvement, to making a difference every day, and to being the best." The mission of Mandarin Oriental.

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International Distribution of Luxury Brands

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International Distribution of Luxury Brands

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Please also read the connected articles from https://www.indeed.com/career-advice/career-development/distribution-strategy
and
https://www.advergize.com/marketing/exclusive-distribution-examples-strategy-explanation/

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The place of distribution refers to the channels that are used to make products and services available to customers. Retail channels are most effective when they meet the consumer's expectations in terms of location, convenience and product assortment. For luxury brands, there's the additional task of brand protection in the distribution channel choice. This is because one of the important features of luxury brands and any brand that desires to maintain an exclusive brand aura is a tightly controlled distribution channel. This means avoiding or minimizing the use of middlemen and licences or franchises in order to retain control of where the products are sold. For example when Gucci and Burberry licensed their brands to multiple manufacturers and distributors, their brand values plummeted downwards. However, the buying back of the licences led to the increase of the brands' strengths and appropriate brand positioning.

Tightly controlled distribution is nonetheless not a magic formula for the success of luxury goods distribution. There are other relevant calculated factors that have to be considered in the design and implementation of distribution strategies. Luxury brands currently utilize four broad strategies in products and services distribution:

1. Directly Owned Stores (DOS), which could be in the form of stand-alone stores or retail spaces within high-end departmental stores.

2. Licence operations through third parties, which is challenging to control and often leads to a diminished luxury status.

3. The Internet, which is a new channel and one of the strategic challenges luxury brands currently face.

4. Catalogue mail-order, which is a strategy used before the introduction of modern distribution channels.

The most appropriate medium of the distribution of luxury goods is the DOS both offline and online. This channel best preserves the brand qualities of exclusivity through controlled distribution, and prestige through brand image projection. Licensing is generally bad news for luxury brands in terms of quality and distribution control. This is the reason that several luxury brands such as Chloe and Gucci have either completed or are in the process of buying back their licenses from third party companies.

The distribution strategy of luxury brands also comprises of the tactics for the services distribution. These services include customer services and aftersales services. The services aspect of the distribution of luxury goods is often neglected and wrongly considered as an offshoot of the product. Luxury brands currently utilize three broad service distribution strategies, which are the following:

1. Customer service within the brand's store, wherever the store is located.

2. Customer call centres, which a number of luxury brands have outsourced to other companies.

3. Online customer services, which remains poorly handled by the majority of luxury brands.

As previously indicated, luxury brands have an exclusive distribution strategy. This is also technically known as the vertical value chain system.. The vertical value chain system indicates that luxury brands manufacture, wholesale (where this applies) and retail their products and services with the minimal use of secondary distributors. This strategy involves both exclusive (single channel) and selective (approved and tightly controlled dealers only) channels.

The vertical chain distribution system adopted by luxury brands

Unlike consumer goods, the distribution of luxury goods and services comprises of a one-track direction, making it easily manageable. In addition, several new distribution opportunities like the Internet provides optimal tools for enhanced services, long-term customer relationships and improved direct marketing methods. As noted in earlier chapters, luxury consumers desire personal attention and customized services and this can be achieved through online customer services powered by the Internet.

The choice of the appropriate distribution strategy results in increased sales and profitability, competitive leverage, customer satisfaction and brand loyalty. Most importantly, it portrays the language of the brand.

Continue reading here: Promotion

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Readers' Questions

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The place of distribution - Luxury Fashion - Martel Fashion

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The place of distribution refers to the channels that are used to make products and services available to customers. Retail channels are most effective when

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Luxury Brand Relationship: Emotional Explosion.

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Luxury Brand Relationship: Emotional Explosion.

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Title: Emotional Explosion of Luxury Brands in the Hospitality Industry

Introduction:
Luxury brands have been experiencing a significant emotional explosion, attracting consumers in various industries, including hospitality. This case study explores the emotional aspects of luxury brands within the hospitality sector and their impact on customer satisfaction and loyalty. Students are tasked with analyzing the strategies employed by luxury brands to create emotional connections with customers and provide recommendations for hospitality businesses to enhance their emotional appeal.

Tutorial Questions:

1. Analyze the emotional strategies employed by luxury brands such as Nike, LVMH, and Le Creuset to connect with customers on an emotional level within the hospitality industry.

2. Evaluate the impact of emotional connections on customer satisfaction and loyalty in the context of luxury brands operating in the hospitality sector.

3. Identify and discuss specific examples of luxury brands in the hospitality industry that have successfully created emotional experiences for their customers, and explain the key elements contributing to their success.

4. In the context of a hospitality business, propose recommendations for enhancing emotional connections with customers, drawing insights from the emotional strategies employed by luxury brands.

5. Examine potential challenges and limitations that hospitality businesses may encounter when attempting to create emotional connections with customers, and provide strategies to overcome these challenges

Note: Use relevant theories, frameworks, and examples from both the luxury brand industry and the hospitality industry to support their analysis and recommendations.

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The pandemic was a period of mass unemployment and economic hardship for many Americans. It was also a riotously popular time for buying luxury goods.

"2021 and 2022 were blockbuster years for the luxury industry," says Lauren Sherman, fashion correspondent at Puck News. "The biggest years they've ever had - ever."

Shoppers devoured designer leather handbags, limited-edition sneakers, classic watches, and holy grail prestige beauty products that went viral on TikTok; practically every type of luxury brand saw its sales swing up during the pandemic. Part of the explosion is due to the fact there's a lot more upscale stuff to buy. Luxury was once confined to traditional categories such as clothing, accessories, wines, and cars. No longer. In the past few years, there's also been an insatiable appetite for high-end kitchenware and other home goods - a $420 Le Creuset dutch oven, a $1,500 Breville espresso maker, a $1,500 Thermomix blender, a $110 Aesop candle smelling of vetiver, frankincense, and wealth.

Analysts have a nebulous definition of what constitutes a luxury good, but it's usually an object that not only has a sky-high price but also promises quality craftsmanship and an air of exclusivity. It shouldn't be something everyone has. Yet more and more Americans across ages and income brackets are getting swept up in the world of extravagant products, driving the industry to an incredible boom.

Moët Hennessy Louis Vuitton - LVMH for short - this year became the most valuable luxury company in the world, surpassing a market cap of a half trillion dollars in April. The owner of brands such as Dior, Givenchy, and Tiffany, it now floats in the uppermost stratosphere of the world's biggest companies, among names like Meta, Tesla, Berkshire Hathaway, and Amazon. This year, Bernard Arnault, the CEO of LVMH, even overtook tech emperor Elon Musk as the richest person on Earth with an estimated $232 billion at time of writing, according to Forbes's real-time billionaire ranking.

It's not just Louis Vuitton handbags that are selling like gold-garnished hotcakes. While the rate of growth in the sector has slowed slightly in recent months, a whopping 95 percent of luxury brands saw profits fatten in 2022, according to a Bain & Company report. Hermès, maker of decadent silk scarves and the infamous Birkin bag, saw a record 38 percent jump in profit from 2021. Richemont, which counts Cartier, Chloé, and Montblanc among its brands, saw its fiscal year 2022 profits rise by 61 percent. Kering (Gucci, Saint Laurent, Balenciaga), Chanel and Prada, Burberry, Luxottica, and OTB (which owns Maison Margiela, Marni, and other luxe brands) - they were all up, too.

Meanwhile, in the broader economy, other industries have been struggling to recover from the hit they took during the pandemic, while also battling persistent supply chain issues, labor shortages, and stock value plummets. "There are two key factors as to why luxury is bucking current trends," says Neil Saunders, managing director of retail at the analytics and consulting firm GlobalData, which conducted a consumer panel of US luxury spending last year. "One of them is economic, and one of them is psychological."

Economically, the math is simple: Rich people, the most obvious consumers for luxury goods, don't balk at price tags. The luxury industry is often described as "resilient," meaning it doesn't get buffeted by economic headwinds quite as much as other industries do. "That, to be honest, has always been the case," Saunders says.

The psychology of why we buy designer products also eschews typical economic sense, because the motivation to buy is about status. The higher the price, the more status you're theoretically buying.

Which is why it's not just rich people buying rich people things. A not-insignificant portion of luxury growth comes from middle- and low-income consumers. According to GlobalData, Americans with a household income of less than $50,000 make up about 27 percent of regular luxury consumers. That's almost as big a group as luxury consumers with an income of $150,000 or more.

Even in rough times, the luxury industry usually enjoys a well-cushioned profit margin. That's the nature of its business. The Business of Fashion reported that, in 2022, Louis Vuitton had an estimated margin above 50 percent. Compare that to Apple, the most valuable company in the world, which had a profit margin of around 30 percent last year.

"At a fast-fashion or a regular retailer, profit margins on clothing at best are 20 to 30 percent," says Sherman. But the fat profits at LVMH and elsewhere have become more common as the industry became increasingly corporatized, she says. "Prior to 1990 especially, this was an industry run by individual families."

In the 1980s, Arnault took the corporate raider playbook popular in the US at the time and applied it to French luxury - including by laying off 9,000 workers when he took over the conglomerate that owned the fashion house Dior. But instead of buying up companies and then quickly selling them off in pieces, Arnault kept his acquisitions, amassing a portfolio of 75 brands in fashion and other sectors. Other luxury conglomerates have followed in Arnault's footsteps, gobbling up a diverse array of brands in several luxury categories. Buying up all these brands bolsters more consistent profits, because even when one category has a poor quarter, others could have a record-breaking one. It also ensures a certain level of market dominance; if someone wants to buy luxury, chances are they're going to do it from a brand in the LVMH portfolio.

Luxury brands, however, aren't immune to economic downturns. During the Great Recession, the market shrank by 9 percent. That's what makes its leaps during the pandemic so remarkable. "It has held up a lot better in the current downturn than it did in the financial crash last time," says Saunders.

Perhaps it's because many brands have simply taken to increasing their prices to new heights. The average price of luxury items has spiked by 25 percent since 2019. Luxury accessories prices on the online retailer Farfetch rose by almost 39 percent between February 2020 and May 2021, according to the e-commerce analytics company DataWeave.

"Four hundred bucks for a pair of shoes used to seem like a lot of money," says Sherman. "Every pair of shoes is a thousand bucks now."

Shoppers of all income brackets also not only spent big on luxury items, they spent more on each purchase. Data from Earnest Analytics, a consumer data analytics firm, shows that the average sale amount has jumped - in April 2020 it cratered to $269, but reached $520 in April 2022. And while Americans across the income spectrum were buying more luxury apparel during the pandemic, purchases by individuals making $40,000 or less rose the most: They were 365 percent higher at the end of 2021 than they were in January 2020, before lockdowns began in the US.

Saunders suggests there are several reasons the luxury market is stronger this time around. For one, we're not in a recession - at least not yet. The Covid economy was also a strange beast; it absolutely devastated some sectors for a while, and both its human and economic toll shouldn't be understated. Recovery, however, has also happened quickly. The economy of luxury goods, Saunders notes, is far different now than it was in 2009. "We didn't have the resale market," he says. "Players like The RealReal, Poshmark, they just didn't really exist in the way that they do now." The explosion of luxury resale and rental platforms might not have directly fed the sales of luxury brands, but they engaged a new generation of consumers - it's an easy entry point into the world of its aesthetics and sensibilities.

And then there's this truth: A lot of the spending, Sherman says, has been thanks to stimulus checks giving middle-income Americans more discretionary income in a time when there were fewer avenues to spend it. Some of it was due to newly minted crypto wealth. For other shoppers, it wasn't that they had new money to flaunt, but that the pandemic lockdowns had caused a sort of slingshot effect - as lockdowns eased, the floodgates of the pent-up shopping that people didn't (or couldn't) do opened. Amid a mix of drivers, the bottom line is that Americans couldn't get enough of premium goods amid a destabilizing economic crisis.

"Luxury goods have become a big part of pop culture," says Sherman. "Now it's a social thing. When I was growing up, having an interest in fashion - especially in America - was seen as a hobby or a niche."

The modern luxury economy has become a part of not just pop culture, but youth internet culture. People find out about trends online, and shop online, then sell old pieces online so they can buy a new statement item ... online. According to The RealReal's 2022 report, millennials sell and buy more than any other generational cohort - and together with Gen Z, they make up 41 percent of the site's more than 28 million members.

Members of Gen Z, in fact, are making their first luxury purchases earlier than millennials did - at around age 15, according to Bain & Co research. The same research projects that millennials and younger generations will make up 80 percent of luxury spending by 2030.

This might seem like an odd projection, given the countless reports of young people's finances lagging behind those of their parents. One Morgan Stanley report suggested that young adults may have more disposable income because a greater number of them are living with their parents longer due to skyrocketing rent. The accessibility of buy now, pay later platforms also makes it easier to finance a $5,000 handbag. Maybe a mortgage feels too out of reach to even dream of, but paying for an exorbitantly priced Nike x Supreme Air Jordan collab in installments? Doable.

Young people in particular justify luxury spending, says Saunders, with the booming resale market. "Younger generations view luxury, and indeed fashion in general, as being circular," he says. Fork over an exorbitant amount upfront, then recoup some, if not most of it, on Depop later. The price value equation is alluring for luxury, counterintuitively especially when inflation is high - that's when consumers with some disposable income are going to really maximize bang for their buck.

When it comes to status pieces, however, price and affordability are a little beside the point. A recent CreditKarma survey found that over half of Gen Z and millennials considered themselves to be emotional spenders - more than a third even said their emotional spending was "out of control."

"Younger generations are much more attuned to using luxury as a way to feel good about themselves," says Saunders. "Not just as a signal of wealth or status. It's much more about them personally feeling good and wanting to have products that they feel engaged with."

"There's a lot more social media where people are showing off the brands, and they're showcasing what they've bought," he continues. Luxury goods are a language through which to communicate taste and connoisseurship on digital platforms, and brands know this. Their marketing today is geared to young people deeply attuned to internet culture, focusing on celebrity endorsement deals, collabs with artists and edgy designers, doing limited "drops" - not only with fashion, but even with kitchenware - that intensify how coveted a product is and ride the wave of virality. The penetration of streetwear and hypebeast culture globally has also been an incredible boon to the luxury industry, transforming the means of gesturing high status. Gen Z shoppers are more concerned with differentiating themselves from the mainstream, says David Dubois, a professor of marketing at INSEAD. In an age of mass-produced goods, nothing is more precious than a flash of the inimitable and bespoke.

The fact that luxury awareness and engagement has reached new heights comes with potential dangers for the industry. Luxury has become democratized and globalized. "As a result," as Yajin Wang, a professor of marketing at the China Europe International Business School, writes in the International Journal of Research in Marketing, "the wealth signal has been diluted."

Sherman thinks more luxury brands should be concerned about becoming too available. Like a master artisan, the luxury industry has to carefully thread the needle of growth and scarcity. Saunders recalls the mid-2010s, when a lot of luxury brands shoved out too much product. "They just devalued themselves," he says. "If you look at a brand like Coach, for example, it was just ubiquitous in 2015. It was everywhere. They were selling stuff at a discount, they were doing flash sales."

Since then, the industry has been more vigilant about becoming too commonplace. There are fewer discounts - some brands never do sales. Limited production runs are another tactic to bolster exclusivity. Videos of luxury brands destroying their excess inventory have gone viral on social media.

Dubois believes luxury will continue to sell incredibly well. "Inequality fuels consumption," he explains. The pandemic has increased income and wealth inequality. But the luxury boom isn't an aberration from this fact - it aligns with it. Studies have shown that higher income inequality heightens awareness and anxiety about class; one study analyzing Google Trends data found that Americans sought out luxury goods more during times of greater income inequality.

"The wealthy have gotten wealthier, and the poor have gotten poorer," says Sherman. "And yet there's a thing in our culture that prioritizes you buying a Nike shoe - buy the Jordans, buy the sneakers." Even if it means saving up, or buying one pair to resell on eBay to finance the purchase of even more expensive shoes - "even if you're not doing super well financially, it's prioritized in this interesting way."

Desire often creates a potent feeling of need, one that can be hard to reason away precisely because it isn't rational. It's infatuation, limerence.

What else can happen when luxury is pop culture?

"They're in the business of selling dreams," says Dubois. "You buy a piece of a dream."

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The surprising reason luxury goods are booming

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From $1,000 sneakers to $450 bakeware, our lust for expensive things has hit new highs.

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Week 4 Tutorial activity on Power of a luxury Brand linking to legal aspects of a luxury brand

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Week 4 Tutorial activity on Power of a luxury Brand linking to legal aspects of a luxury brand

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Also read the following link https://www.bagaddictsanonymous.com/bags/know-your-bag-chanel-255-reissue-or-classic-flap/
Discuss within your group off class or in  class by next Tuesday 2nd May and critically anlayze on how luxury brands can control their products and lifecycles in the market. Describe your findings in 500 - 600 words and as usual attach your group wefie :)

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For years, the luxury industry has waged a battle against counterfeiters. It has invested heavily in ultra-sophisticated tech solutions which use the latest advances in nanotechnology, internet of things (IoT), and AI to authenticate products. It lobbies governments to extend enforcement bodies' powers to seize and destroy fake goods, to prosecute buyers and dealers, and to block access to websites that sell counterfeit goods. And then there are the lawyers: LVMH alone employs at least 60 lawyers and spends $17 million annually on anti-counterfeiting legal action.

These efforts are not paying off. The total trade in fakes is estimated at around $4.5 trillion, and fake luxury merchandise accounts for 60% to 70% of that amount, ahead of pharmaceuticals and entertainment products and representing perhaps a quarter of the estimated $1.2 trillion total trade in luxury goods. Digital plays a big role in this and perhaps 40% of the sales in luxury fakes take place online, as today's counterfeiters milk the ubiquity and anonymity of the internet space to the last drop. For every e-commerce platform like Alibaba that cracks down on fakes, a new one emerges that allows goods to be shipped directly from manufacturers.

So what should luxury goods companies be doing instead?

To answer that question, we interviewed 32 professionals across four panels: luxury executives, representatives of luxury industry associations, experts on anti-counterfeiting from academia and the public sector, and executives from the music and pharmaceuticals industries, which have been more successful than luxury goods firms in fighting against counterfeiting.

What we hear suggests that luxury firms' failure to contain the growth in counterfeiting is rooted in a hollowing out of their brands. Many luxury brands have become symbols of status and privilege but not much else. The emphasis across the industry has been on signaling rather than delivering luxury; intangible over tangible product attributes; and the logo over all other markers of quality.

This philosophy has been consistently applied to supply chains, manufacturing, and pricing: By relocating production to low-cost countries, luxury firms severed the centuries-old association of luxury goods with their historical places of origin. The outsourcing also led to relaxed control over supply chain, design ,and manufacturing just as counterfeiters were putting unprecedented pressure on each of these processes.

At the same time, in spite of the cost savings, luxury products' sticker prices have risen dramatically. At first, the idea was to cushion the impact of the growing traffic of Chinese tourists buying abroad and reselling at home. But the hikes escalated rapidly and by 2014, a Chanel handbag cost 70% more than it had just five years earlier. Other brands followed suit, raising prices at more than twice the rate of the mainstream market. Buoyed by initial success of this pricing strategy, many firms also phased out their more affordable, entry-level brands. Case in point: Dolce & Gabbana in 2012 discontinued its profitable but less expensive D&G brand.

As a result of these developments, luxury brands have become disconnected from their physical products, which reduces customer concerns about buying fakes. Does spending $2,500 on a branded good made in China look smart when you can get a made-in-China fake version (possibly from the branded company's supplier) that looks pretty much the same? The anonymity of the new digital distribution networks for fakes only makes the decision easier.

This suggests that luxury sector's solution to the counterfeiting challenge lies less in fighting counterfeiters and more in rediscovering what made the brands great in the first place.
Coming Home
To begin with, luxury companies need to reconnect with their roots. Much of luxury brands' authenticity comes from their roots in, and intimate links with, a particular country or region. Healthy, authentic brands have celebrated and romanticized these links. They have actively taken up the mantle of stewards and local community leaders. More recently, striving to make counterfeiting socially unacceptable has led luxury firms to start thinking about what they stand for.

Family firms are particularly good at communicating how they align their internal ethos with external values. Take the case of Italian cashmere and luxury sportswear maker Brunello Cucinelli, with 2017 sales of over $600 million. Launched in the 1970s as a one-man operation, it now employs 500 staff in historic home of Solomeo near Perugia. Run with a management style of "radical kindness" to employees, the company is devoted to the renovation and cultural preservation of the local community. In addition to refurbishing the town's infrastructure and heritage monuments, the company has set up a free school to teach traditional skills, including tailoring. The long-standing commitment to its home region and its people is what underpins the founder's vision of a "humanistic enterprise" and humanistic modern capitalism.

There are tangible advantages in reshoring as well. If they bring manufacturing back to their home countries where stricter controls are easier to implement, Louis Vuitton, Gucci, and Burberry can better control supply and distribution issues that have facilitated counterfeiters. They can, for example, more easily prevent factory overruns, where offshore suppliers manufacture more goods than a brand has commissioned, and then distribute the surplus products through alternative distribution channels directly to customers.
Going Beyond the Logo
At a time when weekend markets all over the world are awash with luxury logos printed on cheap T-shirts and shopping bags, it may be hard to believe that the original Chanel 2.55 flap bag sported no logo at all. It was the quilted stich and the diamond or herringbone pattern that said "Chanel." Yet for 60 years, the bag has been considered timeless and essential. Similarly, Max Mara's wool-and-cashmere 101801 Icon coat remains a logo-less classic that has hardly ever been copied.

There's a message here: logos are easy to knock off, but good craftsmanship isn't. To make fakes less attractive to consumers, luxury firms will need to emphasize a style and quality that is tough to replicate and is independent of the logo. Emphasizing traditional craftsmanship, handmade components, and heritage techniques is a powerful way of infusing a brand with authenticity.

LVMH is one brand that has been going down this route. In October 2018, it held the fourth edition of its series of open-door events known as Les Journées Particulières. Launched in 2011, this initiative showcases LVMH's architectural and cultural heritage alongside the savoir-faire, creativity and artisanal excellence of its "Houses." The group i nvited the public to 77 locales across 14 countries and five continents. They included workshops, wine cellars, private mansions, family homes, historic stores and other venues, half of which were previously closed to the public. A total of 180,000 visitors attended talks, masterclasses, practical demonstrations, and flash-mob gatherings.
Revisiting the Customer Connection
It's also high time for many luxury goods companies to reboot their assumptions about customers, because their customers are evolving. Increasingly the new rich of today are Millennials, and their ethics and tastes are rather different from those of their parents. There is shift in emphasis to experience, sustainability, and sharing from products, consumption, and exclusivity.

Some luxury brands are changing their strategies accordingly. Kering, the group owner of Gucci, Balenciaga, and Yves Saint Laurent, has been steadily raising the proportion of renewable raw materials in its products, from biodegradable glitter to fabrics made from seaweed and orange fibers. Its eyewear division, for example, has partnered with an Italian bioplastics firm to create a range of biodegradable frames. The group has also introduced " environmental P&L" into its business model, signaling an industry-wide shift in practice. The response from consumers has been favorable: Yves Saint Laurent, for example, now does 65% of their business with Millennials.

Post-sale services such as alterations, maintenance and repair, as well as the booming trade in "pre-owned" luxury items, are all promising areas for luxury goods companies to explore. An early pioneer in this respect is Audemars Piguet, which in 2018 announced plans to launch a second-hand watch business. If executed properly, this kind of strategic move can help a luxury firm take control over its products throughout their lifecycles. It can also change the economics of buying a fake by offering consumers more affordable but still genuine options.

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How Luxury Brands Can Beat Counterfeiters

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For years, the luxury industry has waged a battle against counterfeiters. It has invested heavily in ultra-sophisticated tech solutions which use the latest advances in nanotechnology, internet of things (IoT), and AI to authenticate products. It lobbies governments to extend enforcement bodies' powers to seize and destroy fake goods, to prosecute buyers and dealers, and to block access to websites that sell counterfeit goods.

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Week 5 Tutorial activity on Legal Aspects and Luxury Clientele

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Week 5 Tutorial activity on Legal Aspects and Luxury Clientele

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Read the article and identify the various legal aspects of the luxury brands discussed. We will continue to work on this article in Week 6 tutorial class from the Luxury Clientele perspetive.

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LuxHub reveals its first global observatory on The Luxury Customer Journey that examines the path to purchase for luxury fashion goods. The proprietary study, conducted in 8 markets with over 6,400 consumers and 25 brands, gives luxury fashion companies a clear understanding of the strategic roadmap they need to develop to engage their target in each market, with a strong focus on their digital transformation.

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-brand registration
Registering a trademark for a luxury brand is a big step that can help protect the brand image from abuse or theft. While trademarks protect goods, service marks also protect services both aim to prevent the competitors to mislead consumers of false claims about the origin of a product or service.
-online marketing & website
the brand need to show terms and conditions, need to establish a privacy policy, their marketing site cannot content other creators' intellectual property(like picture and music), Plagiarism and Copyright Laws will protect the brand from misuse and counterfeits.

reference1 : 5 Legal Issues Concerning Your Digital Marketing Business | LegalVision
reference2 : 10 Website Legal Requirements: Rules to Ensure Compliance | Elementor