Tuesday, February 11, 2014

The luxury-goods market - Disillusioned hedonist shoppers

http://www.economist.com/blogs/schumpeter/2014/02/luxury-goods-market


Ms D’Arpizio wants luxury firms to tailor their products, advertising and distribution more specifically to different sorts of customers. They could also take a leaf out of Apple’s book, she thinks, and strive for a continuing after-sale relationship that would make repeat purchases more likely and disenchantment less.

But there is a circle here that even the most attentive after-sale management cannot really square. Successful firms create a desire for their personal luxury products that goes beyond any rational assessment of value and quality. The intrinsic promise, in most cases, is that the buyer herself will become more desired if she acquires a Bottega Veneta bag, silk-and-lace Eres undergarments and a Jaeger-LeCoultre watch. It is hard to imagine the mobile app that could secure that result.