Personalization in Luxury
Personalization is an essential part of luxury retail. Personalizing the shopping experience keeps customers engaged, turning positive interactions into a company’s success. Traditionally all of the experience was in person but with new demographic preferences and pressures from covid, times are changing.
Brands like Gucci are devising new ways to keep a personal relationship with customers even as they shop at home. They are implementing call centers to optimize the remote customer’s experience. The call centers are staffed with knowledgeable shop assistants, available to answer questions and establish relationships with shoppers. Through phone, email, or live chat, an assistant can help a buyer create wishlists, make orders, and schedule deliveries. The goal is to give customers browsing the online catalog the same personalized attention as an in-store customer.
Sephora has created a truly omnichannel experience for its customers. Their mobile app is an “in-store companion” enabling users to find products in their local store and book a reservation. If they have their makeup done in stores stylists can input the products used in the customer profile. They can also virtually try on products and receive recommendations. This is a highly flexible and personalized experience that creates and rewards loyal customers.
Other ways luxury retailers are utilizing e-commerce:
Blockchain is mostly used to record cryptocurrency transactions but is a great tool for companies dealing with sensitive data. It’s an extremely secure ledger, which is essential to retailers whose goods are valued by authenticity. It increases traceability and prevents fraud by authenticating products.
Luxury brands have begun to dabble in the world of Non-fungible tokens, sold alongside physical goods and as standalone products. Luxury brands can offer exclusive access to upcoming NFTs for select customers to generate interest.
Utilizing the metaverse is still a fairly new concept for luxury brands. Retailers seek to use augmented reality to enhance their customer’s experience in person and online.
Gucci and other brands have jumped on the social app bandwagon, offering exclusive Snapchat filters and using WeChat as a tool.
Stores like Channel have created an immersive brand experience that is a hybrid of digital and in-person. An app used in-store provided product information, application tips, and wish list options. Other stores put QR codes on their tags, giving members access to exclusive content. The buyer’s cell phone becomes a personal handheld assistant and a magic key to unlocking an exclusive virtual experience.