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2019 | Book

The New Luxury Experience

Creating the Ultimate Customer Experience

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About this book

This professional book introduces marketing and luxury brand professionals to a new definition of luxury and the art of designing the ultimate luxury experience in both the physical space (e.g., in-store, hotel, restaurant) and the digital space (e.g., social media, website, e-commerce). Specifically, it offers an overview of customer experience issues and explores big five experiential strategies that can be applied by luxury houses in order to provide the best luxury experience to their customers. Themes such as quality of customer luxury experience, immersion and co-production/co-creation in luxury, creation and management, digital and immersive marketing, and innovative market research are also examined.

How do consumers define luxury? Is there one luxury or several “luxuries”? What kind of luxury experiences consumers want to live? How can luxury houses design the ultimate luxury experience? More than in any other sector, luxury consumption is a response to a search for emotions, pleasure, uniqueness, consideration and greatest services. The luxury consumer wants to live luxury experiences – not just buy luxury products or services. In this way, this book presents the luxury consumption experience as a combination of symbolic meaning, subconscious processes and nonverbal cues and characterized by fantasies, feelings and fun.

Featuring case studies and interviews from international luxury sectors and brand managers such as Burberry, Dior, Porsche, Breitling, St. Regis Hotels & Resorts, and Louis Vuitton, among others, this book offers both a research and management perspective on luxury experience to professionals in the luxury sector (e.g., CEOs, brand managers, marketing and communication professionals), as well as marketing professors, students, and people eager to learn more about how to design the ultimate luxury experience.

Praise for The New Luxury Experience

“This book provides a holistic perspective on marketing of luxury brands, offering both useful practical advice as well as illustrating important cases.”

-- Ravi Dhar, Director, Yale Center for Customer Insights, Yale University

“Wided Batat’s book offers a fresh, insightful and comprehensive analysis of the concept of the consumer’s experience with luxury whatever that may be. The Five experiential luxury strategies proposed by Wided highlight that luxury management should go above and beyond the design and branding of luxury goods and services. I also commend the consideration given to the younger generations’ approach to luxury and to corporate social responsibility aspects. Luxury marketers should find this book very useful indeed.”

-- Francesca Dall’Olmo Riley, Professor of Brand Management, Kingston Business School, UK

Table of Contents

Frontmatter

The Evolution of Luxury: From Object to Experience

Frontmatter
1. Luxury, Back to Origins
Abstract
Prior to defining the “luxury experience,” we first need to explain what we mean by “luxury” and what are its origins, characteristics, and typologies. In this chapter, I’ll trace back the rise of luxury and its shift from a traditional perspective on luxury grounded in the logic of conspicuous and distinctive luxury consumption to the emergence of the “luxury experience,” a more emotional, sensory, and symbolic consumption of luxury. The objective of this chapter is, first of all, to explore the existing definitions of luxury by providing a summary of relevant aspects that should be retained throughout the analysis of several books and studies on luxury marketing. I’ll then offer a new definition of “luxury” which is more in tune with the customer experience and today’s customer perception and practice of luxury.
Wided Batat
2. The New Experiential Luxury Marketing Model
Abstract
The new definition of luxury provided in the previous chapter highlights the transition from the traditional “luxury marketing” that refers to conspicuous and material aspects of luxury consumption to a more experiential perspective on luxury through the introduction of a new framework: “experiential luxury marketing.” This chapter provides a cross-sectional analysis of various studies that have addressed the customer experience to answer the following questions: What do we mean by customer experience? What do we know about what happens in the customer experience in luxury? Does the customer experience allow luxury brands to differentiate their offers, retain their customers, and attract new ones?
Wided Batat
3. Customer Experience to Keep Up with Changing Consumer and New Luxury Consumption Trends
Abstract
Today’s luxury consumers are becoming familiar with instant accessibility and will expect their luxury experiences to be personalized and emotional. Thus, luxury houses need to better understand their customers and the emerging social trends to offer the luxury experiences consumers really want through meaningful messages that resonate through different products and marketplaces. Understanding the changing consumer and the emergence of new luxury consumption trends is an essential mission for luxury houses and marketing managers and can’t be examined without considering the key changes in consumer behavior within the actual era that will impact marketing most in the future, such as the transition from a modern to a postmodern consumer society or the common use of technology and digital devices. This chapter seeks to explore key changes in consumer behavior and the new luxury trends that can affect customer experience and help luxury houses design suitable experiences by taking into account functional, digital, paradoxical, and emotional needs.
Wided Batat

The Big Five Strategies to Designing the Ultimate Luxury Experience

Frontmatter
4. Capturing Luxury Customer Values
Abstract
The perception of luxury value is essential to the enjoyment and the satisfaction of consumers and is consequently of huge significance to luxury brands. The concept of value has always attracted significant interest in customer experience and experiential marketing fields. Most studies have attempted to define value according to consumer perception by identifying several categories of value, ranging from economic utility to emotional value. Customer experience studies have highlighted the importance of the perceived value sought by the customer in their consumer experiences. This chapter aims to examine consumer value as a relevant component that luxury houses should integrate into their strategies and communication campaigns. In fact, one of the big five strategies for attracting consumers and connecting with them is based on capturing luxury consumer values. Given that luxury goods (products and services) are also bought for what they symbolize, it is critical for luxury brand managers to know what kind of outcomes their brands and offerings (products and services) endorse in the eyes of actual and potential customers.
Wided Batat
5. Experiential Branding of Luxury
Abstract
Another essential component of the luxury experience strategy is the experiential branding of luxury products and services that are carriers of content, values, emotions, and experiences. Luxury houses can use this strategy to create an emotional luxury experience with a strong link connecting the customer to the luxury brand. The experiential branding of luxury refers to the way luxury companies should use consumption culture elements to connect with its customer. Instead of using brand promotion, as in the Ps of the traditional marketing mix, the emphasis on brand cultural meaning provides a necessary complement to promotional strategies by including a focus on the meanings that are embedded and shaped by particular cultural settings and the meanings that the brand shares with its customers. This section will expose the shift from brand content to brand culture and the tools for experiential branding which are important components of the luxury experience design.
Wided Batat
6. Experiential Setting Design
Abstract
Nowadays, consumers can move through a variety of spaces each day, including both digital (e.g., website experience) and physical ones (e.g., in-store experience). These experiential settings have been designed over time, adjusting to the functional needs of individuals to optimize their navigation and usages without even focusing on how new ways of designing both digital and physical spaces can help companies, especially luxury houses, design experiential settings which are phygital and which can help consumers be fully immersed in their consumption and shopping experiences. This chapter will then explore one of the big five strategies that luxury houses can implement to design their experiential settings by conceding the continuum between phygital space and physical place. By designing experiential settings, luxury houses will be able to create a memorable and rewarding luxury experience by focusing not only on the physical but also on the digital environment in which the experience with the luxury brand is lived in a virtual or connected universe.
Wided Batat
7. Luxury Staff Training
Abstract
The human dimension is very important to customer experience in the luxury field. It guarantees the quality of service and the satisfaction of the customer. In fact, the quality of the customer’s luxury experience is not only related to the characteristics of the luxury goods (e.g., know-how, rarity, quality, etc.); it is also related to the perspective of the company’s departments (e.g., HR, marketing, sales, communication, etc.), which should all be focusing on delivering qualitative and satisfying luxury experiences. The human element is, thus, a critical factor that should be taken into consideration by luxury businesses to guarantee the success of their experiential offers. Yet, the human dimension is not limited only to the points of sale; it is also part of a continuum that includes two experiential spheres: domestic (households) and extra-domestic (stores, hotels, restaurants). Several key success factors are needed to ensure the qualitative training of luxury employees who are in contact with customers during domestic and extra-domestic experiences.
Wided Batat
8. Consumer Initiation into Luxury
Abstract
Consumer education is about building the knowledge, skills, and attitudes that are vital to life in our consumer societies in order to help consumers organize their daily lives in a responsible and civic way. In the luxury sector, the education of consumers, the initiation, and the information about luxury goods (products and services) are very critical. It should be at the heart of the luxury experience offering. This chapter introduces consumer initiation to luxury as one of the big five strategies luxury houses should implement to empower their customers and make sure they will enjoy their luxury experiences. Consumer education and initiation regarding luxury refer to activities that provide consumers with knowledge and skills in the consumption of luxury goods (products and services). It aims to train consumers regarding different aspects of luxury, such as craftsmanship, good manners, history, know-how, and creative arts, developing skills to recognize counterfeit luxury goods, etc.
Wided Batat

Challenges for the Future of Luxury Experience

Frontmatter
9. Alternative Market Research for Understanding Luxury Experience
Abstract
It is frequently thought that science tells us how things function and that there is no more exhaustive a science than that of quantitative scholarships. Scientific works are quantitative in numerous ways, but every field of knowledge has a qualitative facet in which the individual’s experience, subjectivity, perception, and skepticism function together with other philosophies to support the construction and experimentation of theories. Distinct from the quantitative method, which trusts direct aspects, and statistical modeling, the qualitative methods are mainly related to individuals’ perceptions and definitions of their own world. While quantitative and qualitative methods have their own value, in this chapter, I decided to discuss alternative market research to better understand luxury experiences. These alternative methods are qualitative, immersive, and well adapted to study and analyze customer experience. By using immersive creative tools, allowing an exhaustive analysis of the luxury experience offline and online, and studying its subjective, paradoxical, symbolic, and emotional dimensions, luxury houses can be able to innovate and design suitable experiences and create a competitive advantage. This chapter introduces experiential and e-experiential research methods as an alternative to studying luxury experiences.
Wided Batat
10. How Millennials and Post-millennials Are Reshaping Luxury
Abstract
Millennial and post-millennial consumers are a particularly strategic target for luxury industry and services. Indeed, not only does it represent a significant weight for luxury (one-quarter of the first US luxury market), but it is also a deeply globalized consumer segment, which is a major asset for these international luxury brands. Raised in an environment of political, ecological, and socioeconomic crises, the young consumer Z, meanwhile, is lacking values. Swapping from one channel to another or from one brand to another, he/she seeks advice from virtual communities and searches the web for a way to consolidate his/her choices by instantly sharing his/her buying experiences or his/her personal relationships with luxury brands.
Wided Batat
11. Is Luxury Experience Compatible with CSR?
Abstract
In the spirit of many, luxury and sustainable development are especially opposed. Indeed, where sustainable development often advocates sobriety and simplicity, luxury refers rather to the image of abundance and complexity. Yet, the world of luxury is not necessarily antithetical to that of sustainable development. Looking more closely, luxury is also (and perhaps above all) quality products that are timeless, transmittable, and sustainable over time and developed from know-how excellence. In a way, luxury is, therefore, an alternative to the logic of disposable and programmed obsolescence, which is in contrast to the overconsumption that characterizes our societies and their ecological problems. There are bridges between sustainable development and luxury. To produce additional bridges in a more sustainable way, one can draw inspiration from luxury and its ability to create quality products that are resistant and elegant but functional. And luxury can also be enriched with sustainable development ideas to produce better-rationalized costs, secure supplies, and take advantage of the circular economy.
Wided Batat
Backmatter
Metadata
Title
The New Luxury Experience
Author
Dr. Wided Batat
Copyright Year
2019
Electronic ISBN
978-3-030-01671-5
Print ISBN
978-3-030-01670-8
DOI
https://doi.org/10.1007/978-3-030-01671-5