by Rebecca Chia

How do certain brands stick around for generations, watching cash registers go kerching! Year after year, while others fail to rise from semi-obscurity or plain oblivion? Half the secret, as I found out, is about setting the story right, and keeping a tight grip on it.

It wasn’t too long ago, when word was out that inflation was going hit the global economy badly, and no one was to be spared. Economic experts cautioned that lots of belt-tightening and price-conscious decisions were in the cards.

Yet, there will always be names that continue to attract brand-sensitive consumers to part with their cold, hard cash, despite escalating prices with no end in sight. The answer lies in two words: brand loyalty.

In her article “Redefining the Luxury Concept”, Paris-based business analyst and author Uche Okonkwo noted when luxury and prestige brands were born, they served primarily the upper echelons of society; the “self-selected elite [who] are price insensitive and… spend their time and money on clothes and accessories that are plainly opulence rather than necessities”.

This social hierarchy also explains the steadfast brand loyalty among the brands’ clientele, for whom it was de rigueur to dress in their brand of choice from head to toe.

In the 21st century, three challenges confront luxury brands: the rising influx of the nouveau riche, the new luxury brands that breached the “high entry barrier that the industry guarded for centuries” and of course, the digital and communications boom brought on by the Internet.

Add to the mix high-street labels such as H&M, luxury dressing becomes much more affordable than before.

With the advent and growing popularity of online shopping, reaching the mass became easier. The posh opulence of store décor quickly transformed into slick, glossy online catalogs, accompanied by music and videos to enhance the virtual experience.

Labels are hopping as fast as they can onto the technology bandwagon to strengthen their connection with consumers in the hopes that easy access promotes top of the mind recall.

In these days where Blackberry and Facebook rule, any company that wants to reach out to young generations of IT-savvy consumers will have to become early adopters or at least, know about the latest and fastest medium to convey their message.

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REBECCA CHIA
Freelance Writer

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