Luxury’s Flight to Quality

Hermes. Bulgari. Louis Vuitton. PPR (owner of Gucci and Bottega Veneta). Richemont.  All have recently reported strong profits. Clearly, these firms have benefitted from their growing presence in the booming Asian luxury markets. But something else is going on. I believe this dazzling performance during a worldwide recession is about more than their global footprint. All … Continue reading Luxury’s Flight to Quality

Luxury Market Research Smackdown

A number of media outlets have picked up on the debate between Pam Danziger of Unity Marketing and Ron Kurtz of the American Affluence Research Center (AARC) concerning the future of the luxury market.  Let me boil it down for you. In a recent AARC report Kurtz recommends that: "Luxury brands and luxury marketers should … Continue reading Luxury Market Research Smackdown

Surgical Shopping and the Hangover Market

Last holiday season I coined the term "surgical shopping" to describe the highly precise way many consumers were purchasing.  While the panic of late 2008 and early 2009 subsided, consumers were only gradually opening their wallets, focusing primarily on needs vs. wants and often trading down to brands that gave very clear bang for the … Continue reading Surgical Shopping and the Hangover Market

The Private Flash Sales Sites Jump the Shark

On April 19 I posted about my belief that the luxury off-price market was about to hit the wall, largely owing to a squeeze between a growing customer base seeking out great deals, and a diminishing supply of first quality branded merchandise.   I suggested that the various players in the space were going to have … Continue reading The Private Flash Sales Sites Jump the Shark