How does luxury use social media for user management?What can be learned?

2022-06-17 0 By

How does luxury use social media for user management?What can we learn from it?Lilly – Shanghai – Products ▼ The following discussion in the fashion circle is a discussion and summary of industry issues.These shares are the fruit of collective wisdom.(They do not represent Leng Yun’s personal views).Hope can let more industry personage benefit through this kind of way!This discussion references and quotes from the following journal articles:Kim, Angelia Jiyoung and Ko, Eunju (2010). ‘Impacts of Luxury Fashion Brand’s Social Media Marketing on Customer Relationship and Purchase Intention’ in Journal of Global Fashion Marketing. 1:3, 164-171.Bui Thanh KHOA, Truong Duy NGUYEN, Van Thanh-Truong NGUYEN (2020) ‘Factors affecting Customer Relationship and the Repurchase Intention of Designed Fashion主 持 人 : Our topic today is whether social media marketing of luxury goods can help build strong relationships with customers.Thus, consumers’ purchase intention will be affected and sales volume and profitability will be improved.What can other fashion brands learn from social media marketing?Can you talk about the current challenges of luxury goods?Why are luxury brands engaging in social media marketing?I find that the new clientele of luxury goods is young.First, I would like to share a data I have seen: According to an Analysis of Luxury Marketing Strategies under the Background of “Internet plus” (China Market, No. 30, 2021), the current global affluent population presents a young trend, and young people are more accustomed to online shopping.Millennials (born between 1980 and 1995, about 320 million people) are the main force of luxury goods consumption on Tmall, accounting for more than 70% of the overall market share.Yun You Kelly: Millennial consumers are already the main group of luxury consumers, and the new consumers are not so loyal to the brand choice.Zhuang: Then consumers’ brand loyalty is not that high. How do luxury brands solve this problem?Zhang Xia: How do you define a “luxury” brand?Zhuang: I think the definition of luxury brand is “industry benchmark, super-high profit, continuous innovation”.Zhang Xia: I think there is also a sense of scarcity in manufacturing products.How do luxury brands use social media to manage users?Zhuang: Let’s move on to the next question. What are the characteristics of luxury social media marketing strategies?Janice: Right now, there are many notifications from luxury brands on wechat moments.Zhuang: Yes, there are notifications from luxury brands in moments, weibo and Xiaohongshu, which are mainly used for consumer education and product presentation through videos and live broadcasts.Are you interested in the content?Zhang Xia: I will look more, because I do this industry, so I will be based on professional attention.Zhuang: What will get a lot of attention?Rachel: I think it’s showy. The content of The Times will get a lot of attention.Zhang Xia: I think it is the content with strong social attributes.Yun You Yuan Lin: I think it is a story of strong content.Yes, cool, eye-catching and entertaining content will also bring a lot of interaction, such as likes, comments and so on.Content with strong social attributes allows consumers to exchange opinions, interact instantly and obtain first-hand information.After all, the use of social media has become a way of life for modern people, and young people spend a lot of time on various apps.Then, can such marketing activities improve the sales and profitability of luxury brands?Rachel: I think so.Zhang Xia: I think when marketing arouses people’s desire and social consumption psychology, their sales can increase.Zhuang: Ok, let’s talk about what elements of social media marketing can achieve sales expectations.As we all said, brands do social media marketing to attract customers and maintain customers.So what directions do brands need to start with to maintain customer relations?Yun You Yuan Lin: Brands understand consumer needs through interaction.Janice: Now many luxury SA (sales) will add friends on wechat to promote.Zhuang: What kind of content does a brand need to attract users’ attention?Social media marketing consists of five elements: entertainment, customization, interaction, word of mouth and trends, all aimed at maintaining customer relationships.Entertainment is a very important element.Kelly: I think the creativity of the brand is very important. After consumers see a good advertisement, it will leave a deep influence on them.Yun You Yuan Lin: successful advertising can arouse consumption desire, eliminate consumption concerns.Owner: Yes, the creative publicity should also be entertaining.So what are the elements of good brand customer relationship?Yun You Kelly: Meet customer needs.Owner: Yes, to understand the customer’s purchase intention.Customer relationships involve intimacy and trust.You can take a look at the relationship between social media and customers that I created.Next, let’s talk about how they affect each other.Zhang Xia: How to establish and maintain intimate relationship and trust?Like customer service?Owner: That’s a great question.Generally speaking, the establishment of intimate relationship requires timely interaction and communication with users, accumulating and maintaining emotional relationship over time.Brand content output, frequent interaction, need a long time to accumulate.Trust is built on the basis of building intimate relationships through social media, users and brands that generate referrals and purchases.For example, about intimate relationship (I am a loyal fan of XX brand, I have a close feeling to this brand, I know this brand very well), trust (I firmly believe in this brand, this brand provides accurate service information), friends yuan Lin: I think this process needs time.Owner: That’s right.Next, what factors will affect customer relationship and purchase intention?And how do they interact?Yun You Yuan Lin: I think style first, including style of scarcity, preciousness.The impact of brand style on users.Non-success friend Zhang Xia: we buy our own clothes will first go to flip over their own bought feel good brand.Zhuang: Yes, consumers’ buying intention will be influenced by style.Let’s take LV’s microblog as an example. This is LV 22FW men’s fashion show. What are the characteristics of it?Zhang Xia: I see many names of Gong Jun.Zhuang: Yes, we can find that the content about Gong Jun flooded the screen in the comments section, which reflects the entertainment of the luxury brand’s promotional activities.Interactive points are in the flow of stars, product discussion is very little.The campaign brought in 21 likes, 4.2 shares and 2,100 views.Such events use streaming stars as a medium to create an intimate relationship between users and brands through entertainment.Yun You Yuan Lin: I don’t know how the product sales?Owner: Yes, I also wonder how much the final transformation?Kelly: I don’t think the conversion rate is very high.Zhuang: The point here is that entertaining content and word of mouth have a positive impact on intimate relationships.Trust is more affected by entertainment, with free entertainment content, customised services and trend-setting social media sites offered by the luxury industry all having a positive effect on strengthening customer relationships.Consider BALENCIAGA’s Fall 21 video game (Hereafter: Tomorrowland).Players choose their own characters from the latest Fall 21 styling catalogue and enter a world set in 2031.The hashtag # TomorrowLand Play Now has 170 million views on Weibo.Therefore, the relationship between customers and brands formed by entertainment is stable enough to induce future customer behaviors that are important to the brand.The following is the corresponding chart of the factors I made. The part in red is the important factor.To sum up, brand social media provides value for customers in every link, providing interesting elements of entertainment value and customer-centered services, so that brands and users can interact with each other.The next question is the relationship between customer relationship and purchase intention.What does customer relationship involve?Customer relationship includes intimacy and trust, and trust is highly correlated with purchase intention.Trust is influenced by entertainment, customisation and trends, and customer trust is strengthened through interaction with other users and brands on social media sites.Customization and trend have no direct influence on purchase intention, but will affect purchase intention through the influence of user trust.Intimacy has no significant influence on purchase intention, but entertainment and word of mouth have significant positive influence on intimacy.Therefore, every factor we can find in the social media of luxury brands has a positive impact on customer relationship and purchase intention, among which entertainment has the biggest influence.Luxury brands should offer plenty of free entertainment on social media.Retain existing customers and attract cross-customers by obtaining authentic information about users’ celebrity interests.Owner: Let’s move on to the third part. What can we learn from the social media marketing of luxury brands?Which ones to avoid?Yuan Lin: I think the entertainment and social interaction of luxury brands can be learned.Janice: I think some of the cultural connotations in luxury brands are good. They are impressive and cohesive, but we should pay attention to cultural conflicts.Yes, it’s very important. There’s a lot of entertainment in the lifestyle, and customized content is very valuable.Zhang Xia: The entertainment and social networking mentioned above is a good way of marketing. Is there a large demand for customized content?Owner: Customization here refers to specific activities that release limited edition products. Such activities can provide users with new values by collecting data and integrating customer needs through marketing platforms.Zhang Xia: Can you explain the specific activities in detail?Or are there cases?Owner: It is also to get closer to customers with all kinds of marketing activities. We can manage customers as our main assets and create all kinds of marketing activities to get closer to customers.Just upstairs, there are entertainment marketing activities.For example, BALENCIAGA’s Fall 21 video games (Hereafter: Tomorrowland) are social media marketing campaigns for entertainment (esports, video games, etc.).Do you think there are any pitfalls to avoid?A lot of celebrities have fallen over in 21 years. They use social media and choose their spokespeople carefully.DIOR’s latest advertising campaign for its DIOR VIBE is also rare, featuring athletes instead of celebrities because of their healthy image.Last but not least, will homogenous marketing measures lose the differences between brands if brands cater to the market excessively?Yun You Yuan Lin: I think it should not, every brand has its own DNA, ever-changing their DNA is constant.Zhang Xia: Yes, the product style difference is quite big.Zhuang: So we can draw lessons from the following directions: 1. Manage customers as main assets, create marketing activities, and get closer to users.2. Entertainment of social media marketing activities (e-sports, video games, blind box)3. Careful selection of spokespersons (celebrity spokespersons turn over) 4.Consider whether the over-catering to the market, homogeneous marketing measures will lose the difference between brands.The new luxury customers tend to be young. Millennial consumers have been the main group of luxury consumers, and their brand loyalty is not high.2. How do luxury brands use social media for user management?Every factor we find in luxury brands’ social media has a positive impact on customer relationships and purchase intentions, with entertainment having the biggest impact.Luxury brands should provide plenty of free entertainment on social media.To retain existing customers and attract cross-customers by obtaining real information about their interests.1. Manage customers as main assets, create marketing activities, and get closer to users.2. Entertainment of social media marketing activities (e-sports, video games, blind box)3. Careful selection of spokespersons (celebrity spokespersons turn over) 4.Consider whether the over-catering to the market, homogeneous marketing measures will lose the difference between brands.Editing: Zhang Huaikai Editing: Chen Chang Art editing: Li Ning