Luxury Needs A Safe Place To Be On Line.

November 5, 2009 --  Users of the popular

iPhone

are accustomed to turning to their phones to manage every portion of their lives, using it to find driving directions, play games, and even function as a flashlight.  So, luxury brand Ralph Lauren decided to meet these consumers where they live, designing a free

iPhone

app that allows users to scroll through items from their most recent Fashion Week shows and peruse selections from Ralph Lauren’s current collections.

Ralph Lauren, however, is one of the exceptions to the rule.  Luxury brands have typically eschewed an online presence, believing that their collections must be experienced in person, perhaps even in the atmosphere of a dedicated retail shop.  According to a new study from the NYU Stern School of Business, only a third of luxury brands were selling online just a year ago.

The recession has changed all this, as now two-thirds of luxury brands have some sort of online presence.  However, the study found that not all online efforts are created equal.  While some brands embrace the full spectrum of smart phone apps, Twitter feeds, and Facebook fan clubs,  many luxury brands still struggle with simple e-commerce, noting that cruise and tour brands, along with jewelry marketers were among the least digitally savvy. 

The NYU study rated 109 luxury brands across 11 product categories, giving brands ratings from  genius, gifted, average, challenged, feeble.  What sets apart the best digital performers like Tiffany, Louis Vuitton, Clinique and Porsche from the losers, like Waldorf Astoria, Trump, Faberge, Graff and Bulova, is their willingness to innovate the brand in the digital realm. 

Unity Marketing