The business winners of the future will be the companies trying to earn customers’ trust and respect, not those chasing profit at any cost.
The business winners of the future will be the companies trying to earn customers’ trust and respect, not those chasing profit at any cost.
So says the 2017 Predictions for the Luxury Industry report sponsored by Forevermark and published by Positive Luxury, an organisation that uses its Butterfly Mark to promote craftsmanship, service, design and sustainability in luxury brands.
The 51-page report, which looks at political, economic and social shifts in the luxury sector, features an introduction by Costantino Papadimitriou, Senior Vice-President of Brand Strategy and Innovation at Forevermark, which underlines the report’s conclusions.
He says: “Consumers care more than ever about the story behind their diamond. They are looking for a guarantee of superb quality, expert craftsmanship and a sense of responsibility from the brand.
“Luxury is the reassurance that the brand … lives up to its values and offers a deeper and more meaningful experience for consumers. Purchasing patterns are changing and consumers are now ‘looking under the hood and kicking the tyres’ of luxury brands.”
The report focuses on adapting to succeed in today’s rapidly changing marketplace. Areas examined include the ‘buy now’ revolution, the quest for status and artificial intelligence.
Also under the microscope is the Millennial world, a section that features a case study on Forevermark, highlighting how the business complies with its strict environmental, social and financial standards.
Stephen Lussier, Forevermark Chief Executive Officer, says: “Younger consumers particularly want to know where that product came from, and want a lot more assurance that it has ‘done good’ on its way.”
Diana Verde Nieto, a sustainability expert who co-founded Positive Luxury in 2011 and is now Chief Executive, says the report is the result of speaking to business leaders, academics and the banking sector to discern the 2017 trends.
“We live in a world where information, likes and dislikes, ratings and reviews are spread with growing speed,” she says. “The luxury brands that succeed will be the ones that demonstrate their value using innovative methods and platforms that appeal to today’s technologically adept, social media fluent consumers.”
Businesses, the report concludes, have the opportunity to hedge against the shifting sands of global politics by standing firm on their own convictions and beliefs.
“Companies that exemplify purpose and innovative, socially aware values will find themselves at the heart of social and economic change, meeting their customers’ desire for progressive, inclusive vision and drive: qualities that will be needed in 2017,” it says.
Download the report.