Luxury is out. Parsimony is in. Is this the new statement of 2009? Well after reading this article in the Toronto star you may have to think twice when purchasing a luxury item.
"This is the definitely the worst we've seen the luxury market in decades," says Milton Pedraza, CEO of the New York-based Luxury Institute consulting firm.Forbes magazine says the number of Chinese billionaires has dropped by more than half, to 24 from 66, after the collapse of global stock markets this fall. And it figures that at least half the Russians on its rich list could be gone by next year."
If you can get the same item for half the price or even lower then what's the reason for purchasing luxury items at a time like this? I know my parents are trying to save money wherever they can. So companies with their high prices and well known brand names may suffer where other stores like WAL-MART may be gaining customers with their slogan "roll back prices". How will companies like Harry Rosen or Bulgari survive in this crisis?
Well, "luxury menswear retailer Harry Rosen placed full-page advertising in newspapers this month blaring "Harry's Economic Bailout Package For the Rest of Us," with discounts starting at 40 per cent off." Now how creative is that! Harry Rosen states, "In this kind of climate you have to do something out of the ordinary to stand out." I definitly think Harry Rosen will succeed in this recession by creating alternative methods on how to solve the problem. Also by analyzing your customers and just by making your products stand out.
I've been working at Danier Leather over the holidays and I would say that Danier Leather is a luxury item. However, sales are not decreasing, they are staying at a constant level compared to last year. Why would you think people would still be spending the same amount of money? Well, they have these sales where you can buy any two accessories and get one free or discounted coats that are half price. Leather is also ever gold where people will never get sick of.
So what do you think? Will luxury items continue to sell or will the consumers turn to the product without the brandname?
Subscribe to:
Post Comments (Atom)
1 comment:
The content you have provided is pretty interesting and useful and I will surely take note of the point you have made in the blog.
While I was browsing the Internet for ways to boost my website exposure, I read about how effective offline media is for getting additional exposure. Since online media advertising has become so competitive, I thought I will complement the online marketing efforts of my products with offline media advertising like newspaper and magazine advertising. This can be the best way to get a wider coverage for a website and draw additional traffic. I think it is a great marketing strategy to use both online and offline advertising to get more customers.
I thought this information might be useful for anyone looking for solutions to get me-ore traffic to their website.
Post a Comment