Sarah Shapiro’s Post

I’m genuinely surprised to see how luxury is evolving in such a thoughtful direction. At Zurich Airport, this morning I discovered Pre-Loved Luxury. This is more than a marketing initiative – it represents real change. By offering unique, vintage pieces at attractive prices, each carefully selected and certified for authenticity, Pre-Loved Luxury illustrates how sustainability and timeless elegance can coexist seamlessly. This approach proves that luxury doesn’t always mean new; sometimes, it’s about valuing what has stood the test of time. Discover how sustainable style can be both fulfilling and beautiful, and let’s work together to reshape the future of fashion. The preloved luxury market is thriving, experiencing significant growth driven by changing consumer preferences, sustainability concerns, and digital advancements. Market Growth and Projections • Global Expansion: The secondhand luxury goods market was valued at approximately $31.12 billion in 2022 and is projected to nearly double, reaching $58.3 billion by 2028. • Growth Rate: This sector is growing four times faster than the primary luxury market, with an annual growth rate of 12%, compared to just 3% for new luxury goods. Regional Insights • Asia-Pacific Surge: The secondhand luxury market in Asia-Pacific reached $7.2 billion in 2022 and is expected to grow annually at 9.75%, reaching $12.5 billion by 2028. • China’s Market: China’s secondhand luxury market is valued at over $8 billion, reflecting a growing interest among consumers in preloved luxury items. Consumer Demographics • Younger Generations Leading: Millennials and Generation Z are the largest participants in the secondhand luxury market, with 54% of Gen Z and 48% of millennial luxury consumers purchasing preowned goods. • Sustainability and Affordability: These consumers are motivated by sustainability concerns and the desire for more affordable access to luxury items. Brand Participation • Luxury Brands Engaging: Brands like Gucci, Alexander McQueen, and Chloé are embracing secondhand sales to attract younger clients and promote sustainability. • Online Platforms: Digital platforms such as The RealReal, Vestiaire Collective, and ThredUp are fueling the preloved luxury market by offering authentication services and a broad selection of products.

One of the most common misconceptions about luxury is with regard to its cost. In a press interaction, American designer and brand owner Calvin Klein said, “The price tag doesn’t have to be steep for something to qualify as a luxury product”, debunking the common myth that luxury, by its very definition, has to be expensive. (article attached for full read) In today’s times, millennials hustle through their lives wanting to be able to experience an elevated lifestyle. There is a growing understanding that world class quality, design and craftsmanship comes at a price but it need not be sickeningly expensive. Value for money is no longer defined by cheap or discounted products but “price worthiness”. Brands and marketers are therefore striving to offer consumers the best of functionality, quality and design for a lot less making luxury more achievable. Other segments including SUV cars, premium two-wheeler motor bikes, beauty and skin care products, Health food and such others are witnessing better quality products being offered at a premium but achievable price. In this dynamic market, the challenge for brands will be adjusting their marketing strategies to align with evolving patterns of consumer engagement. We will see more brands enter the affordable luxury space either through brand extensions by incumbent luxury brands, international brand entrants or new home grown D2C brands creating waves in the affordable luxury space. The economic indicators support the trade up and premiumisation that is being witnessed in several categories. There is a need gap in this growing segment of aspiring customers who want to experience the best things in life, and want to do so Now! https://lnkd.in/gTEvhE97

Here's a truth we don't talk about much in the luxury market but should: Status sells. INSEAD Professor David Dubois whose done extensive research into consumers' motivations for luxury purchases said, “Consumers’ enduring desire for luxury largely derives from the need for status, that is respect, admiration and voluntary deference afforded by others.” But that status can be expressed in a myriad of ways beyond sporting a logo handbag. For example, what Dubois calls "non-consumption behaviors," i.e. experiential luxuries, can yield equally high-status benefits. Read about it in my latest The Robin Report article with Chris Gray, Psy.D. The Buycologist Chandler Mount Affluent Consumer Research Company #luxuryconsumption #luxurypurchases #consumermotivation #status #conspicuousconsumption #quietluxury #affluentconsumers https://lnkd.in/eXhzHpbb

🌎 The Role of Global Events in Shaping Local Luxury Retail Markets 🛍️ In the glittering world of luxury retail, where craftsmanship meets aspiration, the tides of global events ripple through boutiques and flagship stores alike. From runway shows in Paris to geopolitical shifts, these events cast their spell on our most coveted brands. But how exactly do they influence the local luxury market? Let’s dive in! 💎 The Runway Effect: When haute couture graces the catwalks of Milan or New York, it sends shockwaves across the globe. That exquisite gown worn by a supermodel? It’s not just fabric; it’s a statement. Local luxury retailers watch closely, anticipating which trends will trickle down. Remember when neon hues burst forth after a certain Met Gala? Yep, that’s the runway effect. Geopolitical Ballet: Trade wars, sanctions, and diplomatic dances impact luxury markets more than we realize. When tensions rise between nations, supply chains quiver. Suddenly, that Italian leather handbag might cost a little more due to tariffs. And when borders close, jet-setting shoppers redirect their splurges. 🌐 The Instagrammable Moment: In an era where experiences are currency, luxury brands orchestrate Instagram-worthy events. Think exclusive champagne soirées, limited-edition drops, and collaborations with artists. These moments transcend borders. When a celeb flaunts that limited-edition watch, it’s not just a watch—it’s an invitation to join the elite club. The Pandemic Pivot: Ah, COVID-19—the ultimate disruptor. Luxury retail faced lockdowns, supply chain hiccups, and shifting consumer behavior. But it also accelerated digital transformation. Suddenly, virtual showrooms and AR try-ons became the norm. The pandemic taught us that resilience isn’t just for cashmere—it’s for brands too. 🎯 Conclusion: Luxury retail isn’t immune to global currents; it dances to their rhythm. Whether it’s a royal wedding, a climate summit, or a cyberattack on a luxury conglomerate, these events shape what we desire, how we shop, and where we invest. So next time you step into that marble-floored boutique, remember: the world’s pulse beats in every stitch. 👉 Share this post if you’ve ever felt the allure of a designer label! 👉 Comment below with your favorite luxury brand and why it speaks to you. Note: This post is a creative work and not based on specific published content. ==== DM | Follow Nadeem Ansari and #nadeemansari if you agree to my points. Keep learning, keep sharing, keep growing and keep evolving. Thank you very much.   ==== #leadstrategicsalesexpert #retail #LuxuryRetail #GlobalEvents #FashionForward #RetailTrends #ShopLocal #ChampagneDreams

Luxury: Where the Price Tag Outshines the Value Tag: 💹 👜 There's no denying the allure of luxury brands. They promise prestige, craftsmanship, and a touch of the extraordinary. However, from a purely practical standpoint, here's why buying luxury doesn't always make real sense: Price vs. Value: The price premium for luxury goods often far outweighs the actual increase in quality or functionality. You might be paying significantly more for materials that are marginally better, or for a brand name rather than a truly superior product. 📍 Depreciation: Luxury items often depreciate rapidly. That limited edition handbag might lose a significant chunk of its value the moment you walk out of the store. 📍 Opportunity Cost: The money spent on a luxury item could be used for more practical or long-term investments, like financial security, education, or experiences that offer lasting value. 📍 The "Keeping Up" Trap: The desire to keep up with the Joneses can push people into buying luxury goods they can't truly afford, potentially leading to financial strain and debt. Sure, there are situations where luxury purchases can be justified. Perhaps it's a timeless piece that will last a lifetime, or a special occasion gift that holds sentimental value. However, for most everyday purchases, the price premium for luxury often outweighs the tangible benefits. Here's the bottom line: buying luxury can be a purely emotional decision, driven by the desire for status, exclusivity, or a sense of achievement. But when it comes to "real" value in a purely practical sense, there are often better ways to spend your hard-earned money. What's your view? (Note: The picture is just for representation purpose!) #brand #luxury #value #marketing #growth

🌟 The best practices for buying and selling pre-owned luxury items 🌟 Have you ever wondered how to navigate the second-hand luxury market successfully? Whether you're a collector or a seller looking to maximize the value of your items, here are some essential tips to help you make the most of this experience! 1️⃣ Authenticity first: When buying or selling pre-owned luxury items, authenticity is paramount. Make sure to source products from reliable sources and always verify the authenticity of items before concluding a transaction. 2️⃣ Seek trustworthy channels: Opt for trusted platforms and reputable resellers to buy or sell your luxury items. Specialized websites and renowned online stores often offer authenticity guarantees and a secure customer experience. 3️⃣ Know the market value: Before setting a selling price or making an offer on a pre-owned luxury item, conduct thorough research on its current market value. Consider factors such as the item's condition, rarity, and demand in the market. 4️⃣ Pay attention to details: When inspecting luxury items, meticulously inspect every angle. Look for signs of wear, defects, and imperfections that could influence the item's value. Buyers and sellers always appreciate transparency and honesty. 5️⃣ Communicate clearly: Whether you're a buyer or a seller, clear communication is essential to ensure a successful transaction. Clarify the terms of sale, payment methods, and delivery timelines from the outset to avoid misunderstandings. 📢 And stay tuned for our next exclusive offer at The Brand Collector! Soon, we'll be launching a Spa service to renovate pre-owned luxury handbags. Stay connected for more details! Share your own tips and experiences in the comments!  What are your best practices for buying or selling pre-owned luxury items? ✨ #Luxury #SecondHand #BuyingSellingTips #Authenticity #CustomerExperience #MarketValue

After over 14 years in the luxury industry, founding THE AGENCY DE LA MODE, and lecturing at the FRA, I’m thrilled to share insights from my journey and research into what truly drives luxury in today’s world. In this book, I explore how luxury is evolving—from status symbols and opulence to a deeper focus on experiences, emotional connection, and ethical responsibility. It’s a comprehensive look at the psychology of luxury buyers, the role of digital transformation, and the importance of cultural and social shifts that are reshaping the industry. Throughout these pages, I dive into the intricate motivations that drive people to engage with luxury, examining the impact of price as both a barrier and a marker of prestige, the transition from ownership to experiential value, and the rising demand for brands that align with personal values around sustainability and inclusivity. I also dissect how technology—through e-commerce, virtual reality, and data-driven personalization—is redefining the way luxury brands interact with their consumers, enhancing accessibility while preserving exclusivity. By analyzing real-world case studies from iconic brands like Louis Vuitton, Gucci, and Rolex, I provide an inside look into the strategies and innovations shaping the luxury market. These brands have been pioneers in adapting to the changing landscape, balancing tradition with modern expectations to remain relevant and desirable. This book is intended not only for luxury industry professionals but also for anyone intrigued by the allure of luxury and the evolving tastes of today’s consumers. Whether you’re a brand strategist, a market researcher, or simply a curious observer, I hope these insights will broaden your understanding of what luxury means in the modern age—and where it’s headed. Join me on a journey into the psychology, culture, and economics of luxury in the 21st century. Together, let’s explore how luxury is being redefined for a new generation—one that values authenticity, experiences, and ethical responsibility just as much as, if not more than, exclusivity and status. Thank you for being part of this exciting exploration. I can’t wait to hear your thoughts and insights as you dive into The Psychology of Buying Decisions in the Luxury Industry. Let’s redefine luxury, together. ✨

I noticed that the luxury slowdown has been analyzed from the geo-political, macro-economic and market growth angles. But the problem is cultural. Luxury lost its soft power. Luxury’s soft power kept its value and price together. Price made something more desirable (the Veblen effect) and no one questioned the price thanks to perception of value. This value was material, but mostly cultural and social: when an item sold too well or too quickly, a luxury brand would discontinue it. Cynic is a man “who knows the price of everything, and the value of nothing,” noted Oscar Wilde. He might have as well been describing today’s luxury market. Seemingly overnight, luxury products’ price unbundled from their perception of value - their desirability - and turned them into commodities. Luxury exists in the social and cultural exchange system, not in a market segment. It is glib to think that a different market growth strategy will save luxury. Luxury doesn't need a new competitive strategy, it needs a new cultural strategy. Where, exactly, is the value? Luxury is a game of identity. Identity is what differentiates luxury strategy from strategy of premium and mass brands. Identity commands value perception, and prevents cost-per-wear and price-value calculus. It also makes a brand incomparable: premium and mass brands communicate how they are better/cheaper/faster than competition. Luxury brands don’t. (Or, at least, those luxury brands that retained their incomparability do not: Hermès sales are up 11.3 percent in the Q3 of 2024. Bottega Veneta and Brunello Cucinelli have also grown, as did Prada.) The list is short. Luxury brands literally lost the plot. Instead of doubling-down on identity, most luxury brands doubled-down on creating more products. Without identity, a product is commodity. Without identity, a brand is a glorified production facility. A lot of luxury brands organized themselves as commercial entities fiercely focused on their own efficiency, cost-cutting and bottom line. This growth strategy made a lot of them forget who they are, what they stand for, and the role they play in culture. Read the full analysis on The Sociology of Business: https://lnkd.in/e34H9c7m

“Luxury is a game of identity. Identity is what differentiates luxury strategy from strategy of premium and mass brands. Identity commands value perception, and prevents cost-per-wear and price-value calculus.” Spot on!

Dr. Deming's focus on quality, purpose, and enduring value brings a critical eye to luxury goods, often cutting through the superficial to highlight what truly matters in these categories. Just for fun I'm channeling the pragmatic wisdom of Dr. W. Edwards Deming, each of these luxury categories might be met with his sharp focus on quality, purpose, and the role of management in creating value. Here's what he might say about each. Here's the first ten I came up with. Remember, "Quality is One Thing, The Marketing is Quite Another"... Bob Rutherford channeling Dr. Deming. THE FIRST TEN OF FIFTY: 1. Luxury Watches: "A timepiece should tell time accurately. Anything beyond is decoration, not quality." #TimepieceElegance 2. Designer Fashion: "Style is fleeting, but true quality endures. Don't be swayed by trends; focus on craftsmanship." #HighFashion 3. Luxury Automobiles: "Luxury is often about perception. Performance and reliability are the real measures of value." #LuxuryCars 4. Fine Jewelry: "Jewelry's worth is in the materials and the skill of the craftsman, not the brand attached to it." #JewelryExcellence 5. Luxury Handbags: "Functionality should come first. A handbag that doesn't serve its purpose is waste, no matter the logo." #DesignerBags 6. Gourmet Food & Drink: "Quality in food is about consistency and ingredients, not just the price tag." #GourmetLuxury 7. Luxury Travel: "True luxury in travel is about experiences and service, not just lavish surroundings." #TravelInStyle 8. Exclusive Fragrances: "A fragrance should evoke memory and emotion, but never at the cost of overwhelming the senses." #ScentOfLuxury 9. High-End Electronics: "Technology should simplify life, not complicate it with unnecessary features." #TechLuxury 10. Luxury Skincare: "Skincare products must deliver on their promises, or they are just expensive creams." #BeautyLuxury