LUXURY MARKETING:
THE IMPORTANCE FOR LUXURY BRANDS TO UNDERSTAND DIFFERENT CUSTOMER TYPES.
Part 1: the status-seeker, the quality-conscious.
By: Raphael Vercott
• The Status-seeker.
• The Quality-conscious.
• The Lifestyle-conscious.
• The Traditionalist.
• The Avant-garde.
Anyone who has worked in the luxury industry, especially in luxury marketing - beyond its most superficial layer (often showcased on social media), comes to one key realization: despite appearances, luxury customers are far from homogeneous. They differ significantly in how they experience, and often express their individuality. This lies at the heart of luxury itself: the experience of timeless distinctiveness.
This often leads to a recurring question: Why them and not me?
After circling around a less-than-encouraging answer, we usually return to the core topic of this article. It’s no secret that luxury marketing differs fundamentally from traditional marketing. In fact, in some aspects, it must follow entirely opposite principles in order to be luxury. Equally well known is the fact that luxury marketing diverges significantly from both premium and fashion marketing.
Why it matters for a luxury brand to:
• Target both existing and ideal customers with consistent presence and communication.
• Distinguish between different customer types within the existing customer base.
• Effectively reach those who are not yet customers in the luxury sector.
These principles apply equally to newly established luxury brands and to those with a long-standing heritage.
Many luxury brands, especially some of the most traditional, were born under unusual circumstances. Often from the extravagant impulses of individuals unwilling to conform their vision to conventional market rules. From flashes of genius that might not have found a place in more "ordinary" contexts, but which, through the persistence of one or a few determined people, gave rise to legends. From a single idea that defied the norm. From the ambition to create something unprecedented. To offer the unthinkable.
Luxury brands invest in aspects of business: details, quality, sustainability, that are difficult, if not unthinkable, for other brands to prioritize, including many in the premium and fashion segments. To ensure a meaningful return on these investments, it is crucial that they know how to generate appropriate added value for their customers. And how to communicate it effectively.
More and more, luxury brands are having to forego some of the attributes traditionally associated with the luxury market. This article explores several key customer types within luxury marketing, and the specific characteristics to which each is most sensitive. While they all share the commonality of belonging to the luxury sector, they differ from one another in fundamental ways.
1. The Status-seeker
As the name suggests, the status-seeker is defined by two primary traits:
a) the pursuit of status
b) the display of status
The status-seeker is motivated by the desire to flaunt wealth and exhibit social standing (…and we all know where to find them - unless we’ve started ignoring Instagram). To achieve this, they gravitate toward luxury brands that are highly visible and instantly recognizable. Marketing strategies emphasizing exclusivity and status symbols, such as prominent logos or high-profile brand ambassadors, tend to resonate strongly with this customer type.
What should luxury brands keep in mind? The status-seeker seeks clear differentiation from anything perceived as merely premium or fashionable, that is, socially a tier below. In fact, many status-seekers transition into luxury from the premium sector, often bringing with them a mindset still shaped by fashion culture.
For luxury brands, it’s also crucial to recognize that, similar to fashion and premium consumers, status-seekers tend to lack strong brand loyalty. They follow trends, and are typically less sensitive to a brand’s deeper distinctiveness or heritage. They’re willing to pay for the name and the prestige it projects in the most conspicuous way, but more subtle qualities (as we’ll explore in the following profiles) often hold little added value for them.
2. The Quality-conscious
In their interpretation of luxury, quality-conscious customers place strong emphasis on distinctive attributes such as craftsmanship, material quality, and exclusivity. At the same time, they tend to distinguish themselves from status-seekers, and often consciously elevate themselves above them. While the status-seeker prefers to showcase wealth through the flashiest brands, the quality-conscious consumer leans toward a more discreet - and often deliberately understated - presence. The brands they wear are not only more subtle; at times, they are almost hidden. Their luxury may be recognizable only to a discerning few.
What should luxury brands consider?
Quality-conscious customers align more closely with some of the most fundamental principles of true luxury. They are drawn to brands renowned for attention to detail and are willing to pay a premium for products that are expertly crafted and built to endure. Unlike fashion consumers, they are largely unaffected by fleeting trends and tend to demonstrate greater brand loyalty.
Another key trait, crucial for luxury brands, is their appreciation for the intricate work behind a product. They value the research, development, and investment that go into design and production. For this customer, marketing strategies that highlight product quality, fine details, and the expertise of artisans behind the scenes are particularly effective.
Continues below.
LUXURY MARKETING:
THE IMPORTANCE FOR LUXURY BRANDS TO UNDERSTAND DIFFERENT CUSTOMER TYPES.
Part 2: the lifestyle-conscious, the traditionalist, the avant-garde.
In the previous article above, we have examined this customer types: the status-seeker, the quality-conscious.
3. The Lifestyle-conscious
This category of luxury customers seeks products and experiences that align with their personality and way of life. For them, luxury serves primarily as a means of self-expression, an extension of who they are. What sets them apart is that it often doesn’t matter whether a brand is new or steeped in tradition, as long as it resonates authentically with their lifestyle.
Lifestyle-conscious customers are typically less concerned with the opinions of others than many other customer types. For them, luxury must integrate seamlessly and meaningfully into their personal world. Because of this, they often represent a blend of other profiles, sometimes traditionalists, sometimes avant-garde.
What should luxury brands consider?
Lifestyle-conscious customers are generally highly loyal, provided the brand maintains its identity, staying true to itself while evolving with consistency and integrity. Most importantly, they are among the most credible brand ambassadors, as they embody their lifestyle with authenticity and coherence.
Each luxury brand complements others in a unique way. And so, every lifestyle-conscious customer engages with a brand on a deep, individual level, bringing it to life within the context of their own personal universe.
4) The Traditionalist
For traditionalists, a brand’s history holds particular importance and is reflected in its current image, even where its historical depth remains invisible to most other people.
Traditionalists are people who, upon hearing a name like Alfa Romeo, instantly recall an entire repertoire of models from the brand’s storied past, each associated with specific eras, anecdotes, and cultural moments.
What is important to consider for luxury brands? If you plan to promote your brand (of whatever industry) using the latest Lamborghini model, a traditionalist will probably feel much less addressed than, for example, a status-seeker. But if you happen to have an Isotta Fraschini or a Hispano-Suiza at your disposal, you’re much more likely to capture a traditionalist’s attention.
(Exaggerations aside,) traditionalists are often willing to pay a premium for the preservation of heritage, and for the opportunity to take part in it. Some of the most enduring principles of luxury marketing are especially relevant to them:
• A brand rooted in its place of origin.
This naturally varies by product category, but for many traditionalists, it represents a brand’s true uniqueness. Traveling to the birthplace of a brand, for example Maranello in the case of Ferrari, is the ultimate dream. Even more than owning the product, visiting the origin site becomes a ritual, a meaningful act that connects them to the legacy and spirit of the brand. For traditionalists, luxury is not something that should be easily available everywhere. Purchasing from a dedicated boutique, especially in a specific city, feels like part of the experience, an essential and ceremonial element of the brand relationship.
• Timelesness. This is perhaps the defining trait of the luxury traditionalist: the pursuit of something that transcends fashion and trend. They seek what is not quickly rendered obsolete, but rather gains value over time, beyond economic value: a stylistic and symbolic value.
That said, many luxury brands (even among the more established) cannot always afford to operate entirely on these principles. To remain competitive, they are often compelled to integrate elements of fashion and premium strategies into their marketing mix.
5. The Avant-garde
Customers in this category are among the easiest to recognize, often at first glance: they want to surprise. Not just others, but above all, themselves. As the name suggests, they are forward-looking. Or at least, out of the ordinary. When others see them, they should feel astonished, or at least provoked into asking questions.
One common misconception must be dispelled: avant-garde customers are not necessarily flashy, nor do they seek visibility at any cost. Sometimes they anticipate the times; sometimes, they simply live in their own.
They are often indifferent (or in some cases, easily bored) by trends and everything mainstream. Often, they seek simply to stand apart. Just as often, they are driven by pure curiosity. Curiosity to explore what lies beyond.
Beyond what?
Beyond the ordinary. Beyond the customary. Beyond certainty. Beyond predictability. Beyond one’s own limits.
Innovation is the key factor in attracting avant-garde customers. Not (necessarily) provocation. Not (necessarily) something that demands attention from every passerby. The concept of innovation must be something that every luxury brand must have in its DNA. Knowing how to express innovation naturally, and communicate it by arousing curiosity. Consistency in innovation matters: it must be embedded in the brand’s credo, in the vision that drives its founders, managers, and creators. This is not an identity that can be fabricated; it must be lived, and communicated with authenticity.
Avant-garde customers are willing, often eager, to pay a premium for something that gives them a sense of being ahead. Of being beyond.
Conclusion
Luxury marketing is a complex and nuanced discipline. These customer types are not necessarily in contradiction with one another; on the contrary, they are often complementary. What’s essential is that a brand understands how to address each with the proper nuance.
