Exclusivity Marketing: How Luxury Brands Build Desire
Luxury and exclusivity go hand in hand. For a brand to successfully position itself within the luxury market, it needs consumers to perceive its products as scarce and available only to a select few. This air of unattainability is what sets luxury brands apart from mass-market products and services, making them desirable for not only their quality but the status they bring.
As access to goods becomes increasingly easier, however, creating a sense of rarity has never been more important for luxury brands. So, what is the secret behind building a successful exclusive luxury brand that builds desire among aspiring audiences?
How to Create Desirable Exclusive Luxury
There is a delicate balance between exclusivity and attainability that luxury brands must maintain to be successful. Of course, their products need to be perceived as rare or scarce to stay in demand, but at the same time, they need to sell a significant volume of products to drive revenue and maintain profitability. Brands therefore need to create an illusion of rarity to be perceived as exclusive and drum up consumer desire — which then sells more products.
Below, we explore some of the most powerful exclusivity marketing strategies used by top luxury brands.
HIGH PRICE POINT
Pricing is a critical part of a luxury brand’s strategy, as a premium price tag is one of the most straightforward ways to signal exclusivity.
By pricing their products at a level that only a select few can afford, they create a barrier to entry that ensures their products are only afforded to a small, elite group of consumers. Notably, luxury brands rarely, if ever, offer discounts or sales. This maintains the perception of value and prevents their products from becoming commonplace.
For instance, Canada Goose, a high-end outerwear brand, maintains its premium position by adhering to a strict no-discount policy. If you want one of their coats, you’ll have to pay full price.
WAITING LISTS
Another proven strategy for building hype, desire, and exclusivity is limited production and waiting lists.
By deliberately producing a limited quantity of items, products become harder to obtain. Those who want one must sit on the waiting list, signaling to consumers that this product is highly desirable and hard to get a hold of. This naturally makes them want it more.
The most notorious example of this is the Hermès Birkin Bag, famed for its waiting list that can stretch up to several years. As the demand far exceeds the supply, Hermès has successfully established a powerful allure to its brands and products. The Birkin is now the epitome of luxury, brewing excitement and desire even amongst the wealthiest and most famous.
LIMITED EDITIONS
Limited edition products and collections are rare in their very essence. Brands produce a limited number of products and once they’re gone, they’re gone. As a result, limited editions increase perceived value, as consumers know they may never get the chance to purchase these items again.
Luxury brands also market limited edition products as collectibles. This tactic generates buzz among the brand’s existing audience and intrigues new customers.
Breitling has successfully tapped into this strategy with its historic watches. The brand offers a range of iconic timepieces that are no longer in production, adding yet another layer of exclusivity to their offering.
EXCLUSIVE DISTRIBUTION
Where consumers can purchase a brand says a lot about its value. High-end department stores like Saks Fifth Avenue, Bloomingdale’s, Barneys, and Nordstrom only sell the top luxury brands. Selling products in these stores is an endorsement of luxury and exclusivity from these renowned stores.
Luxury brands can also limit the availability of their products by restricting their sale to flagship stores or luxury boutiques only. This creates an air of unattainability that dedicated customers are willing to go out of their way to obtain.
Prada limits the distribution of its goods to high-end boutiques and stores, maintaining its prestigious and exclusive image. This ensures that Prada products are only available in environments that align with the brand’s luxury status.
Similarly, Kith has meticulously engineered eight flagship stores that boast a minimalist design and carefully curated displays to blur the lines between retail space and art installation. Imagined by renowned architecture firm Snarkitecture, these unique brick-and-mortars deliver a luxury experience that can only and exclusively be had within their four walls.
INVITATION-ONLY EVENTS
Only a select few are invited to a luxury brand event. From runway shows that only top celebrities may attend, to private shopping sessions and invitation-only gatherings, these events reinforce the idea that only the elite have access to the most exclusive products.
As a slightly more accessible luxury brand, Net-a-Porter has seen the value of invitation-only events. They issue special invitations to their most loyal customers for exclusive sales and private events. These discrete discounting events make customers feel valued and part of an elite circle, deepening their loyalty to the brand.
EXCEPTIONAL CRAFTSMANSHIP AND MATERIALS
Many luxury brands emphasize the use of high-quality materials and expert craftsmanship to justify their premium prices. Marketing their products as handmade or made with rare materials makes each piece feel more special. Emphasis on skilled artisanship also sets luxury brands apart from mass-produced items, reinforcing their exclusivity.
Patek Philippe is among the brands that highlight their long tradition of exceptional craftsmanship. Their handmade watches are said to require months of work by highly skilled artisans. This commitment to craftsmanship ensures that each piece feels like a unique work of art.
Master the Art of Exclusivity Marketing
Few digital marketing agencies understand the importance of exclusivity in the luxury market like Block & Tam. Our specialist team of luxury marketers has worked with some of the top luxury brands in the world.
Contact us today to see how we can elevate your brand and create a marketing strategy that resonates with your exclusive clientele.
