Digital marketing’s rapid growth in the past decade has dramatically changed consumer purchasing habits and changed how we interact with our brands. Brands have embraced social media because of its exponential growth, alongside celebrity brand ambassadors. These factors allow brands to easily utilise the large online audiences and star power of celebrities that are associated with their brand. This, in turn, drives brand awareness and revenue.
By analysing engagement, brands can gather detailed data about customer buying habits. This data is invaluable to brands who want to reach out to their most loyal consumers. Some brands continue to use traditional marketing to convey certain brand characteristics.
It would be unrealistic to deny the effectiveness of a social media presence in increasing brand awareness and attracting a wider audience. Social media is a fast-paced medium, and brands may be under pressure to create as much content possible in order to grab the attention of consumers. Due to the immense pressure of staying updated on the extremely competitive digital realm, a brand’s content may lack substance, causing consumers to lose interest.
A significant social media presence can also be risky due to unforeseeable factors, which may lead to negative press and criticism. However, those who do not follow the norm can create a mystery which attracts consumers and encourages them to investigate products, produce independent content, as well as satisfy their own curiosity, thus creating a word-of-mouth-effect.
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Brand Credibility is Created by the Reliability Word-of-Mouth.
Brands such as Bottega Veneta and Loro Piana, who do not use social media or advertising, have seen a high level of success from the word-of-mouth marketing effect. These brands rely on the credibility of their brand identity to generate revenue — boasting rich heritage, traditional craftsmanship and high quality materials.
The growth of these brands was previously dependent on personal recommendations by loyal customers. Referrals from satisfied customers are a great way to give brands credibility and authenticity. The word-of mouth effect is less biased and more reliable compared to a brand advertisement.
It is important to note that social media trends and influencers have contributed to the explosive growth of Goyard and Loro Piana in recent years. In particular, it was the large tote bag and quiet luxury trends that accelerated sales in spite of a high price tag. Bottega Veneta only employed the “no marketing” marketing technique in 2021, with the intention to rely on the word-of-mouth effect from loyal customers and ambassadors. The brand was already well-established, extremely popular and profitable but, while digital content from the brand disappeared from everyone’s feed — their products were still ever-present on social media. Hence, the decision worked well to maintain visibility and sales while also elevating exclusivity. Despite these success stories of brands’ opting for low social media presence, it could be argued that it is unreasonable to deny the great potential of social media marketing for these brands, that have proven perform successfully among social media users.
The lack of digital marketing creates exclusivity and demand
The use of traditional marketing and limited engagement with digital platforms builds an ethos of quality over quantity, alluding to the credibility to the brand in allowing their product to speak for itself — strengthening a brand’s reputation and identity. Brands like the Olsen twins’ The Row and Berluti execute this to their advantage, in The Row’s prohibition of social media are runway shows and their low digital presence. Digital media is the norm for many brands. By stepping away from it, they create buzz and an air of exclusivity. Thus, this not only shows a brand’s dedication to quiet luxury but it points to a demographic that values subtleness over showiness, allowing expert craftsmanship to do all the marketing for them.
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Even though E-Commerce is convenient, in-store experiences still dominate
The digital world is not just about spreading brand awareness, or collecting consumer statistics. It also encompasses the popularity of e-commerce. The main goal of creating an important digital presence is to increase sales and revenue. In-app purchases, and easy-to-use online stores are ways for brands to create the perception of convenience. Renowned fashion houses like Prada, Burberry and Dior were few of the first luxury brands to utilise Instagram’s in-app shopping function, that aimed to provide consumers with a seamless and fuss-free shopping experience.
The process is utterly straight forward — products worn in the images are linked to a shopping tab that when clicked, leads to a shopping page where customers enjoy a quick check-out process with a few clicks of a button. Shopping online is more accessible and appealing to Gen Zs and Millennials, who are a large part of the digital audience. This demographic is a good target for e-commerce marketing, since the majority of luxury buyers fall between the ages of 25-34 years. The next largest group are those aged 35-44. Gen Zs, Millennials and Gen Zs are most active on digital platforms due to their love of trends and pop-culture influences. While potential customers are compelled to buy what is seen online, this does not translate to an online sale.
3DLOOK reports that despite the convenience of online shopping, only 20.8 percent of retail sales are made through e-commerce. A few individuals may be able to use this channel, usually existing customers, or those who are able to afford to purchase large items without needing to do further research. Luxury fashion is often approached with caution by consumers due to the price tag. They may need to do more research or make an in-person assessment before making a purchase. While adjusting e-commerce to be more convenient is beneficial and increases access, it does not address the needs for the majority.
Prioritising analog experiences is important
Some brands, however, place a high value on analogue shopping in order to improve the consumer experience. Brands like Hermés, Chanel and Goyard do not offer e-commerce shopping and can only be purchased through indirect channels such as vintage or second-hand sites. In-person shopping should be given strategic priority because it focuses on all the aspects that improve the customer experience. Each of these brands has remained on top of their industry and boasts some of the most sought-after and desired items in the world of fashion, with a huge demand and limited supply. By focusing on improving customer service, an individual can enjoy the luxury and exclusivity that come with owning a prominent home. The in-store experience can increase sales by making customers feel appreciated and allowing them to feel each product. This combination of compelling factors and a personalized shopping experience results in a strong identity for the brand, which in turn creates loyal customers and a word-ofmouth effect.
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The success or failure of a brand’s digital presence in the fashion industry is heavily dependent on its identity. Brands that intentionally lack digital presence do effectively create an aura of exclusivity and generates growing demand from elevating a brand’s image and not marketing to mass markets. This approach, which allows the craftsmanship and visual appeal of a product to be the marketing tool for the brand, can lead to a loyal following through word-of mouth. However, it may also limit a brand’s growth. In this age of luxury fashion, social media marketing is the best tool. It helps to understand your consumer base, and it is very effective in increasing brand awareness. Social media marketing has a huge potential, and it is unreasonable to ignore this.
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