Luxury Travel, Lifestyle and Marketing Trends

Latest Trends: Men, The Rich Opportunity for Luxury Segment

luxury latest trends

New Berluti Shop in New York

 

Most everything comes full circle at some point, so in that sense it’s not surprising that men, once far surpassing women in sales of luxury goods, are back as a major target. And nowhere is this more evident than in luxury retail. LVMH, whom we know is the lead to follow, is investing tens of millions of dollars in the male market segment. This week they’re opening the first New York store of Berluti, the maker of expensive men’s shoes that they’ve turned into a full apparel and accessories line and are showcasing this in their new outpost. This is part of a $137 million investment they’re making according to the Wall Street Journal. During the Great Recession many women who previously traded up become introduced to the likes of H & M, Zara, Forever 21 and others, and realized they could get knockoffs of the latest trends, such as an “it” bag or clothing items, for a lot less. And it’s unlikely they’ll return to shopping as before. Not so men, who, according to the article, are more loyal to brands and care less about the latest trends. Plus, according to Bain & Co., between 2009 and 2013 men’s luxury spending increased 55% compared with 37% for women. So the luxury heavyweights are opening men only stores. In the past year alone, for example, in Miami’s Design District, Dior and Christian Louboutin have opened shops for men only along with a Berluti store.  If fashion leads the way in luxury latest trends, then what can we expect to see  for men in other lifestyle categories like hotels and spas?  Sounds like a real business opportunity.

 

What Millennials Want: Live Branding Case Study

Amherst College

Amherst College

The always innovative Frits Van Paasschen, CEO of Starwood Hotels and Resorts, commissioned a study of marketing and branding trends with students at Amherst College. The target market was young adults. The “Live Branding Case Study” was a first for Amherst, his alma mater, and a first for Starwood who has only worked with hospitality schools in the past. Among the questions were “What are your generation’s biggest concerns?”” How will these influence your purchasing behavior”, and “What three initiatives would you commission if you were Starwood’s CEO”?

Survey results revealed that millennials put a premium on businesses that embrace technology and environmental sustainability along with social responsibility in general. This smartphone bred generation wants more from hotel mobile apps, like being able to order room service even while on the plane with a touch of a button, or being able to network with other travelers. The students encouraged hotels to look beyond the onsite facilities to events like in house art galleries, concerts, book clubs and meetings. And what is probably no surprise, the importance of design as an end in ltself, part of the experience.

The insights are valuable but I think what’s most interesting is the idea of going to a liberal arts college to do what they billed as a “Live Branding Case Study”. As described by the editor in an article in Amherst College’s magazine, Van Paasschen wanted to leverage the interdisciplinary nature of a liberal arts education and students’ interests ranging from fashion, real estate and finance to media and contemporary art. The Starwood CEO  said this will be the first of other similar studies, and I’m sure many other hotel companies will follow their lead. Interested in reading more about millennials and marketing? Check out our Luxury Travel and Lifestyle Trends newsletters.