Luxury brands are losing customers of young generation
The luxury companies are ignoring the next generation of millennials because they are contentedly selling to their established customers. This kind of attitude of the companies that they ignore the younger people can really make things more vulnerable because the millennials are generally doubtful about the luxury brands like Louis Vuitton and Burberry. Till the present date, the luxury companies have always taken a easy way out and had marketed to their consistent customers and have thus ignored the younger people or the next generation.
According to Pam Danziger at Unity Marketing, “Luxury marketers face a challenge repositioning their brands for this next generation of highly-educated, soon to be affluent young people. Luxury brands will have to adapt to meet this next generation of luxury consumers in the marketplace. “Understanding the aspirations of Millennials for a luxury lifestyle is critical for luxury brands, including what money, status, and success means to them. They will need to both innovate with new products, services, marketing strategies and branding concepts, as well as let go of old ideas that will prove ineffective, even counterproductive, for marketing to this new generation.”
The market regarding the luxury companies towards the younger people also depicts that reaching out to the younger generation is really difficult and challenging as the research shows that young generation think that luxury brands are high-priced, costly and are not worth of expense. They want something which is cheap and suits their pocket money. The younger people also do not tend towards the branded clothes as they think they are not pocket saving and are beyond their range. At present the millennials are not making much of the market. Regarding the research, Danziger feels that by the year 2020 many of the younger people will be heading towards buying more expensive goods.