Blogger’s Park- The changing rules of luxury

Blogger’s Park: The changing rules of luxury

By Shivaji Dasgupta

From denial to inclusion, luxury marketing in India has truly moved on. Bain & Co. suggests that by 2030, it could touch $200 billion annually.

Everything changed, as the millennium turned. The educated professionals acquired substantial legit cash. With native canniness, they started to evaluate luxury on their own terms. Upfront comparison charts, EMI offers, cashback and peer opinions became prevalent.

Soon, luxury acquisition emulated mass marketing. Mercedes and BMW openly touted EMI plans,Oberoi Hotels marketed package deals and premium airport lounge access embraced the ‘upgrade’ era. Even the snooty jewellery business followed suit, most recently for real diamonds versus lab diamonds. Super luxury brands in the Jio World Plaza in Mumbai have insisted that at least four competitive peers must be present, to attract a variety of seekers.

The final frontier of inclusion was e-commerce, most recently tatacliq.com and tirabeauty.com. Using a routine Bollywood celebrity approach, the latter was launched with much fanfare in mass media, while its purchase protocols thrive on discounting provocations. On tatacliq.com, the lead banner space is occupied by coupon codes and upfront price offs.

Truthfully, there are no ‘online’ showrooms and the buying experience can only be judged by efficiency. Profiling, the secret sauce of hotels and clubs, is being routinely sacrificed for growth.The comparison-hunting and value-demanding nature of Indian customers is driving the agenda of luxury thought leaders. Self-enhancing experience is quietly surpassing flaunt value as the core motive for upgrading.

Parts of BFSI are still clinging to the wishful past. UPI has made digital banking available to 40% of Indians, the rich and poor unified by 4G and soon 5G. Yet HDFC Bank NOW, Indusind Bank INDIE and peers are still promoting superficial exclusivity. Portions of real estate still play the old game, concealing pricing and building fake aura.

Everybody must recognise the homogenisation of buyer mindsets, same search criteria applying for broccoli and BMW. Denial as strategy will usually lead to rejection as an inclusive customer-centric approach works for modern customers, insistent on information and comparison. Transactions may differ but the emotions are now the same.

The author is an independent brand consultant and writer

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