luxury services, not product

There is a new book on the market called “Deluxe: How Luxury Lost its Luster” by Dana Thomas. The main premise is that in order to maintain high profit margins, luxury brand conglomerates are cutting corners on production, curtailing the quality that requires higher prices and thus creating a “luxury” product—something only a few can afford. Bernard Arnault of LVMH succinctly put it, “luxury goods are the only area in which it is possible to make luxury margins.”

With this in mind, I think it behooves design professionals to focus on the most valuable service (not product) oriented aspects of what they do, think of it in terms of “white glove” service, and then insist on a premium in order to deliver the highest and best quality of service. There is a vast market of individuals around the world that have the money and will pay the premium. Market yourself to them!

Comments

[Mark Readel]

I was introduced to the "To-The-Trade" end of business at the young age of 20.Some 27 years later, I am still fascinated in the LUXURY market.I can not imagine spending my time with any other coalition than marketing my products through Professional Interior Designers.