What Keeps Customers Coming Back to a Luxury Store? Newsletter Contents 📮
- [LBG Insight] The Secret to Captivating Customers in a Luxury Store
- 📰Luxury Business News
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The Secret to Captivating Customers in a Luxury Store
The Heart of Customer Experience and Communication in the Evolving Luxury Retail Landscape |
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As the luxury retail industry undergoes rapid changes, the importance of training luxury store employee has never been more emphasized. Once simply a place to sell products, luxury stores have now transformed into spaces that offer customers unique experiences and meaningful interactions. In an era where both online and offline strategies are crucial in the retail industry, the training of luxury store employee must also evolve to meet these new demands. |
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"Hermès in the Making" Pop-up exhibitions in Korea |
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A New Paradigm in Luxury Store Employee Training
Delivering a Multi-Sensory Store Experience
Recently, luxury stores have recently transformed into sensory spaces where customers can fully immerse themselves in the brand experience. Rather than just selling products, the focus is now on offering customers a unique experience that fosters a deeper connection. Consequently, luxury store employees are now focused on more than just explaining products; they are dedicated to conveying the essence and value of the brand through all five senses.
For example, Hermès offers a unique and special experience through pop-up exhibitions like "Hermès in the Making," where customers can witness firsthand the craftsmanship involved in the creation of various Hermès objects, from leather cutting and silk printing to product repair, bag making, watch assembly, and gemstone setting. Through such events, customers can experience the brand's craftsmanship and philosophy of quality firsthand. Luxury store employees are trained on how to effectively guide these experiential programs and maximize the customer experience.
Similarly, brands like Louis Vuitton operate restaurants that allow customers to directly experience the brand's lifestyle. The employees are trained not just to sell products but to naturally communicate with customers in these spaces and convey the brand's value.
Developing Employee Competencies for Cultural Communication
As luxury stores evolve beyond mere shopping spaces to places where culture is shared, it has become essential to elevate the cultural literacy of the employees. This means not only accumulating knowledge of art or culture but also enhancing the ability to engage in more profound conversations with customers and effectively convey the cultural value of the brand.
For instance, employees working in cultural spaces like Gucci's "Gucci Gaok(House)" need to be equipped with knowledge across various fields such as art, music, fashion, and history, to engage in meaningful conversations with customers. To this end, luxury store employee training programs include cultural elements like art lectures, curation techniques, and storytelling skill enhancement.
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Luxury Store Employee Training in the All-Line Era
With the advent of the digital age, the "All-line" strategy, which blurs the lines between online and offline, is also having a significant impact on luxury store employee training. In an era where the boundaries between online and offline are becoming increasingly blurred, employees must be capable of providing a consistent luxury experience at all touchpoints.
Mastering Personalized Service Befitting Luxury
Luxury attitude is one of the core competencies that luxury store employees must possess. It doesn't just refer to an elegant demeanor but to a deep understanding of the brand's values and philosophy and the ability to naturally integrate these into every customer interaction. Through luxury attitude training, employees internalize the brand identity and reflect it in all aspects of customer service. For instance, they must embody the brand's values in every aspect, from how they greet customers, describe products, and respond to questions.
Moreover, the luxury attitude must be consistently applied in digital environments as well. Employees need to have the ability to provide a consistent luxury experience across various digital channels, such as online chat, video consultations, and social media.
Growing into a Brand Storyteller
Clienteling is a strategic approach to building long-term relationships with customers. It goes beyond simple customer management to deeply understand each customer's tastes and needs and provide personalized service. By teaching clienteling techniques in luxury store employee training, employees can help build trust and loyalty with customers. This includes the ability to analyze the customer's purchase history, preferences, and lifestyle comprehensively and offer personalized suggestions and services based on this analysis.
Clienteling also includes skills in managing customer relationships through digital tools. Employees must be able to provide a consistent customer experience across online and offline channels by utilizing CRM systems, data analysis, and personalized digital marketing techniques.
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Nurturing Employees as Brand Ambassadors
As the role of luxury store employees expands from mere salespeople to brand ambassadors and cultural curators, in-depth training aligned with these roles is necessary. It's crucial to provide training that deepens their knowledge of products and helps them internalize the brand's history, values, and philosophy, enabling them to convey these effectively to customers.
As brand ambassadors, employees must be able not only to sell products but also to convey the brand's story in a way that resonates emotionally with customers. This requires deep learning about the brand's history, design philosophy, and craftsmanship. Furthermore, employees must develop the ability to tailor and deliver the brand's story to fit each customer's context and needs.
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Enhancing Understanding of Sustainability and Ethical Consumption
With growing interest in environmental protection and ethical consumption, luxury store employees also need a deep understanding of these issues. Training on sustainable production methods, recycling programs, and ethical consumption campaigns should be included in luxury store employee training, equipping them to explain these aspects persuasively to customers.
This goes beyond merely memorizing the brand's eco-friendly policies; it requires a broad understanding of global environmental issues and trends in the sustainable fashion industry. Employees should be able to effectively communicate the brand's sustainability efforts to customers and share the value of ethical consumption.
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The Importance of Effective Luxury Store Employee Training
In the rapidly changing luxury retail environment, effective training for luxury store employees is a crucial factor in determining a brand's success. In luxury stores, where customer experience and communication are at the forefront, the role of well-trained employees has become more important than ever.
As part of the Luxury Business Group (LBG), which leads the global luxury business industry with its three divisions—Consulting, Recruitment, and Employee Training—LBI, the training division, deeply understands these industry shifts. LBI provides specialized and systematic training services for luxury retail employees. The LBI luxury store employee training program helps employees evolve beyond mere sales associates, enabling them to become true brand ambassadors who embody the brand's values and build meaningful relationships with customers. The program emphasizes developing skills that can be naturally applied in real-world situations through various methods, such as hands-on practice, role-playing, and case studies that reflect actual store environments. Additionally, it supports each employee in maximizing their strengths and addressing their weaknesses through ongoing feedback and coaching.
If you wish to maintain competitiveness in the evolving luxury retail landscape, consider partnering with LBI's luxury store employee training program to develop your employees into future leaders of the luxury retail industry. Contact us today to discuss a customized training solution tailored to your company's unique needs. With LBI, your employees can transform from mere sales associates into true ambassadors of luxury brands.
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Luxury Business Group (LBG) |
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#How about these contents? |
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◾ Collapse of the Luxury Industry? A Turnaround and New Opportunities After the Pandemic!
"We've reached the end of luxury," "Growth is no longer possible" — these phrases are being heard more frequently. But how accurate are these claims? When we take a closer look at the realities of the luxury industry, things are not as simple as they seem. Let’s dig into the truth.
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◾ New Luxury Brands Entering Korea: Alo Yoga, Human Made, Polène, On
Global "new luxury" brands with strong followings in Korea, like Alo Yoga, Human Made, On, and Polène, are opening flagship stores in Seoul’s trendiest areas. Their direct entry reflects Korea's growing influence as a key market in Asia, driven by K-content, MZ generation buying power, and social media impact.
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◾ Frieze Seoul 2024: A Major Global Art Fair Returns
From September 4-7, Frieze Seoul, one of the world’s top art fairs, returns to COEX. With over 110 galleries from 30 countries, this event is a highlight in the global contemporary art scene.
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◾ Futura Seoul: New Art Space in Bukchon
Opening on September 5th, Futura Seoul is a new gallery in Bukchon that blends tradition with modernity. Designed by architect Baek Jong-hwan, it features three floors, including exhibition spaces and a rooftop garden, offering stunning views of the Hanok Village.
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◾ Prada Beauty Lands Its First Flagship Store in Korea
The Italian luxury brand Prada Beauty is opening its first flagship store on the first floor of Shinsegae Department Store in Gangnam. After being introduced overseas last year, Prada Beauty will officially launch its first domestic store on the 20th. Ahead of the store's opening, a special pop-up store will be operating until September 25th, presenting a new vision for the beauty industry.
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◾ Loewe Becomes the Hottest Luxury Brand of Q2 2024!
LVMH's Loewe has been ranked the most popular fashion brand in the Q2 2024 Lyst Index, published by the UK-based fashion search platform Lyst. The brand underwent a significant renewal over the course of 18 months after hiring Jonathan Anderson as Creative Director in 2013.
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◾ Dyad Cheongdam: Luxury Private Social Club Set to Open Soon!
Dyad is a project led by world-renowned architect Dominique Perrault, involving various artists. It is set to be housed in a 20-story building, from three underground floors to a rooftop on the 17th floor. Focused on wellness, socializing, and pleasure, Dyad will offer world-class F&B spaces, biohacking, spa lounges, and various entertainment experiences, including global parties and events through partnerships with top clubs worldwide.
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◾ Marimekko Opens MariDenim Pop-Up Store at Shinsegae!
In August 2024, Marimekko opened a special pop-up store at Shinsegae Department Store in Gangnam, featuring its new denim line, 'MariDenim.' The collection, which merges Marimekko's unique sensibility with denim, made a splash as it was showcased for the first time. MariDenim offers styles that cater to people of various ages and personalities.
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◾ Cheongdam Expands Its Focus From Fashion to Jewelry & Watches
Cheongdam district in Korea is expanding its focus from traditional fashion to jewelry and watch brands. According to Cushman & Wakefield's Q2 2024 retail market report, as the luxury market matures, consumer interest is shifting toward jewelry and watches. As a result, luxury brands such as Audemars Piguet, Richard Mille, and Tiffany & Co. are opening new stores in Cheongdam, which is expected to lower the vacancy rate in the area.
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◾ Hilton Expands Its Luxury Hotel Portfolio
Hilton Worldwide is strengthening its presence in the luxury hotel market through its partnership with Small Luxury Hotels of the World (SLH). This collaboration adds approximately 400 boutique hotels from SLH to Hilton's luxury brand collection, allowing Hilton Honors members to earn and redeem points, enjoy free WiFi, member discounts, room upgrades, and more at SLH hotels. This strategy drives more bookings and loyalty program participation, enhancing Hilton's market competitiveness. Hilton's stock is up 18.2% this year, thanks to digital strategies, expansion efforts, strategic partnerships, and acquisitions. The addition of new Conrad hotels in the Asia-Pacific region particularly reflects growing demand for Hilton's luxury offerings.
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◾ Experience Rare Delicacies from Shanghai at Fairmont Ambassador Seoul
Throughout September, Fairmont Ambassador Seoul is hosting a Shanghai cuisine promotion titled 'Taste of Shanghai, Seoul’s Prestige.' Two guest chefs from Fairmont Peace Hotel in Shanghai will present traditional Shanghai dishes, including fried black carp, abalone with pork belly, mapo tofu with lobster, and more. These dishes will also be available via room service, and the chefs will be preparing them personally from September 1 to 14.
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◾ Can the Duty-Free Industry Rebound During Chuseok?
Despite an increase in airport traffic, the duty-free industry is struggling to recover its performance. Lotte, Shilla, Shinsegae, and Hyundai Duty-Free all posted weak second-quarter results, with some turning to losses. The average duty-free spending per person hit a five-year low. The industry is preparing various promotions for the Chuseok holiday in hopes of turning things around. It remains to be seen whether the rise in travelers during the holiday will improve performance.
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◾ French Diamond Jewelry Brand Messika Opens Its First Boutique in Korea at Avenuel Jamsil
French diamond jewelry brand Messika has opened its first boutique store in Korea on the second floor of Lotte Department Store Avenuel in Jamsil, officially entering the domestic luxury brand market. Messika is beloved worldwide for its modern and practical designs that reinterpret the beauty of diamonds in a contemporary way. The 'Move' collection, featuring three diamonds that move along a rail system, is Messika’s signature collection. The opening event was graced by actress Honey Lee, who wore the 'Move Iconica' collection with a black mini dress, creating an elegant and sophisticated look.
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📌Brand Store Operations
- Are you planning to open a new flagship store?
- Are you facing challenges in hiring and managing talent in the service sector?
- Is managing service quality in retail or hospitality a challenge?
- Do you need an on-site service quality assessment and solutions?
📌Planning and Branding
- Are you planning collaborations with various brands (art, luxury, retail, etc.)?
- Would you like to share news about our company with luxury businesses, brands, and professionals?
- Are you considering expanding your services to other regions (Europe and Asia)?
- Are you planning to create premium spaces for VIPs?
📌Corporate Training and Recruitment
- Are you looking for a training program that is more distinctive than traditional corporate programs? (Luxury attitude, new normal selling skills, storytelling, employee/brand branding, etc.)
- Do you need a training program customized to your brand?
- Do you need to recruit top-tier talent that aligns with your company or brand?
Luxury Business Group (LBG) supports numerous companies in the luxury service and retail sectors across Europe and Asia, leveraging its unparalleled expertise in providing total solutions for service and retail training and consulting.
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Luxury Business Group (LBG)
LBG Marketing & Communication Team | Gayoung Lee, Jade Lee, Booki Jung |
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