including those that still need to assess their affordability of luxury goods. This
means that in addition to a brand’s offerings, consumers will need a concrete
and morally right ‘background story’ to endorse a brand.
In addition to the consumer outlook towards luxury goods, the way
consumers will shop in the future will be different. Internet and communica-
tions technology will enhance online shopping, trading and borrowing of
luxury goods. Mobile shopping, which is already a high growth retail busi-
ness in Japan, will also see significant growth in other parts of the world,
notably the US. This will result in an increased pace of retail and commerce,
leading consumers to expect and demand more from luxury brands.
Personal service and attention to consumer needs will become a key
success factor for brands that pay attention to consumers. Also consumers
will want to see real value and essence in the luxury brands that they endorse
and will desire products that have enduring value. Consumers will not have
the patience to decode unclear brand messages and will move on to the next
choice if confused. This will make them seek the brands that hold true mean-
ing in terms of luxury and prestige. The brands that will feel the impact most
are those that are ‘stuck in the middle’ without appropriate positioning as
neither luxury nor premium brands. Luxury, premium and mass fashion
brands need to work harder to maintain their competitive position.
The list below provides a quick overview of what to expect from the fash-
ion market in the near future:1 Second-hand luxury goods will become more fashionable and more
purchased.
2 Specialist stores with rare products will become more successful.
3 Online retailing and trading between luxury brands and consumers and
among consumers themselves will thrive.
4 Consumers will recognize and patronize indigenous designers especially
in Britain, China and Japan.
5 Consumers will demand more of personal shopping and a total immer-
sion experience with luxury brands.
6 Customized and bespoke goods will become the order of the day.
7 Uniquely handcrafted products will continue to remain popular among
consumers.
8 Environmental awareness will drive consumers to seek knowledge of the
materials used for their products and to support brands with visible ethi-
cal practices.
9 The fusion of luxury fashion with art, travel and lifestyle will be more
attractive to consumers.
10 Luxury brands that ignore the intangible needs of consumers will lose
loyalty.
11 The Chinese market will have a great positive impact on the sales of
goods from Western luxury brands in the short term, but in the long term244
luxury fashion branding