Okonkwo Prelims

customize their shopping style according to these preferences. This informa-

tion could be registered in a customer database and retrieved when necessary.

Innovative airlines have utilized this system for decades in streamlining their

services to customers. Airline passengers are often asked to select their in-

flight meal and seat preferences during flight reservations or registration for

frequent flier programmes. This information is stored in the customer database

and each time the customer purchases a ticket from the airline, their

customized preferences are automatically recognized and applied in the

services that are offered to them. Some luxury brands such as Burberry provide

a variety of shopping choices including trunk shows for a broad customer base

although this feature is yet to be applied in customized shopping.

Customizing the shopping experience has an impact on a company’s value

chain, as shown in Figure 8.8.

Method 4 producing bespoke goods

French luxury cosmetics and fragrance brand Guerlain has been creating

exclusive bespoke fragrances for more than two centuries and continues to do

so at the Maison Guerlain on Paris’ Avenue des Champs Elysées. The process

of creating personalized fragrance involves close collaboration with the client

to identify their personality, scent preferences and scent memories. This

information is used to create the final product, packaged and presented in a

Baccarat bottle. The process takes approximately three months and costs an

average of €15,000. Needless to say, it is out of the reach of numerous luxury

consumers. Guerlain also provides its fragrance made-to-order services to the

masses through its mass customization service called the ‘Speed Perfumery’

service. In this case, customers choose customized perfumes from six already

made scents, which are packaged for them. This is a typical example of the

stage of bespoke product provision at most luxury brands.

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luxury fashion branding

Development

Standardized

products and

services

Production

Standardized

products and

services

Retailing

Customized

services

Delivery

Customized

service delivery

Figure 8.8 Changes in the value chain during the creation of customizable

products and services

Source: Adapted from B. Joseph Pine II (1997) Mass Customization: The New Frontier for

Business Competition.

Note: Coloured areas indicate changes.