Luxury and convergent commerce

In November 2022, Ipsos brought together experts from various industries representing the Luxury sector for a closed-door guided discussion. This invite-only event was hosted by Kendra Jones (Ipsos UK) and the discussion was moderated by Stephane Paoli (Ipsos Switzerland) and Javier Calvar (Ipsos Hong Kong). The event started with a short presentation from Convergent Commerce expert Alison Chaltas (Ipsos USA) to initiate the conversation.

The guest list and the organizations they represent remain confidential to ensure the participants are free to discuss these exciting topics with candour. Present at this event were representatives from across the Luxury sector, including automotive manufacturers, jewellers, and clothing brand.

The discussion topics for this second in a series of three roundtable discussions were sourced from across Global Ipsos teams who work with clients in the Luxury sector, and the questions they have seen.

The discussion prompt questions were as follows:

• Customer journeys are more complex, expectations are more complex – how do you go about designing the customer journey and touchpoint ecosystem in your industry?
• How do you expand your touchpoint ecosystem without devaluing? 
• Gen Z/Millennial – the way of buying is different and interaction/emotions differ. What is the weight of generations in deciding where to focus as you develop the journey?
• How do you go about defining a role for a channel? •
• How will brand narratives need to evolve as customer journeys become more complex?
• What will happen to the physical store?

Key learnings

1. Digitalization has changed our world as consumers and shoppers; this is just as true in Luxury as any other sector. Sales channels and marketing channels are converged, no longer separated. Is the resulting ‘democratization’ of luxury a problem or an opportunity?
   This is how these customers are operating and we need to be talking their language and getting close to them
2. Each channel is distinct and differentiated to serve its purpose. The perfect 360 integrated journey where all chanels are all things isn’t realistic – need to focus on the specific role a certain channel has.
   Shift the interaction and blur boundaries – KPI for stores is still often physical (sale, UPT, LV) but reality is that the stores do more
3. There is a constant switching of interactions across touchpoints, it is all happening at the same time and all the time, moving between them. There is no “offline” and “online”, it is “noline” – a customer isn’t thinking about where they are, it is just a brand with different touchpoints.
   Need to understand the customer and decide what you want to say, and how you want to talk to them. How can you communicate with someone you don’t know?

About Ipsos global luxury roundtable

A series of roundtable discussions hosted by Ipsos Channel Performance and Customer Experience with Luxury practitioners and experts who work across industries globally. We’re an inclusive group who discuss and debate the key issues facing customer experience and channel performance management in a Luxury context.

Findings, insights and new best practices are shared with peers across our community with a view to identifying and managing for the changing Luxury landscape.