Value Retail Luxury Experience

In 2019, the off price channel continues to outperform in the luxury sector, making it attractive for a certain number of brands. Read Value Retail case and reflect on the interest and potential risk for brands to be present in these outlets. Describe Value Retail experience in Europe (Bicester Village UK, La Vallée Village France, Las Rozas Spain for instance). Should VR adapt the experience to be successful in China?

Create a student’s blog and share your passion for a luxury sector

You are passionate about a luxury sector? Have a parti-pris. Create an educational blog and share your passion! Your students’ blogs have to be uploaded before the end of the month. Make sure you use your own pictures or pictures labeled for reuse. Becareful this should not be a lifestyle blog or a diary on your enjoyable life at EDHEC… Readers should find information, and learn, on the sector of your choice.

You will have to defend your blog in front of your peers. In class, present your marketing strategy: your blog audience? benchmark? blog positioning? what content? why would brands be interested in collaborating with your blog? how will you communicate on your blog? Show what you learnt from studying the Harvard case on “The Blonde Salad” Chiara Ferragni blog.

And enjoy…

To brands and institutions, these blogs are designed by students as a pedagogical exercise. If you notice copyright infringement and unfair use of pictures, please contact me and we will take actions.

Porsche Social Media Strategy

During the next session, we will be discussing the challenges of Porsche Canada and its social media strategy. Prepare the case trying to understand these challenges and evaluate Porsche North America social media properties and content. You will have to follow Porsche on social media, YouTube, Instagram, Facebook in particular. Try to understand the role of each medium. Watch the YouTube video below to have an insight into Canadian Winter Driving experience.

ITC The greenest hotel chain in the world

ITC is an Indian hotel chain that successfully implemented processes to become more sustainable. It succeeded in being awarded the LEED (Leadership in Energy and Environmental Design) Platinum ratings to several of its properties, becoming “the greenest hotel chain in the world”. Read the case ITC Hotels (ISB, 2013), watch youtube videos introducing you to the ITC experience; then prepare for our discussion:

  1. What are the elements at ITC that unite Responsible with Luxury?
  2. How could we improve the concept of Sustainable Luxury Hotels at ITC, provide illustrations drawn from other chains/countries?

ForteVillage Resort in Eleganzia

Discover the beautiful world of Eleganzia group. The Forte Village in Sardinia is a benchmark  in the Luxury Hotels industry, the place to be for millionaires and VIPs from entertainment, sports and industry. In order to prepare for the discussion, read the HBS case The Eleganzia group (Ofek et al., 2015), visit  https://www.fortevillageresort.com/, watch the youtube video below and dream about your next vacations… Do not forget to reflect on the following before you leave to Sardinia:

  1. Describe the Forte Village Luxury experience; why is it attractive to the wealthiest of the world?
  2. Should the Forte Village trade up to an all five-star suites resort? would it be strategically and economically wise?
  3. How could Forte Village and other properties be positioned under the umbrella Eleganzia?

New Business Models in the Luxury sector

Next session, we will be discussing those new business models developing in the luxury sector, in particular second-hand luxury and luxury for rent.

Read Vestiaire Collective case. Describe the business model: how is value created through these platforms? Conduct a SWOT analysis. Describe the client profile. What are the competitive advantages of VC (ie. study briefly the competitive landscape). What future do you foresee to this business model?

You might find interesting reading chapters of the book Vintage Luxury Fashion: Exploring the rise of the Second-Hand Clothing Trade (2018), Palgrave: London, UK. I co-autored two chapters:  Chapter 6 “Emotional and narrative accounts of second-hand Luxury Fashion purchases” and Chapter 12 “Vintage Fashion: A cross-cultural perspective”. Also I published in French with F.Pini and E.Rigaud, Chapitre 2 “Les nouvelles règles du luxe et leur impact sur les organisations : Les nouveaux Business Models” in Management du Luxe : Opportunités et Challenges (2019), Vuibert éditions : 39-53

Also interesting regarding second-hand luxury, two posts on my blog: 2017 Trends, Second Hand Luxury and Christie’s on Luxury handbags as an Investment (Feb 24, 2016 based on a conference by Christie’s, really interesting on the value of Hermes vintage bags). http://luxury-talents-education.com/news/christies_vintage_handbags/

Last, you could reflect on my interview in Trends&Tendance magazine https://trends.levif.be/economie/entreprises/luxe-a-louer-s-abonner-pour-rever-et-paraitre/article-normal-883707.html

In addition please watch Sebastien Favre CEO of Vestiaire Collective on Youtube.

Onefinestay: Luxury in the sharing economy

Next session, we will be discussing Onefinestay concept. Onefinestay is a concept of luxury home rentals founded in 2009 in London. When it was acquired in April 2016 by Accorhotels, it was managing around 2600 private homes in London, New York, Paris, Los Angeles and Rome. Visit the webpage https://www.onefinestay.com/, watch Greg Marsh inspiring story on Youtube (below) and read all relevant information you will find on internet. Conduct a SWOT analysis and identify Onefinestay customer segments. Do you think Onefinestay has a product and service strategy adapted to luxury clients? Is it a serious competitor to luxury hotels?

YOOX and Net-a-Porter: The Place to Be?

During this session, we will be discussing the online distribution strategy of Luxury brands. To prepare for discussion, read the case “Is YOOX strategy a little Farfetched?” and the article based on an interview I gave to Trends Tendances April 2017 at

https://trends.levif.be/economie/entreprises/net-a-porter-the-place-to-be-pour-les-marques-de-luxe/article-normal-644781.html

What are the advantages and disadvantages for Luxury brands to be present on these platforms? is there a difference between YOOX and Net-a-Porter? YNAP and Farfetch? Does the YNAP merger makes sense? Should online platforms open brick-and-mortar stores? What is the interest for NAP to develop a media platform?

You might find interesting to watch the following video published by FT on YouTube.

Omni-channel strategy at Tiffany&Co

During the next session, we will be discussing the benefits and pitfalls of luxury brands embracing an omni-channel strategy. Read the case Tiffany; based on the case and your experience with brands successful in omni-channel marketing, identify the brand touch-points against different stages in the Customer journey. What could be the different actions that Tiffany can undertake to propose a luxury experience to its customers? What are the challenges regarding store operations and customer service?

You might find useful to go to Tiffany&Co channel on YouTube:

https://www.youtube.com/channel/UCfKBHHIxsR-MrgytQOS9tbw

and on the history of Tiffany:

Luxepack 2018 focus on GenZ

Great conference and workshop with Stéphane Truchi (Ifop President), Béatrice Marriotti (Carré Noir Vice-President) and Régine Charvet-Pello (Certesens, President and co-founder).

Read the summary of the conference below and try to identify packaging ideas that are emblematic of GenZ generation. If you go to Certesens corner, you will discover 4 interesting textures that match GenZ: Light (of smartphone, computer etc.), shine, flexibility and skin.

The new generation (born from the mid-1990s to the early 2000s) represents a larger cohort than the millenials or baby-boomers (around 1/4 of the US population). It is the first generation truly digital native. IFOP study identifies 4 characteristics to this generation:

  1. The importance of tradition: GenZ revives the fundamentals of Luxury, which are product and service excellence and ultimate creativity. They praise expensive brands that they would purchase as self-reward  and as a signal of social success. It is the revival of prominent logos and money display, with no inhibition. It is a generation that is transgenerational (72% prefer working with people of all ages) and very anchored to local roots (eg. the revival of iconic brands Champion US, Lacoste, Fila, Fusalp, Kway). It is a generation that is into “authenticity revisited” with fun (Hermesmatic  https://www.hermes.com/us/en/story/107636-hermesmatic/ ).
  2. Showing off success: GenZ is a generation that does not feel ashamed showing off money. In non-Calvinist countries such as France, the oldest generations had less problems talking about sex than about money… (the perfect illustration: comments in French tabloïds on DSK driving a Porsche car). GenZ is very comfortable with both. GenZ wants to make money but also wants a balance with personal life. In contrast to other generations, they aspire making money on their own, being entrepreneurs (45% see themselves being entrepreneurs). They have plenty of examples of Young people success on YouTube, Instagram or heading start-ups with great ideas. They want to make money fast and display their success. In relation to luxury, they aspire owning brands that signal very strongly financial success (Rolex number 1 aspirational brand in France, Britain and China).
  3. A new form of experiential Materialism: Materialism is reinvented, and becomes experiential that way. 83% want to live a unique experience. They want a blend of physical and digital. Phygital in the stores is key. In addition, although they are connected to virtual friends on social media, they want to do things physically with others. The motto is being able to share. 58% enjoy doing things they can share with others  (Gucci Hub is a good illustration  https://clubtoclub.it/en/venue/gucci-hub/). They also praise products that are parodies and collaborations based on fun (Supreme x LV).
  4. Engagement with concrete, day-to-day actions and personal involvement.  They would fight for gender and ethnicity equality. It is the generation who talks loud (Génération sans bâillon), #metoo. 68% try to stick to a more ecological lifestyle. 59% try to live in great harmony with nature.
  5. Protecting Mental Health: GenZ is in a quest for better personal relief. The motto is feeling good with myself. 80% of GenZ women believe  that real beauty is to be truly oneself. It is the first generation of women confortable with their bodies (59% feel good with their body). They really appreciate diversity on the catwalk, including showing handicap and skin diseases like vitiligo (beautiful Winnie Harlow). They are also aware that overexposure to social media is a danger to their mental health. Particularly in China where AI is a political engagement, 40% of GenZ are concerned about self-protection. Detox, Me me me, and hyper-personalisation are trends born on these grounds.

Oberoi Hotels: Extreme personalisation at the heart of Luxury

This week you will discover the true meaning of personal attention and extreme personalisation, at the heart of Luxury. The case of Oberoi hotels is a perfect illustration. Think about the following questions:  How is customer experience orchestrated at Oberoi? What is the relation between customer experience and customer satisfaction? What are Oberoi’s competitive advantages? What strategic and operational factors contribute to Oberoi’s service excellence?

Watch the YouTube video below India by Oberoi (you could refer to our discussion on Taj)

 

Chanel cruise backstage with Edhec Master students

In Fall 1919, Gabrielle Chanel presented for first time a collection, destined to yatching, resorts and sunny destinations.

Gabrielle loved yatching with Duc of Westminster. In 1929, she accosted at Roquebrune-Cap-Martin and settled a house there: La Pausa. In 1983, Lagerfeld revived cruise collections, the incarnation of travelling, real or imaginary.

Edhec Master students had the unique opportunity to visit the 148-metre-long replica boat installed at the Grand Palais for the Chanel Cruise Collection 2018-2019, named La Pausa after Chanel’s villa on the French Riviera. The boat took a month to install inside the Grand Palais and it will be “recycled, upcycled or repurposed” along the words of Chanel managers. It was the stage for the revival of the Chanel of a Breton stripe-wearing Coco on holiday.

Inside LVMH: Creating the luxury experience of tomorrow

Sarah Femenia and Manon Petillon (on the picture) and Laetitia Rocca (Msc Marketing students) represented Edhec during the finals of InsideLVMH program. Amazing experience for students. Imagine the luxury experience of tomorrow! Sarah and Manon presented in front of a team of LVMH managers, including Alexandre Arnault. Great job Edhec!!! You did not win but you made an impact!

Le Scribe by Sofitel, a visit with EDHEC BBA4

Le Scribe duplex suite (before renovation) source: MC.Cervellon

ACCOR is a Creator of memorable experiences for customers but also for our students. After Novotel Monaco on November 9th, EDHEC BBA were invited on December 1st to Le Scribe Hotel in Paris, an iconic 5 stars hotel managed by Sofitel. Le Scribe spirit is much influenced by its location at the art of Paris, next to Opera Garnier. The Haussmanian building was the home of the Jockey Club from 1861 to 1925. The hotel was named after the dramatic writer Eugène Scribe; its soul is much influenced by Parisian artists. The Art Deco interior signed by Jacques Grange will be renovated over the next two years by famous designer Tristan Auer (Hotel de Crillon, Hotel du Louvre). Le Scribe is managed by Sofitel; customers benefit from an exceptional service, the Cousu-Main experience.

Le Scribe 2017 Christmas tree in the lobby (Source: MC.Cervellon)

Thank you Le Scribe Hotel staff for this Christmas gift.

Ruinart and Van Cleef & Arpels on Digital Luxury

Very interesting to contrast the world of jewelry and wine and spirits in their digital strategies. Great presentation and discussion between BBA 4th year students and Aurélie Doré (International Digital Manager, Ruinart), Marine Baudin (International Omnichannel Manager, Van Cleef & Arpels) and Laetitia Mathon (Social Media Project Manager, Van Cleef & Arpels). Thank you to help us understand the digital strategies of your Maisons.

Going through the mirror at Chaumet

Joséphine de Beauharnais with a Chaumet tiara

October 18th, 2017. Amazing “professor experience” proposed by LVMH. Visit of Chaumet museum on Place Vendôme. A Discovery of the history of Chaumet house and its relation to French History.

Chaumet was founded by Marie-Étienne Nitot in 1780. In 1802, Nitot was appointed court jeweller to Emperor Napoleon I and his wife Joséphine de Beauharnais. Among the beautiful jewels and diadems created for the royalties, the most famous piece is probably the sword of Napoleon coronation,  crowned with the huge 141-carat Regent Diamond.

A famous resident of the house was Chopin who wrote his last composition, the Mazurka in G Minor in the majestic Grand Salon with a view on Place Vendôme and died in the house on October 1849.

In the evening, I was invited to the Christian Dior exhibition at Musée des Arts Décoratifs. Blessed to be the LVMH Professor Ambassador at EDHEC.

Hyatt Palais de La Méditerranée with EDHEC Hospitality students

Sea View from a Suite (source: MC.Cervellon)

On October 11, twenty students (EDHEC BBA 4th year specialized in Hospitality and Event Management) visited the iconic Palais de la Méditerranée on the Promenade des Anglais in Nice. This 5-star hotel opened on January 1929 as a “Palais des Plaisirs” targeting the wealthy foreigners that visited the French Riviera during the Golden Age. When the building, designed by the architects Charles and Marcel Dalmas in the 20’s, was renovated from 2001 to 2004, the front was protected as part of the “20th century heritage” label. The interior of the building was decorated with respect to the Art Deco style, but modernized to align on the most stringent standards of the hospitality sector. In 2013, Qatar investors Constellation Hotels Holdings purchased the Palais de la Méditerranée, together with Hotel Martinez in Cannes, Hotel du Louvre and Concorde Lafayette in Paris. The Hyatt group is in charge of the management of the Hotel, and as such Palais de la Méditerranée integrated the Hyatt Regency portfolio. Students visited the magnificent ballrooms, a suite with a view on the sea and the swimming pool and restaurant areas.

Terrasse over the sea (Source: MC. Cervellon)

Next, Laurence Dozol (Senior Event Planning Manager) and Laurent Drouard (Director of Operations) gave a talk on the creation of a luxury experience, the importance of wowing the customer and paying attention to details. Students were immersed in Hyatt organizational culture, caring for customers and staff alike, through a series of videos, many of them created internally by Palais de La Mediterranée employees. Watch the video “The World of Hyatt” on YouTube that encapsulates the Hyatt Human-Centered approach to doing business. Thank you to the Hyatt team for sharing your passion with our students! Great employer branding!

With L. MENVIELLE, Dir EDHEC BBA Hospitality and Event Management and students

 

 

Luxe Pack Monaco 2017: tradition and innovation

EDHEC BBA students visited Luxe Pack Monaco today, the occasion to discover and comment packaging innovations in different sectors, like Fragrances and Cosmetics or Wine and Spirits (read the comments they make to this post). This year, two new spaces provide a source of inspiration.

First, a “Living Heritage Hub” is dedicated to the best craftsmen in France (Entreprises du Patrimoine Vivant) with Ephtée, Maison Fey, Crézé, Fonderie d’Art Macheret, Atelier Philippe Martial and Cristallerie Saint-Paul, all compagnies having in common excellence and traditional manufacturing.

Second, a multisensorial space proposes an immersive experience “Test your senses” in partnership with Mat&Sens. The space is organized around four major trends in luxury (source S.Truchi, IFOP) and their translation into emotions, sensations and packaging materials that we can touch:

  • Engagement with brands that truly commit, which leads to revisit The Nature through vegetal moss, mushrooms, sand, and wood composite
  • The reign of Singularity and self-expression with materials such as 3D textile or mix of acrylic and metal
  • Non-conformity and opposition to social codes and social expectations, translated through unusal materials such as cow stomach or ray skin
  • A New Vision of Time, a slow-time which allows consumers to enjoy the moment, through bamboo silk and translucent alabaster

Among the many conferences which were organized this year,  the conference “Creative Packaging for a drinking experience beyond the ordinary” explained the process leading to the launch of DIAGEO’s Tanqueray Gin Cage, an amazing bottle much discussed by students (read comments below).