The New Language of Luxury was commissioned on behalf of Hearst Magazines UK, the publisher of Harper’s Bazaar, Town & Country, ELLE, Red and Esquire, and M2M, a leading UK media agency, and was conducted by Acacia Avenue. The project was initiated by M2M, and the agency approached Hearst to partner with them in 2015.
It shows how the definition of luxury has shifted and broadened among consumers of luxury brands. It also highlights that the definition of luxury shifts dramatically according to age and life stage, with significant differences in how Millennials, (aged 20-early 30’s) and Boomers, (Mid 50’s–65) explore and consume luxury brands.
According to Hearst, key findings include:
* Luxury consumers want to “discover” products and are wary of over-exposure
o 32% of Millennials describe their purchases as ‘exclusive’ compared to 22% of Boomers
o 54% of Millennials feel that when luxury brands become easily accessible, they cease to feel luxury compared to 32% of Boomers
* There is a new language of luxury:
o Younger consumers care more about the ethical and environmental impact of luxury brands – 14% compared to just 3% of Boomers
o 21% of Millennials see luxury as “fun” compared to 12% of Boomers
o 21% of Millennials interpret luxury as “personalised” compared to 15% of boomers
o 24% of Millennials see luxury as a product of their success compared to 12% of Boomers
* Magazine brands have a unique role to play in how consumers choose luxury products: 41% of Millennials say their luxury purchase was initially influenced by something featured in a printed magazine
* Millennials are much freer with their interpretations of luxury. Qualitative research reveals that they are happy to blend old with new and high street purchases with designer items
* Millennials are re-shaping the consumer journey for luxury:
o After an upfront online search, 47% of Millennials turn to social media when thinking about alternatives, compared to 3% of Boomers, who apart from the initial online search, follow a more traditional path to purchase
o Prior to final purchase, Millennials turn to technology to seek reassurance from their peers with 34% talking about it via text/chat/messaging, compared to just 4% of Boomers
o Post purchase, Millennials turn to social media to reinforce their buying decision, with 22% sharing it for validation, compared to 4% of Boomers
* Utility is key for Millennials who value functionality. Qualitative research highlights that brands are not accepted at face value – it’s product first, brand second
The insights shed light on the lives of UK adults aged 25-65 who have bought a luxury item in the last six months, and have a disposable income for luxury products. Participants were luxury consumers spanning three different generations: Millennials, Generation X and Baby Boomers, and three income strata: Ultra High Net Worth (£5m+), Premium (£80k-£500k) and Masstige (£35k-£100k). There was an even spread of male to female participants, all UK residents for at least five years and 50% engaged with monthly magazines (via print, online or app). The findings also include insights from experts including an investment manager, haute couture wedding dress designer, art dealer and a luxury travel agent.
Methodology consisted of a mixture of in-depth interviews, an online community blog and an in-depth quantitative study comprising over 600 luxury buyers, says Hearst.
Anna Jones, CEO of Hearst Magazines UK says: “With the vast amount of content now available, it is understandable that more than ever, consumers need a quality edit from sources they can trust. We aim to do this for our audiences every day so it is encouraging to see the results of this project showing the vital role magazine brands continue to play in the luxury sector.”
Alistair MacCallum, CEO of M2M says “This research has demonstrated how perceptions of luxury are changing. As such it reinforces our belief that now, more than ever, luxury brands need to challenge themselves with how they approach marketing, if they are to stay relevant to these different audiences.”
