Growth hacking and creative marketing ideas for luxury goods industry
Marketeers for luxury car brands know that they are asking consumers to make a very important financial commitment, so one of the most useful strategies is to focus on triggers an emotional attachment to the vehicle. For it, the new Mercedes-Benz all-electric SUV features Grammy award-winning singer The Weeknd and the experience of driving the car.
Sergio Lopez
One truly innovative marketing idea favoured by automotive companies is brand partnerships, which allow luxury car manufacturers to offer unique and exciting experiences to their clients that they wouldn’t have been able to provide alone. Take Aston Martin as an example. The British luxury brand’s partnership with Red Bull has given it access to Formula One, through which it is able to offer on-track experiences to its prospective client base.
Sergio Lopez
Growth Hacking is a methodology by which continuous growth and optimization of the business is sought through the minimum possible expenses.
It is important here to state strongly that the objective of growth hacking is not to increase sales, but to achieve maximum profitability of the business. With this, what they want to show is that the most profitable way to grow a business does not have to be by increasing sales; On the contrary, it may be much more functional to reduce the cost of production, or the investment in advertising, or establishing a partnership that allows us to increase a market.
In short, the Growth Hacker is someone who has a global understanding of how the business works and identifies those drivers that will achieve a higher profit margin at the lowest possible cost.
The luxury sector is one of the sectors that is changing the most in terms of its role in society since luxury no longer attracts the same public as before. Therefore, using the most effective techniques when growing and knowing what works best can benefit them a lot. Below we explain the steps to grow in this sector.
The first step is to set a growth goal. For this we must look at what is the most critical part of our funnel.
Once the most critical part of our funnel has been identified, we must establish a suitable growth objective, which must be specific, measurable, achievable, realistic and temporary.
An example would be: "We want to increase activation by 15% in the next 3 months and we will monitor it by means of the number of times they search for us on the internet + CPM, CPC, CPL and CPA".
Once the objective is established, we must think about the most effective driver to achieve it. Ultimately, the driver is those strategies that we will follow to achieve the proposed growth objective and, to design a good strategy, we must know our consumer well.
Today, for example, a problem that most luxury brands face is that they do not know how to connect with the younger audience.
In order to grow, in a digitized era and where millennials and centennials are an ever greater part, luxury brands have a key driver in the sale of both physical and online experience.
Once we select the driver, we will go to the execution phase of experiments. The experiments are those tactics through which we will execute the strategy we have chosen and, as the name says, we will be doing continuous A / B testing to see what works and what does not, as well as what allows us to achieve the most optimal results.
Every experiment that we carry out must be monitored and analyzed.
Finally, we will arrive at the learning registration phase. In this phase we must record each action we take, the data extracted, its results and the lessons we have learned. Thus, without realizing it, we will be creating a database that in a short time will help us to begin to detect what works and what does not.
For more information on how to grow a business belonging to the luxury sector you can register in Hypertry. There you can check the trends of the sector and the drivers and experiments that are most effective.
