Published on August 29th, 2020 📆 | 4377 Views ⚑0
Changing Age-Long Traditions Of Luxury With Digital Technology
Today, the luxury fashion industry is undergoing large-scale changes. The reason being is because consumer behavior has been forced to adapt to the rise of the global leader; technology. In fact, the impact of modified technology has affected most business especially in these uncertain times.
As we roll into the second half of a very challenging year, we notice that old buying patterns have made significant changes to a simpler yet, complex environment. Many luxury vendors who I report on have been trying to stay focused and willing to update their digital technology methods.
Highly impacted by unemployment and economic uncertainty, improvements are well under way to enter into the marketplace. Hopefully, these improvements will implement change. For example, the supply chain now carries its own DNA due to blockchain technology. Sustainable innovation in product development all the way through the chain process to consumer consumption has been the fundamental purpose of not only fashion brands but rather consumer expectation.
In short, millennials helped ignite the shift from passive consumerism to forthright creators. In fact, a consumers role today is to interact with a brand as well as influence others. Millennials have taken the bull by the horn – they are redefining norms and challenging the status quo. Traditions that looked like bus-stops, have now been challenged and transformed by the innovative ideas from millennials.
They unarguably represent the future of the world in many ways and are the new decision-makers, affecting the way companies produce and innovate. Though born between the 1980s and 1990s, the influence of millennials or Generation Y – as they are called in some quarters, transcends their age grade. Millennials are determining trends and affecting the way their predecessors do things and approach life.
Millennials grew up right in the face of the internet and mobile technologies. Backed by this, their understanding and definition of luxury differ in many ways to age-long traditions. Companies must now repackage and refocus her processes and models to meet the realities of the present age as influenced by millennials.
Challenging the Status-quo
Not only are millennials influencing the activities of luxury brands, but their preferences in terms of buying is also affecting the sales strategy and focus of brands. According to a report by McKinsey&Company, “Online sales of personal luxury goods — apparel, footwear, accessories, jewelry and watches, leather goods, and beauty and perfume — account for 8 percent of the €254 billion global luxury market, or about €20 billion.”
The report indicates the company’s expectation that online luxury sales would triple by 2025 – meaning that nearly one-fifth of personal luxury sales will take place online. The footprint of millennials is written all over this new trend – if they are not ordering an item(s) for themselves, they are ordering for someone else or influencing someone to do so. Indeed, millennials are redefining buying behavior for luxury items.
Age-long traditions for luxury items like fashion wears, smartphones, design furniture, cars and the likes, were characterized by luxuriously decorated showrooms and stores, but the millennial lives on the internet. As a result of this, brands are investing more energies into product photography and in building their online appeal.
Setting the pace through digital technology
Millennials are not determining the trends and pace of innovation through digital technology alone, they are also leading the way by creating digital technology-powered solutions. These solutions are shattering the norms and setting the pace in various aspects of luxury.
Millennials and financing
According to a Forbes report, “the global luxury market is predicted to top €1.3 trillion ($1.5 trillion) by 2025, with experiential luxury growing about 5%, far faster than personal luxury at 3%, with accessories and cosmetics expected to gain the most from 2018-2025”. The report holds that millennials represent only about 32% of spending in the personal luxury market, but expects this number to increase to 50% by 2025.
For this to happen, millennials would need to have greater financial access. Over the past decade, the world has seen millennials rise to become millionaires and billionaires through legitimate means. Much of this rise is on the heels of digital technology-powered solutions. I have been reporting on these forward changes for years however with the onset of the pandemic, fashion brands are quick to change now more than ever before.
There are unarguably more innovative ideas, some of which are yet to see the light of day. Business reality shows targeted at bringing new ideas to the limelight are filled with entries from millennials. Most of these millennials lack the financial resources to birth their ideas.
To tackle this financing problem, Cash-U finance was set up to provide quick, easy and low-interest loans to people. Cash-U’s procedure simplifies the online receipt of money and takes only a few minutes to process.
According to Evgeny Yezhov, founder of MFO Cash-U Finance, “In every application that we process, our automated scoring system – Cash-U Finance runs through up to 10,000 parameters within 20 seconds, all within regulatory compliance. It takes into account not only credit data and the income level of the applicant but also the movement of funds in their accounts, the nature of expenses and settlements with organizations” Access to finance has never been this easy and it is all part of the giant strides by millennials in breaking age-long traditions.
However, despite the massive opportunities that digital technology presents, millennials still encounter challenges with job hunting. Product Gym exists to help people solve this problem and transition into software product manager jobs. Though many millennials possess relevant tech skills, the reality is that the job market is filled with tons of unemployed millennials. Whether it is a career in software or product management, product gym is redefining the future of product management and empowering people to land the jobs of their dream.
Millennials and medicals
With digital technology, everything is easier. Through the help of digital technology, there is little need for physical meetings. If you needed to see a doctor, you can book for an appointment and have the consulting session using your mobile devices.
Even the way that people stay healthy, fit and achieve flawless aging has changed. The infusion of digital technology into the practice of medicine has led to life-changing innovations that are making medicare both affordable and effective. Once again, millennials are at the forefront of this, leading to medical practices that are created to match their preferences.
Millennials are also not leaving the responsibility for what they want to coincidence, they are stepping forward to lead the change they want to see. One of such millennials is Celebrity Tan Artist Isabel Alysa, who owns an aesthetic medical practice. Her brand offers luxury treatments for millennials with product offerings that include anti-aging, thread lifts, fillers and more.
Together with her brand, Revenge MD, Sandra Bledsoe hopes to inspire women and men alike to “transform and improve their confidence”. Revenge MD is a beauty and wellness lounge that offers professional spray tan solutions and teaches spray tanning globally. Sandra believes that successfully looking your best is the ultimate revenge. To help people achieve this, Revenge MD offers services that are centred around anti-aging and medical wellness. These services include weight loss, hormone balance solutions, botox, fillers and PDO thread lifts.
Millennials are leaving no stone unturned in their quest to make the world a better, safer and easier place to live in. Enabled by digital technology and the many possibilities it presents, age-long traditions of luxury are being challenged for good. These changes would no doubt set the tone for Generation Z.