Digital Luxury Services: Tradition versus Innovation in Luxury Fashion

Jonas Holmqvist, Jochen Wirtz and Martin P. Fritze

Chapter 18 in Services Marketing:People, Technology, Strategy, 2021, pp 550-552 from World Scientific Publishing Co. Pte. Ltd.

Abstract: The world of luxury is undergoing rapid changes as many classic luxury brands embark on markedly different strategies to deal with an increasingly digital economy. Some luxury brands such as Chanel and Bottega Veneta have deliberately chosen to minimize the impact of digitization and instead focus even more heavily on the traditional service encounter in their boutiques. Other luxury brands like Dior, Saint Laurent, and Hermès follow a different strategy as they push innovative new digital services, which led to rapidly growing online sales. At their core, all these brands continue to sell luxury fashion, yet their approach to digitization of the service encounter could not be more different while they all wish to remain exclusive. How can luxury fashion brands develop their digital service strategy and at the same time retain the exclusive and personalized service their customers expect?

Keywords: Services Marketing; Service Operations; Marketing; Consumer Behavior; Positioning Services; Service Process; Pricing; Revenue Management; Service Environment; Service Advantage; Customer Relationships; Customer Loyalty; Complaint Handling; Service Recovery; Service Excellence; Service Quality; Service Productivity; Service Leadership (search for similar items in EconPapers)
JEL-codes: L8 M3 M31 O14 (search for similar items in EconPapers)
Date: 2021
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