The Luxury Market in Asia
- The AHA Group
- Mar 7
- 2 min read
The luxury market has been volatile over the past twelve months. While some brands are scratching their heads or swapping out leadership or creative directors, divesting business units, or scaling back on investment, others are looking at this as an opportunity to make change happen.
In particular, there has been a lot of conversation about the luxury market in Asia. Client preferences have dramatically changed, behavior is different, and expectations have shifted as luxury houses must now truly compete for wallet share. To win in this new market, several large luxury marques are quietly reimaging their client engagement as a strategic priority - which is a smart move at a volatile time.
One of our consulting teams just returned from Asia last night after conducting a 5-day CX program for a luxury client who is revamping their clienteling and client experience strategy. New design, new ideas, and brand-new client engagement model. They did not just tweak conventional ideas like more personalization, outreach, client events, or traditional clienteling.
Their new model blends ideas from three continents to create an immersive set of experiences that highlight the product offerings - and offers fresh, unexpected moments that other brands aren’t offering. Already new client interest is high.
And so, our advice to luxury companies of all sizes is this: it is not the time to do more of the same.
The exposure of relying too much on a tried-and-tested approach to CX is that, when economic times get turbulent, we see lots of luxury companies disappear (yes, disappear!) because they were not strategic about creating a competitive moat around their brand.
They were timid about making change, waited too long, and didn’t dazzle clients with totally new, fresh brand experiences. Or they were just too arrogant about their client loyalty.
The old adage is that familiarity breeds contempt. And the market holds a special place in contempt for legacy luxury companies who feel they are too big, too important, or too successful, to ever have to change their approach or lens on customer experience.