A Study: Brand Positioning + Target Audience Analysis:...

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ADPR4300 Emerging & Social Media in the Marketplace 1 Introduction Company Background & History: p. 2 Luxury Industry: p. 3 A Study: Brand Positioning + Target Audience Analysis: p. 4-5 Problem Formulation Problem Solution and Approach Brand Analysis Social Media Presence: p. 6-8 Twitter Facebook YouTube Marketing Communications Mobile Communications Strategies Smartphone Application Generation: p. 9-10 Twitter and SMS Program: p. 10 SMS Text Message Marketing Campaign: p. 11 Microsite and Email Marketing: p. 12-13 Television Product Placement: p. 13-14 Social Media Tactics: p. 14- 15 Direct Mail: p. 16 Conclusions: p. 16 References: p. 17-18

Transcript of A Study: Brand Positioning + Target Audience Analysis:...

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Emerging & Social Media in the Marketplace

 

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Introduction

Company Background & History: p. 2

Luxury Industry: p. 3

A Study: Brand Positioning + Target Audience Analysis: p. 4-5 Problem Formulation

Problem Solution and Approach Brand Analysis

Social Media Presence: p. 6-8

Twitter Facebook YouTube

Marketing Communications

Mobile Communications Strategies Smartphone Application Generation: p. 9-10

Twitter and SMS Program: p. 10

SMS Text Message Marketing Campaign: p. 11 Microsite and Email Marketing: p. 12-13 Television Product Placement: p. 13-14

Social Media Tactics: p. 14- 15 Direct Mail: p. 16

Conclusions: p. 16

References: p. 17-18

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B r a n d C a s e S t u d y : C a r t i e r

The History of Cartier Throughout the years, Cartier has developed and gained a prestigious reputation in the fine jewelry market. Cartier is one of the famous brands, which has the highest awareness index and the longest history in the jewelers industry. Aristocracy and stars have favored it for hundreds of years. No matter fine jewelry or watches series, Cartier conveys noble value that belongs to its exclusive brand, building on its excellent craftsmanship, professional technique and unique character. Cartier has developed a brand essence that signifies luxury and style. Names like love, Trinity de Cartier, Ballerine and Déclaration attract eyes of beauty lovers. Cartier gifts are the quintessence of refinement, perfect for celebrating special occasions such as a birthday, engagement, or wedding and for offering congratulations. To offer a piece of Cartier jewelry as a gift is to offer a unique creation. Each creation represents an encounter between a gemstone and a jeweler’s imagination, between nature and desire. The craftsmen in Cartier workshops are virtuosos when it comes to achieving perfection. Cartier legend originated from 1847. Louis Francois Cartier purchased his master's jewelry shop in Paris and established Cartier jewelry shop formally. At the time, Paris had undergone the turbulence of throne battle, recovering calmness and Vanity Fair of its using to have. Society's needs had greatly promoted the prosperity of the Paris jewelry industry. Cartier fortunately got the recommendation of Princess Mathilde who is the young cousin of Napoleon III, so that his business was boosting continuously. In 1902, business of Cartier had already expanded from Paris to London and New York, and New York became headquarters of Cartier kingdom gradually. Experienced only two generations of business, Cartier achieved the title of "King of jewelry", that was called world-widely.

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HOW THE WORLD’S POWERFUL LUXURY BRANDS STAY STRONG

Global luxury brands share many similar traits of prestige and exclusivity, yet each brand has its own identity and a distinct strategy of brand positioning that sets itself apart. A study by global

brand strategy firm Millward Brown released last April ranked the ten most powerful luxury brands based on brand economics. The report gave insights on why some luxury brands are more

resilient.

The most resilient luxury brands — increased brand value despite economic downturn — are the classic and traditional luxury staples like Louis Vuitton, Hermès and Gucci that focused on

heritage and history instead of high fashion. Moreover, these luxury companies showed deliberate business consideration and did not relent on price or brand control. These brands have established a convincing brand distinction over time that is meaningful, connects with customers, and allows them to leverage their value and innovate to keep them successful. In terms of when the article was written, in January 2011 Cartier came in at number 8 with its brand value down

19% to $3.96 billion.

Cartier is still the most valued jewelry brand in the world despite a drop in its brand value. Cartier just announced that it will accelerate boutique openings in the Mideast and the U.S. to stay ahead of the game and diversify its risk in case China slows down. “You have to prepare yourself for the

worst when everything is going well,” said Bernard Fornas, chief executive officer of Cartier, “Let’s be careful about overdependence.” China accounts for about a quarter of Cartier’s sales

according to analysts. “Swiss watch sales in China will probably increase 20- 25 percent this year, slowing from more than 30 percent in 2010,” said Rene Weber, an analyst at Bank Vontobel.

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Positioning The Cartier Brand With Young Adult Tastemakers Marketing Study: Survey, Analysis, and Strategies

A study done in order to position Cartier with young adult tastemakers since it’s essential that Cartier capture the allegiance of Young Adult Consumers: Members of Generation X (born between 1965 and

1976) are outspending Baby Boomers when it comes to Luxury & Fashion, and Generation Y (a.k.a. Millennials or the Internet Generation) represent the future for Cartier’s business.

MISSION STATEMENT FOR THIS STUDY: To provide Cartier executives with market information, suggested strategies, and a set of marketing options to choose from which will enable Cartier to achieve its objective. This study will answer the question: How to create a strong brand profile with affluent young adults via positioning within trendsetting media and culture destinations. Highlighting Cartier’s strong, historical relationship with contemporary art at the time that contemporary art’s profile is at its highest in the media and as an activity of choice for affluent young adults in the US. Build brand equity while respecting the delineation of roles that sets the Foundation apart from Cartier’s commercial activities. OBJECTIVE: Heighten awareness, build equity, and allegiance, among affluent young adults for the Cartier brand by targeting them where they congregate in major US cities and online, all the time leveraging a key Cartier brand strength: its longtime presence in the universe of contemporary art. Contemporary Art is the most compelling facet of our culture at this time. Affluent young adult consumers who are making their first big-ticket purchases, the wealthy art collectors fueling the booming art market, cultural creatives, and young adult lifestyle tastemakers (“hipsters”) are participating in a vibrant, groundbreaking contemporary arts scene in New York, L.A., and other major US cities. The rise of the Culture Consumer is redefining the relationship TARGET DEMOGRAPHIC: This study will provide both contextual and qualitative information on the target market: trendsetting young adult tastemakers in the US, “Hipsters,” affluent Americans 22-43.

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CONCLUSIONS: Research has proven that there is excellent name recognition among young adults for the Cartier brand. However, they have limited knowledge of the Cartier product line. The words young adults use when they talk about Cartier are: "luxury," "elegant," and "classic" but they also perceive the brand as "out-of-reach," "old," and "stodgy." Young adults don’t feel the Cartier brand is relevant to their lifestyle. Partly, this is because not all of these consumers have reached the stage in their lives where luxury products are a priority. However, Cartier was perceived as less relevant than other luxury & high-end fashion brands, including David Yurman, Bulgari, Louis Vuitton, Dior, and Stella McCartney.

Suggested Strategy #1 DIGITAL MARKETING

Digital marketing strategies to support key product launches, and for thematic promotional campaigns

such as Cartier LOVE Day (bracelets). 1 . Target The Socia l Networking / User Generated Content / Virtual Onl ine Universe Via Cart ier Vira l Widgets (Widget Market ing) A website can be created featuring a custom application allowing a young (primarily female, 17-23 years) consumer to build a custom widgetized avatar of herself wearing a specific Cartier product. What young girl wouldn’t want to pimp up her Facebook page with some Cartier bling on her avatar? The Cartier Club can be integrated into additional efforts targeting Facebook groups. 2. Expand The Use Of Streaming Video Via Video Ads A group of short (10-15 seconds) videos can be created for a selection of Cartier signature products, the existing Cartier product ‘films’ on the website (under Inspirations) can easily be made into video banner ads. 3. Expand Banner Advert ising Campaigns The Internet advertising experts we consulted agreed that Cartier banner advertising could be significantly increased. 4 . Mobile Market ing Mobile widgets can also be used on mobile devices with Cartier already investing in the mobile marketing field. Opportunities exist to work with more agile, street-level, audience-focused, players in this space.  

Suggested Strategy #2 LEVERAGE BRAND HISTORY

As editorial content for the web & lifestyle events targeting young adults. Affluent young adults have

an affinity for historical design. Hipsters and fashionistas flocked to recent exhibits, including

Poiret at the Metropolitan Museum of Art, and the Neue Gallerie’s Viennese Silver exhibit.

Cartier’s long history of innovative design and

fabrication, use of precious metals and stones, as well as its relationships with royalty, heiresses and film stars should be leveraged as editorial content for the web. Trend-aware young adults, especially

those who work in marketing and in design & creative fields, will find this content compelling.

The publishing of the new edition of the book Cartier 1899-1949: The Journey of Style by Nuno Vassallo E

Silva & Maria Fernanda Pasos Leite is a perfect oppor­tunity to implement this strategy.

Excerpts can be utilized online to promote sales of

the book, and boost the Cartier brand.

Also, The Journey of Style can be integrated into high-end events. This comes at a time when ultrahip

publishing houses/retailers Taschen and powerhouse have successfully positioned

themselves as lifestyle brands.

The chal lenge: to communicate these classic themes through new channels in order to leverage historical feel and brand authenticity while giving

marketing and editorial efforts a relevant, contemporary feel.  

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Cartier Debuts Short Film on the Luxury Brand's 165-Year History

The House of Cartier showcased

its creative flair with the international online release last week of a short film: L'Odyssee de Cartier. The 3.5-minute film, which debuted on national TV March 4, depicts Cartier's 165-year history, presenting viewers with a tour of the luxury jeweler's diverse cultural influences. "The panther that appears in the film is the ultimate emblem of Cartier's jewelry expertise and a symbol of strength and freedom," said Emmanuel Perrin, president and CEO of Cartier North America. "Regal and charming, she is aware of the world around her and follows her instinct with a sharp emerald eye, ready to pounce

and enjoy life to the fullest." L'Odyssee de Cartier screened

the very first time at a special premiere hosted by Cartier at The Metropolitan Museum of Art in New York, on February 29, 2012. The film also was presented in 15 cities worldwide, including Paris, Milan, Munich, Beijing, Seoul, Moscow, Dubai, and Rio de Janeiro. The short film can be viewed on Cartier's Facebook page or its company website. “The world is changing, the economy is changing, the geography of luxury

is changing. We want to just remind people who we are at Cartier” - François Le Troquer

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Through this film, Cartier offers a unique moment of escape, inspired by the desire

to enchant, to share its passion and to communicate its values. The film was

made to highlight Cartier’s history with the three countries, which are now important

luxury markets…

In the highly competitive and changing world of luxury, this is such a good

reminder of what luxury really is…This is not about being everywhere around the

web, this is not about Twitter or Facebook, Luxury is about making people dream and

it is what Cartier is giving us with the “Odyssée”.

 

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Following “L’ Odysee de Cartier,” the epic three and a half minute, $5 million TV commercial debuted in March in celebration of the brand’s 165thanniversary. The commercial has had more than 16 million views on YouTube. Cartier’s latest marketing campaign has attracted 3.3 million viewers on YouTube since its debut four weeks ago, marking yet another online success for the Paris-based jeweler. The 1-minute and 4 second video, “Winter Tale,” displays two panther cubs playing hind-and-seek in the snow among Cartier watches, bracelets, rings and other gifts, some of which are packaged in the brand’s signature red box. On YouTube, a link attached below the video sends viewers to Cartier’s website, where they can then browse featured items from the video and gives them an option to add them to their wish lists or contact the company for more information about the product. The Winter Tale theme was woven throughout the brand’s social media presence for winter of 2012.

Cartier impeccably interconnects each of its advertising and marketing techniques and strategies to flow in a consistent and fluid manner. One theme in particular that was similar when looking at the two tactics was the use of the panther. Dating back to 1914, the panther has been Cartier’s signature animal. In the visually stunning L’Odysee spot features the panther traversing the globe, pacing through iconic sites such as the Great Wall of China and the Taj Mahal before ending his journey in Paris. Although taking different forms, both videos share their signature panther. Cartier’s strategic placement of the panther allowed the company to successfully stay within their brand identity all while generating new concepts to reach certain targets. The panthers are also omnipresent on Pinterest and consumers can watch Winter Tale on Cartier’s Facebook page.

According to experts at New York-based Digital Think Tank L2, L’ Odysee contributed greatly to “enhancing the iconic brand’s social media presence,” increasing its Facebook fan base by 61 percent, YouTube subscribers by 150 percent and unique visitor traffic to Cartier’s website by 18 percent. With two years of production and costing $5.3 million, Cartier’s advertising campaign has been marked in the books as one of the most successful combination advertising campaigns. L2’s Gilbert says that though the ad didn’t feature any direct instruction to visit Cartier online, it was so intriguing that it created a ripple effect through Cartier’s digital properties, upping their Facebook fan base, YouTube subscribers and increasing unique visitors traffic. Gilbert and Taraschi reveal that in today’s day and age, this type of cross-platform engagement is really the key to success for retailers. Companies need to know how to engage consumers across all platforms, whether they are browsing Facebook on their home computer, checking out a retailer’s website on their iPad, watching TV or shopping in an actual, physical store. “The more relevant you are across these various points of engagement, the more likely you are to stimulate your customer to buy,” Taraschi says. “The key to momentum, the key to growth, the key to market domination is going to be to embrace the importance of multi-channel.”

In the article “Luxury brands + social media- who’s getting it right and who’s getting it wrong?” Poq Studio discusses the challenges that luxury brands encounter with the recent technological advances. Many luxury brands are facing the same issue when it comes to social media. It’s a tricky area for companies whose appeal is all about exclusivity and privilege. This post looks at luxury brands who are doing it right, and one brand that is rather disastrously getting it wrong. When applying tips for luxury brands in relation to brands exemplifying this, Cartier sets a remarkable example for other luxury brands hoping for success. A tip for others that Cartier directly reflects is to create something beautiful and make it easy to share.

Luxury brands making hugely expensive adverts is nothing new in itself. But what Cartier did with their “L’Odyssée de Cartier” film was canny. It’s a work of art that took more than 2 years to make, and that grabs your attention with sheer ostentatiousness. It’s not about creating community or trying to relate to customers, it’s a bold brand statement that encapsulates who they are. What’s clever about this is that Cartier have understood that if you want people to share something, it has to be pretty special. It’s not about Facebook likes or retweets, it’s about powerful content that people share because they’re blown away by it and want to watch it over and over. But they didn’t just make an amazing film, screen it once, and leave it there. As well as buying television and cinema space around the world, they extended their reach to social. They put the ad on their YouTube channel and bought a front-page takeover ad to promote it. They set up a Facebook sponsored stories to go with a dedicated fanpage. The campaign also has its own website. By doing this, Cartier made it easy for people to discover and share (of course, having an enormous budget helps).

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Cartier's Mobile Communications Strategies

In September 2011, Cartier aimed to target brides-to-be with the release of its Cartier Bridal iPad and iPhone applications that allowed for consumers to search collections, find the nearest boutiques and create their own rings. The app comprised Cartier's collection of both wedding bands and engagement rings. The app can be found in Apple's App Store for free. Doo Kim, marketing and advertising executive at Appitalism, New York said, "In the past six months, I've noticed quite a few luxury jewelry brands developing a mobile app to advertise a new collection. It's a huge incentive for anybody in the fashion industry to be kept up to date on the most recent upbringings of something new so they can be aware of what trends are emerging.

Cartier marries tradition, customization for bridal collection app: The first section of the app is the Cartier collection- users can tap on either the engagement ring or wedding band option and are led to a page with the brand's styles: soltaire 1895, ballerina, declaration, honeymood, c de Cartier, emblematic rings and exceptional rings. Selecting a section brings consumers to a page where they can see the ring up-close and from different angles. Users can swipe through the variations of the particular style to find the preferred ring. On the ring’s individual product page, consumers can search for a boutique or add the product to their wish list. App users can also discover their ring size by placing an already-owned ring on the surface and matching it to the size on the screen. Consumers also have the option to customize a ring. Entering the “Set for you by Cartier” option, users can first select the base setting and then choose the price range, carat, color and clarity. Depending on the setting, rings can cost anywhere from $4,025 to $75,275. After consumers select the components of the ring, they are able to see the finished product in life size. Upon completion, consumers are directed to make an appointment at a boutique for more information. Users are encouraged to save the rings in their wish lists, presumably to show Cartier employees should they decide to visit the boutiques for real-life browsing.

"Luxury brand mobile apps are also a great way to generate excitement for a new collection that is about to debut."

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Cartier's development of an app allowed for them to stay relevant within the market and also stay in competition with other luxury jewelers including Tiffany & Co. Tiffany & Co. is reaching out to techy affluent consumers looking to get married with iPhone apps. Luxury jeweler Tiffany & Co. has debuted an iPhone application that merges mobile and interactive shopping for consumers who are looking to select an engagement ring. The Tiffany & Co. Engagement Ring Finder is the jeweler’s first iPhone application. Consumers can view a range of styles and learn about the qualities of the company’s diamonds. “The new iPhone engagement app provides

another access point to Tiffany’s expertise and knowledge,” said Carson Glover, director of media relations at Tiffany & Co., New York. “Today more and more people are getting their information through mobile devices. We are now providing an additional interactive way to browse the Tiffany engagement selection,” he said. Tiffany claims that it has been the world's premier jeweler since 1837. The application features a Ring Sizer that lets users determine their size by placing an actual ring directly on the screen and using the slider to align the circle with the inside of the ring. Cartier stayed within the same imagery, brand essence, and feel of their website when developing the iPhone app. The website takes a deeper dive into the clarity, cut, color and carat of the rings as well as the brand's legacy and other ring expertise. Cartier took advantage of the rise of new mobile technology to keep consumers interested wit new lines and collections. Keeping a loyal fan base is such a critical part of Cartier's business and they need to consistently be aware of this.

Cartier's SMS program lets consumers opt-in to

get its tweets texted to their mobile device:

“Because many affluent mobile subscribers carry smartphones, marketers have the ability to provide so-called rich mobile experiences that bring the brand to life,” said Jeff Hasen, chief marketing officer of

Hipcricket, Kirland, WA. Cartier took into consideration that many affluent consumers lead on the go, connected lives thus as a luxury marketer they implemented a mobile CRM strategy in order to drive sales and loyalty among high-end connoisseurs. This can include offering

exclusive looks at new products, sale hours and offers. This strategy allows for Cartier to make announcements about a sale or offer thus bringing customers to a richer experience via a link

or email. Since there are more mobile phones than computers and televisions combined, Cartier's implementation of an SMS

program will allow for consumers to opt in and get the most up to date information about the brand. The most attractive attribute

about SMS is its immediacy, which builds a stronger

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consumer relationship. Mobile Marketing for Luxury Brands – Cartier Implements SMS

Text Message Marketing Campaign

Most of the real success stories in mobile marketing come from luxury brands targeting their

upper class clientele. Luxury French jeweler and watchmaker Cartier, best known for its wedding engagements rings and diamond jewelry is a testament to this fact. Recently, we have seen luxury brands using more and more mobile and Cartier's latest iPhone app ad shows that they are utilizing this information and staying relevant within the market in order to keep their reputation.

Their latest mobile rich-media “Winter Tale” campaign highlights the luxury brand’s offering during this holiday season utilizing mobile marketing combined with a video experience where you “Follow the Panther." The beauty of the campaign is their mobile ad is actually running within the New York Times mobile iPhone application, which allows for cross marketing. When users touch the ad, they are brought to an online microsite hosting the interactive application, complete with ties to Facebook and Twitter social media along with options to send to a friend, signup for their newsletter, or find the nearest Cartier boutique store. Pretty smart strategy. Cartier is also employing sms text message marketing campaigns as well. By texting “FOLLOW CARTIER” to 40404, customers can get Cartier’s tweets texted to them. By incorporating a text message marketing campaign and combining it with a Facebook fan page, Cartier’s already received 50,000 likes from its Winter Tale campaign. Anyone can do this with their own brand with the help of qualified text message and mobile marketing consultants. Despite what you may think, many luxury brands are now using mobile marketing to promote their fashion lines, promotional events, and high-end products, making mobile marketing a strong opportunity for luxury retailers to leverage their brand to create loyal customers using new technology

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Cartier Markets Love Collection Through Email, Microsite

Jeweler Cartier is continuing the push of its “how far would you go for love“ campaign and its “love” collection with a new microsite and email marketing. The label has placed its previously released “how far would you go for love” video featuring French brand Air on an interactive microsite. Cartier has also added a behind-the-scenes video and the jewelry collection on the site found at http://www.love.cartier.us. Mr. Zeidman revealed that consumers respond really well to behind-the-scenes content. It's what consumers are increasingly expecting and leverages the best properties of the web, such as providing access for consumers to content that is of interest to them. Cartier’s microsite uses motion-tracking technology that causes the background of the page to rotate as consumers scrolls their mouse across the screen. The microsite gives consumers the option of viewing the collection or watching the film. Choosing the film opens a new page on the screen from which consumers can choose to read about the collaboration with the band Air, view a behind-the-scenes video or watch the campaign film. The film was released late last year on the brand’s social media accounts. Cartier’s “how far would you go for love” video runs five minutes long and blends animation and reality. However, it almost never refers to the Cartier brand. The video begins with an artist furiously painting a fluorescent woman, who lifts off the paper and into the real world. The artist then chases her through a town and a seedy club till he too falls into a mirror and becomes animated. The two embrace and become one. The video ends with no mention of the Cartier label. Air’s original song plays throughout the video. The behind-the-scenes video is the latest installment and features the band, scenery of New York and clips from the making of the video. Members of the brand explain the process and inspiration for the song and music video through voiceovers. “Behind-the-scenes content is extremely engaging provided that it is given to the right user group,” said Christian D’Ippolita, international sales manager at Unruly Media, London.” In this case we are talking about people who have seen the original content or have expressed an affinity for

“Microsites are a pretty standard approach and, as an aggregation point for content, not a bad idea when it’s

done well."

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the original content by going to the microsite, so there is no reason the behind-the-scenes wouldn’t work,” he said. “You are giving people the opportunity to get something more, and it’s engaging in its own right — it’s almost like a reward.” The non-video portion of the microsite features the four-piece Cartier love collection. The love collection was originally designed in 1970 and has remained a signature collection for the brand. The bracelet is available in rose gold and rose gold with diamonds. As explained on the site, the giver of the bracelet secures the jewelry on the recipient’s wrist with a small golden screwdriver to symbolize “genuine loving attachment.” Two white-gold rings, one with diamonds and one without, comprise the rest of the collection. Consumers who wish to buy the jewelry have the opportunity with a link to the Cartier ecommerce store found at http://www.cartier.com.The bracelets start at $5,575 and the rings start at $1,675 and get as high as $31,700. Cartier sent out an email to alert consumers of the new microsite earlier this week. The jeweler has promoted the music video on its Facebook page in the past and will likely post a link to the microsite in the near feature. Indeed, linking the content to a social platform may be the key to expanding the reach of the campaign. “I think that the Cartier microsite is a beautiful, rich and user-friendly execution, so bravo to the agency that made it,” Mr. Zeidman said. “I really enjoyed spending time with it. “My No. 1 suggestion for them would be to engage a company to distribute this content reaching consumers where they are,” he said. “The notion of ‘if you build it, they will come’ is not realistic.“ Cartier needs to find their consumers where they are, engage them with this awesome content and then invite them to the microsite for more.”

Cartier Aligns Itself with Ultra-Affluent Lifestyle Through Gossip Girl Placement

Jewelry brand Cartier took a starring role in an episode of CW’s television series Gossip Girl. One of the first scenes of the episodes featured a large number of Cartier boxes on the table as part of a private, in-home shopping experience with a brand salesperson. Luxury brands from Chanel to Gilt Groupe have used product placement in the Gossip Girl series to help increase brand awareness and align it with a particular lifestyle. “When done well, product placements look and feel like ingrained entertainment content, rather than ads,” said Paul Farkas,

founder/CEO of Social.TV and founding transmedia producer of The Water Tank Project, New York. “Gossip Girl is especially known for weaving products and cameos in its rich narrative,” he said. “Gratuitous features are seen as ringing endorsements for its targeted demographic, even spanning across the series, such as with HP’s ill-fated touch tablet. Cartier made its entrance onto the big screen through a private, in-home shopping experience that it provided to one of the main characters of the

“Cartier contextually fi ts Gossip Girl perfectly and serves as a luxury brand that Gossip Girl’s aspiring-affluent audience

can long to attain.”  

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show. The character was looking to pick out a St. Valentine’s Day present for his wife. A Cartier salesperson had seemingly brought a number of pieces for the man to browse in his home. There are a number of Cartier red boxes, large and small, present on the table. The man’s son comes in and asks what is going on, and the man explained that he was trying to pick a Cartier piece for his wife. In this case, Cartier did not have to rely on viewers recognizing the brand’s signature red boxes. Having the character state the brand name helped Cartier to ensure there was no confusion over which brand was providing the jewels and the intimate shopping experience. Cartier likely chose the Valentine’s Day episode since this is one of the prime-time selling months for luxury jewelry and could help to increase brand recall amongst last minute shoppers. This was a smart move since Valentine’s Day spending was predicted to reach a total of $281 million, and 15 percent of affluent consumers planned on buying jewelry. Cartier is not the first luxury brand to tap the Gossip Girl series for product placement opportunities. Earlier this year, Tiffany & Co. played a large part in one of the episodes. In fact, the main character was planning a special engagement party in which everything was Tiffany blue and each attendee got a small branded present. Additionally, Gilt Groupe worked itself into a plotline where actress Kelly Rowland spent the majority of her time in one episode browsing the flash-sale site and being surrounded by Gilt Groupe bags. New York’s Empire Hotel also plays a pivotal role in each episode. One of the main characters is actually the owner of the hotel in the show, and two of them live here. Other brands such as Chanel, Bergdorf Goodman and Henri Bendel have also made appearances in the series through shopping bags or store appearances. Restaurateur and chef Daniel Boulud was even highlighted in one of the episodes this season. These brands may not be reaching potential customers through the product placement since Gossip Girl is geared more towards young adults than the older, affluent consumer. However, the placements are still important in helping to increase brand awareness and tap aspirational consumers. The ultra-affluent, New York lifestyle portrayed in Gossip Girl is the image with which most luxury brands look to associate themselves. While product placement in TV and movies is not going to leave anytime soon, brands should be looking to become part of the larger conversation around these shows and movies. “Beyond TV programming, its strong, layered social machine of tweets, updates, and even column advice offers even more reach and storytelling opportunities for brand spend,” Mr. Farkas said. “Entertainment is embracing what I’ve been calling ‘made for Social TV,’ where networks, writers and producers are creating content with opened, personalized social interactivity in mind,” he said. “A new velvet rope for luxury brands will be their ability to be contextually woven in the evolving transmedia narrative, not just consumers’ accessibility to them.

Jewelry Brands Targeting Millennials

Since younger consumers will soon become a luxury jeweler’s core customer market, jewelry brands including Tiffany & Co., Cartier and Van Cleef & Arpels are solidifying their place in the lives of younger consumers through social media marketing, notably mobile efforts and social media. Experts believe that those brands should develop relationships now so that brand affinity and loyalty is in place when the consumers are of high-end product buying age. Jewelers are beginning to re-examine traditional marketing strategies when dealing

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with this group, since old-world marketing including mail or catalogs may not work with millennials. Instead, reaching them on platforms they already inhabit – such as social video, Facebook

posts, Twitter and mobile apps – could help to enlist brand loyalists for future buys. “When engaging with younger consumers, you have to change your message and commentary to reach a personal level,” said Brittany Mills, director of client services for B Culture Media, Atlanta. “Millennials are used to engaging with other brands at a personal level via their personal social communities, with highly-targeted ads and custom shopping experiences,” she said. “You have to offer a solution that will allow them to engage with your brand that will fit into their lifestyle.”

One way to reach millennials is through social media. Social video is a popular way to connect multiple social media platforms such as YouTube, Facebook and Twitter. These popular videos give a lifestyle feel to a brand that allows millennials to aspire to the lifestyle while subliminally showing products. Cartier and Van Cleef & Arpels use social media to portray brand history using young actors whom young viewers can admire. Meanwhile, brands such as Tiffany and De Beers are emphasizing their Facebook and Instagram platforms to encourage engagement.

The jewelers release photos of new products and campaign images, but they also delve into behind-the-scenes footage and jewelry sneak-peaks so that consumers feel as if they are part of the brand. Another way to get in touch with millennials is through mobile marketing. Many jewelry brands are using apps and mobile advertising to tap this customer base. Virtually all jewelers have at least one branded app on which they promote product images, store locators and lifestyle elements to encourage engagement with consumers. For example, Cartier has a digital version of its catalog Rouge Cartier, which it updates constantly with brand information and experiences. Cartier also recently released a bridal app, which allows consumers to find all wedding jewelry from the band. De Beers apparently looked to combine the two aspects in one swoop. It recently released an app that allows consumers to match wedding jewelry, but also has a section on heritage, diamond clarity and videos from the CEO. Tiffany has two apps: an engagement finder and a mobile version of its What Makes Love True microsite.

Also, the jeweler uses targeted ads on other mobile apps such as the Weather Channel to encourage consumers to visit their stores. Swarovski took another turn by offering QR codes that gave consumers exclusive content on its Facebook mobile page and other micro mobile sites. The brand’s Hello Kitty collection launched a variety of new mobile efforts for Swarovski, which allowed it to connect with consumers who were the most likely to buy those types of products. Also, Swarovski is building its millennial fan base through Facebook apps, such as its “Be Amazing” tab that allows consumers to virtually dance around wearing virtual branded sunglasses. Since millennials are growing up with mobile and social media channels, jewelry companies are most apt to reach them here. However, jewelers should never discredit other tried-and-true channels that other consumers are used to, such as mail, catalogs, print and out of home. The problem with mobile and social is that while they are convenient and much-used by millennial consumers, the wide-reach of these platforms could make a brand come across as cheap or affordable in an industry where exclusivity is king. While small doses of accessibility are OK, brands should still emphasize their other marketing efforts since the millennial, while a digital native, is still very much a multichannel shopper. Also, print and mail offer physical representations of brands that are not completely transferred in digital platforms. Continuing to represent the brand in a way that makes it look its best is one of the most beneficial ways to maintain a luxury status. “The beauty of digital marketing is that there are so many consumer touch points available and each consumer has a preferred way of engaging with a brand,” Ms. Mills said. “Digital analytics are going to determine the success of certain initiatives and platforms and it is up to the brand to evaluate that on a case-by-case basis,” she said.

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Let’s Get Personal

“Most retailers have learned that for email,

while inexpensive to implement, the competition for attention or even be noticed in people’s email box is huge,” he said. “Delivery of the message itself is unreliable and cannot necessarily be counted on.” Personalization is essential so that marketers get the most ROI

from direct mail efforts. “Direct mail should be highly targeted and personal,” said Chris

Ramey, president of Affluent Insights, Miami, FL. “It is less expensive to spend more for the

right list of prospects.” Luxury marketers often include a personalized letter with product-focused catalogs. For instance, French jeweler Cartier flaunted its collections amongst geographic snowflakes in its holiday 2012 mail catalog that addresses recipients through a person-alized letter signed by Emanuel Perrin, president/CEO of Cartier North America. Additionally, jeweler Tiffany & Co. looked to increase traffic to its new store in New York’s SoHo district through a targeted mail campaign that comprised a catalog and personalized letter. To up personalization, luxury marketers should use customers’ shopping history to target them in their homes, per Mr. Ramey. Supplements that reference a product that a customer previously purchased or give tailored product suggestions can enhance direct mail efforts. In 2013 there will be a resurgence of direct mail that complements online efforts. The key is to speak directly to existing customers. “Using the data you have accumulated shows them you care,” Mr. Ramey said. “Fascinate them with products that you know are of interest. “Communications should be personalized,” he said. “Assure them that you are not ever going to waste their time.” It is quite clear that Cartier has carefully considered altering their advertising and marketing efforts in order to reposition their brand. In the recent years, they have increased their use in social media techniques to capture the minds of their consumers. Cartier is a great example of how a renowned and established brand needs to mold and adapt to the technological advances in order to stay relevant in the market they once ruled. In efforts to do this, Cartier has implemented the use of social media tactics and mobile communications strategies through popular media platforms like YouTube, Facebook, Twitter.

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