The market of luxury goods has taken a massive hit from the Global Pandemic. Numerous closures of well-known retailers, social restrictions, travel shifts affect customers’ sentiment about luxury brands. With uncertain future times, people are emphasizing necessities rather than high-end brands to show off. But how the psychological and economic fluctuations influence the shopping and decision-making of the consumers of luxury watch brands?
Overall Luxury Market
The fluctuations and anomalies of 2020 didn’t leave a sphere untouched. The Pandemic managed to catch huge brands unprepared for such rapid changes and unexpected events. Since 2010 the market of personal luxury goods has more than doubled, growing from €128 billion to €281 billion. It was predicted to increase even more, but the pandemic managed to wipe out the profits. Even though the market of luxury goods was relatively hit less than other sectors of physical stores, the crash was still a big one.
But how did the luxury brand adapt to the situation to minimize its losses? One of the first solutions was increasing online presence. E-commerce was already a highly-developed sector, and the hesitating luxury market has put lots of work to develop their online stores.
What About the Consumers?
As mentioned, people are currently spending more on everyday necessities and cutting their spendings for luxury goods that won’t see much in a lockdown. Just think for yourself, who would like to spend more than thousands of dollars on a luxury piece to keep it at home? That’s why people have developed an alternative that shoots kills two rabbits with one shot. Instead of depriving yourself of the excitement of a luxury purchase, get a luxury replica piece. Yes, you read that correctly!
The luxury replica watch market is a rapidly growing sector nowadays. Not only are they constantly developing the appearance of the watch, but they are close to perfecting their quality. So, eventually, the luxury replica watches market is going to give you a worthy alternative without emptying your pockets. Consider adding a modern Rolex replica or a timeless Audemars Piguet to your collection, and feel the difference. In these uncertain times, we don’t know what will happen tomorrow, so why not get a high-quality alternative to the luxury watch you are so willing to purchase?
Is E-commerce Solving the Issue?
Luxury Brands are known to be not very keen on extensively using e-commerce. While high-end brands aim to provide a unique customer experience, digital shopping leaves no opportunity for it. The Pandemic also shifted this belief of the high-end brands. Currently, luxury brand watches are open to digitalizing their platforms. Lots of budgets are allocated to developing a solid online presence. For lots of people, this wasn’t enough. When purchasing a piece from a luxury brand, you are buying the experience as well. That’s why in-store shopping is still missing from the lives of luxury consumers.
With every challenge, there is a way to recovery. Just like after the Crisis of 2008, the luxury market recovered and rose even more. Except for this time, the luxury market sector needs to come up with creative proposals to attract the customers back to shopping.