How luxury brands are responding to increasing consumer demand
When supply meets demand does demand slow or cease? In this guest post, Tom Lees looks at how luxury brands maintain the delicate balance between hard to get and too accessible.
In a world of increasing accessibility, how ‘luxury’ can a luxury brand be?
Traditionally luxury and scarcity go hand-in-hand. When the supply of goods is substantially below that of consumer demand – driving price and desirability.
In the past, luxury brands controlled the supply to effect subsequent demand. This approach helped maintain status. However, the digital world is changing how consumers consider and perceive luxury with implications on how brands manage and maintain their market position.
