STORES 2015 BIG Show Daily - January 12, 2015 - (Page 12)

MONDAY 12 Luxury Market Broad, Diverse and Growing ow more than ever, nothing about luxury is "one-size-fits-all." Today's luxury consumers are a varied bunch, ranging widely in ethnicity, in attitudes about ownership versus use and even in how they want to interact with retailers and brands. But they provide enormous opportunity: The global luxury market continues to grow by 10 N Panelists (l-r) Ken Nisch, David Selinger and Matthew Woolsey. Visit Axis at NRF Booth #3133 at NRF BIG Show January 11-13 in NY, NY! million people annually. A Sunday morning session, "The Changing World of Luxury Retailing," considered the way luxury has morphed from two or three archetypal customers to its current state. It featured Ken Nisch, chairman of JGA; David Selinger, CEO and co-founder of RichRelevance; and Matthew Woolsey, executive vice president of Barneys New York. The shift is due in part to the rise of Millennials (those born since 1980), who have education levels and incomes that are typically higher than the national averages. Then there are the HENRYs - "High Earners Not Rich Yet," as identified by Unity Marketing. They have a base income of $100,000; ultra-affluent consumers make at least $250,000. In the United Phil Wahba @philwahba Shoppers ages 15-35 82% more likely to use smartphone than speak with a sales associate says RichRelevance CEO #nrf15 #luxury Customer loss in one minute and counting. Be the fi rst to know. States, there are roughly 21.6 million HENRY households, and 2.9 million ultras. So why does it matter? Figuring out how to reach those HENRYs now may help build relationships for the long term. Beyond that, there's much opportunity for engaging those who want the lifestyle but still can't make the investment. In the luxury car market, for example, 50 percent of vehicles are now being leased rather than purchased, Nisch said. From Woolsey's view, Millennials Read more with your smartphone Knowing when customers are not being served just got a lot easier. Now you can use network video to count people in your store, combat in-store dwell times and monitor queues in real time. So you can better plan staffi ng levels, boost conversions and enhance customer service. It's all made possible with high quality video feeds, real time alarms and other smart features in Axis' leading network video solutions for retailers. This is just one way Axis' IP solutions help retail stores minimize loss and maximize profi ts. Be the fi rst to know how to stay one step ahead. Visit Axis network video solutions for retail integrate our leading network cameras with specially-designed applications from our partners. * Outstanding HDTV image quality * Integration to your existing POS, EAS and IP systems * Scalable, future-proof solutions from standardized equipment are "very naturally" luxury customers. Again, that's not so much an indication of having money to invest, but rather an identification with the idea of themes like story, authenticity and heritage. As such, he said, personalization efforts "have to be about more than how you deliver a discount coupon. It has to be about story - it has to be about engagement." One of the biggest mistakes retailers could make at this point, Selinger said, is to think that the same technology being used for the past five years will automatically apply to this generation. More than making the Internet simply a "big catalog," Millennials are more interested in the where, why and how, and that must be conveyed. They're also interested in doing things their own way: 82 percent of Millennials are more likely to make a purchase decision using their mobile phone than by speaking with a sales associate. Therefore, Selinger said, the way retailers engage at the point of interaction has to change. axis_ad_retail-count_stores_fpc_7.25x10_us_1412.indd 1 1/6/2015 8:39:34 AM

Table of Contents for the Digital Edition of STORES 2015 BIG Show Daily - January 12, 2015

STORES 2015 BIG Show Daily - January 12, 2015