Marketing has always played a pivotal role in the success and the failure of big/small brands. In this blog post I will focus on how traditional marketing is different from marketing and branding a premium luxury product like St. ERHARD.
In the last post I talked about a very crucial factor which can make or break a brand. It’s important for marketers and for organizations to send a right brand message across the consumers and to let them know why their company is doing what it’s doing. Especially when it comes to luxury brands, for which consumers are asked to pay a premium. This is always not only because the product is of high quality but also because of the offering having to incur high marketing and other logistical expenses. Brands like Apple, LVMH and as a matter of fact St. ERHARD charge a premium on the product offerings.
According to a report from brand channel, there are 8 P’s – pillars of Luxury Brand Marketing. First is indeed Performance. Brands offering luxury goods and services should focus on the delivery of a premium experience not just on a product level but also on the experience level. An individual who plans to buy a luxury product doesn’t just get himself a physical product but also the whole story and the experience behind the brand. Second is Pedigree, which like I mentioned above is the history which a brand carries with itself. This becomes the soul of the premium offering and also an integral part of the brand story. This tells the consumers why the brand exists in the market apart from earning profits and selling more. Third is Paucity. This means the scarcity of the product or a service offering in the market. Luxury brands try to maintain paucity in the market so that their brand doesn’t get diluted which in the end helps them to create a strong brand. Persona is the fourth and one of the most important P’s in the luxury brand marketing. It becomes a necessity for the brands to portray their image in the best possible manner. Here the brand’s personality, its mystique aura and its brand values create a huge impact on the brand creation. Advertising campaigns and other modes of communication help them build their brand persona. Fifth “P” is Public Figures. Celebrities or Public Figures play a very important role in building a brand. We see big brands fighting to get the most famous celebrity to endorse their brand in order to catch more attention of their target group. Sixth is Placement. Brands moving to the retail businesses make it very important for them to focus on their product placement in their physical stores. Product merchandising has become an important job role on the job websites when it comes to big brands which are into retail sales, mainly clothing and other similar brands. It starts from the store location to the touch-points where consumer can interact with the salesperson and so on. The whole idea is to provide them with a unique indulging experience. Public Relations is the seventh “P” of brand marketing. As luxury brands have to promote themselves extensively among the public to become the talk of the town, their stakeholder’s opinions which includes general public, other organizations and so on becomes very crucial for the brand image of the company. A successful and a sophisticated brand has to maintain the relations with public in the best possible manner and has to make the whole experience unique and simple. Last and a very crucial element is the pricing. Pricing plays a big role in how people perceive the luxury brand. Therefore it’s important for the luxury brands to price their product offering right. Pricing the product low can lower the consumer’s willingness to buy as some consumers relate luxury brand with relatively high prices and pricing them high could not justify the value derived from the product.
We at St. ERHARD are focusing on bringing in all these aspects of building a sustainable premium beer brand. We aim to create value in every purchase made both at the company’s and the consumer’s end. We are sure sooner you all will be able to see us as one of the biggest German beer brands abroad.