In our last marketing class, our professor raised the topic of advertising and brand image. She discussed that many people perceive the luxurious brand, Louis Vuitton, to have downgraded because of an increase in advertising.
As I was investigating this topic, I could not find links to online discussions about recent views of LV based on their advertising, but I did come across this article: For China’s super chic, Louis Vuitton no longer the most luxurious.
Long line-ups outside LV stores are common as consumers rush to stock up on their favourite brand.
Growing up in Hong Kong where brand name products, especially handbags, seem to be a must-have for every female, most people are very aware of the prestige of brands like LV and Chanel as well as their position as one of the world’s strongest luxury brand. However, in the past few years, the famous monogram bag has become “over exposed” and “mainstream”, even too “cheap” for some as “LV is seen as the brand that even your domestic helper could afford.” In other words, LV has downgraded in the country where buying luxury goods is a routine – not because of their advertising expenditures, but because of the purchasing power of their target market.
In my opinion, increased advertising would not diminish LV’s luxurious brand image, as long as they are innovative about it. While traditional forms of advertising can remind consumers about LV, the “socializing” of the LV brand proves to be a better way to gain brand awareness and transform the customer relationship too. By publishing content on blogs and digital magazines, they can personally communicate with consumers and let them in on their brand story, culture, and upcoming designs.
As such, LV remains successful in their brand positioning in much of the Western culture; their challenge now is to reposition their brand in the Chinese market as the high-class luxury brand with long-standing historical value, like it used to be.
