Janus Thinking

Luxury brands command a premium because they infuse the act of buying with emotion. Shopping is turned into an experience. But what distinguishes a quality, luxury product from one at the mediocre end of the market range?

According to Haupt, a senior advisor at Steuben Glass in New York, the product has to ‘speak for itself’. A luxury item is not dependent on cost. ‘Throwing money around … just creates a lot of noise’ (David Birnbaum). Rather, the creation of a luxury product is dependent on quality.

Today, it seems that a whole range of products, including Costa Coffee, Lindt chocolate, and Haagen Dazs ice-cream, have been elevated to the pinnacle of connoisseurship. It is about creating an experience that enables the customer to develop a particularly personal relationship with the item. In February 2004, Louis Vuitton opened a four-storey boutique on Fifth Avenue, detailing flashing LED screens and a staircase made of bronze and chestnut. The idea was to produce a sensory journey through the store using light, colour and texture. Sensory experiences such as this, as opposed to discrimination are of primary importance.

And by discrimination, I mean class divisions. A tub of Ben & Jerry’s often costs 100% more than a store’s own brand ice-cream, but it is nevertheless accessible to the ordinary buyer. As Michael J Silverstein, SVP at the Boston Consulting Group has indicated, old luxury revolved around aristocracy and high prices. Today, luxury is tailored to the requirements of the vast middle income market. It is the result of higher incomes, rising home values and a self-permission that has given to the ordinary consumer a taste for fineness, distinction and sophistication. It is quality rather than price that identifies a luxury item. A palate for quality can only be a good thing.