Theta and Lambda

Post-purchase is where luxury marketers must place the emphasis in the buying cycle

Isaac Mostovicz writes that luxury brands must connect with their customers post-purchase ...

An interesting article on Luxury Daily has revealed some research from Condé Nast Ideactive, the research arm of the publishers, which showed that luxury brands must improve their marketing efforts to high net worth customers past the point of sale.

 

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The research shows that unsurprisingly, most brands focus all their attention on customer attraction but when it comes to retention, they could be missing out on the chance to turn brand loyalists into brand advocates. Condé Nast Ideactive examined consumers’ emotions at each stage of the sales journey and what marketing devices are used to satisfy their needs at each point.

 

Previous posts on this blog have discussed the importance of marketers connecting the luxury purchase process with emotions and making customers feel special, singled out, or important.

 

Pat Connolly, head of strategy for Condé Nast Ideactive, New York echoes this idea.

 

He comments: “Brands need to invest in emotion, and these gaps where people are very emotional [explore and post-purchase] is an opportunity for brands to invest in things like content and experience,” he said.

 

“Doing this post-purchase will create advocates and content-creators that deliver on the first gap [the explore stage].”

 

Post-purchase, the research has found that consumers, especially the youth market, need almost immediate validation from friends and family post-purchase – often carried out through mobile or social media.

 

Within Janusian thinking, this is a particularly Thetan trait – as Thetas seek belonging through bonding or affiliating with their peers. Thetas aim to fit in or contextualize themselves within their desired group and use socially derived understandings of product characteristics as a basis for their consumption.

 

However, the idea of a personal gift or something that singles out the buyer post-purchase is something that will particularly appeal to Lambdas. Lambdas seek distinction as an ultimate end goal – so a personal touch from a luxury brand that helps them stand out will satisfy their desire for uniqueness.

 

Clearly, brands should take advantage of this part of the buying cycle and view the post-purchase experience as an opportunity to reach out to their consumers.

 

 

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Theta and Lambda: Understanding Luxury Consumers

Isaac Mostovicz writes that that in order to understand customers, luxury marketers may benefit from understanding Theta and Lambda personality types....

A recent article on Triple Pundit talks about the definition of luxury changing, both for affluents and non-affluents, due to the current economic climate.

The article quotes an Advertising Age report, saying

“The desire for luxury experiences has not disappeared, but has been redefined for a new era… expressions of luxury have become smaller, more personal and intimate.”

I have written about this previously, arguing that luxury marketers need to focus on getting to know their consumers and on encouraging them to behave according to their own personal values, not simply acting as a sales person but rather as a trusted advisor.

In order to better understand consumers, I have developed a simple characterisation consisting of two personality types – Theta and Lambda.

The Theta personality seeks affiliation and control as an ultimate life purpose, so they loom to fit in within a desired group and use socially-derived understandings of product characteristics as a basis for their consumption.

Lambdas, on the other hand, seek achievement and uniqueness as an ultimate end goal, and so are more likely to interpret products based on their individual responses to the product, how it helps/prevents them to stand out, and how the product benchmarks against their regular consumptive patterns.

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