Excessive consumption, disposable income, and guilty pleasures are all characteristics used to describe the luxury business. However, given that Millennials and Generation Z account for 85 percent of global luxury sales growth, luxury businesses' alignment with their values is becoming increasingly crucial.
Younger generations are more aware of their purchasing decisions' environmental and social consequences and are more prone to purchase from a company that shares their values.
According to a Nielsen survey
- 73% of Millennials are willing to pay more for a product if it comes from a sustainable or socially conscious company
- 81% of Millennials expect the companies they support to be honest in their marketing and actively discuss their environmental impact
Changes in consumers' behaviour call for fast fashion brands to innovate to keep up with the growing ethical and sustainable luxury trend. Therefore, to maintain their place in the luxury market, high-end brands must innovate to keep up with the ever-increasing ethical and sustainable luxury trend.
Luxury brands pivot towards sustainability
How can luxury companies reposition themselves to embrace this shift and incorporate sustainable Luxury into their brand? The most important thing is to be genuine. Before they start to generate a buzz around it, brands must genuinely integrate sustainability and environmentally friendly models into their strategies from the ground up.
Luxury and Sustainability
Sustainable products share many of the same 'essential' characteristics as luxury goods:
- They require extraordinary creativity and design
- They need high-quality materials
- They value durability in the concept of fewer but better
Because luxury items do not go out of style and are long-lasting, they are implicitly sustainable. Pre-loved Luxury goods have always been more environmentally friendly, but they haven't been promoted as such.
Given the current changes in consumers' behaviour, leading luxury brands are increasingly taking efforts in this direction, incorporating the concept of "sustainable luxury" into their brand image.
The luxury business must accept new environmental and labour norms as social and ecological challenges mount and global resources are put under increasing strain. Contrary to making individuals feel bad about their purchases, sustainable Luxury allows them to achieve their own needs by introducing better consumer alternatives.
Luxury marketing build awareness on sustainable and conscious impact
With sustainable and environmentally friendly luxury practices in place, brands must create campaigns to convey this message to customers. To remain consistent, brands must use a delicate tone. Transparency, such as behind-the-scenes articles, microsites, and initiatives, is an excellent approach to include this into your editorial and communication.
Luxury businesses have traditionally embraced a sense of mystery, but consumers are yearning for more information in today's digital world. In addition, they want to make sure their purchasing decisions are ethical.
Large luxury companies are already catering to their affluent customers' social responsibility and positive environmental impact demands. An excellent example of this is the Kering business, which owns Gucci, Stella McCartney, and Saint Laurent, among other high-end labels, and its decision to increase its supply chain's share of renewable raw materials
Kering's chief sustainability officer, Marie-Claire Daveu, says,
“Our ambition is to redefine luxury to help influence and drive these positive changes,”
Luxury brands must increase their approach toward sustainability and conscious living if they want to stay relevant. With Millennials and Generation Z accounting for 30% of all luxury purchasers and expected to account for 45 percent by 2025, staying relevant is necessary.
Gucci boasts that its "eclectic, contemporary, romantic items represent the peak of Italian workmanship" as one of the world's most sought fashion houses.
The company is dedicated to environmental standards and promises that 95% of its raw materials will be traceable. Gucci is also committed to the sustainability goals put forth by its parent company, Kering, which include decreasing its environmental footprint and choosing responsible and well-managed supply sources, among other things.
Luxe Du Jour and best Practices
In the previous article we discussed The Rise of the Pre-loved Market, and its effects on sustainability. The pre-owned luxury business is growing, and this is a trend that will continue.
With our secondhand consumption model, we make sure we do our part in keeping luxury sustainable while allowing consumers to purchase their dream bag at a rate they love. Moreover, we take pride in our 100% authentic policy or your money back.
Pre-loved Luxury is a sustainable indulgence and investment.