How luxury changed from being exclusive to democratic

Once upon a time the meaning of luxury was part aspiration, part
exclusivity and part too expensive for most to afford. It was the Hermès
bag, the Cartier watch and cashmere designer coat that equalled status,
good taste and most of all exuded wealth.

Brands communicated their campaigns through magazines, who had the power to
enthral readers and consumers as arbiters of refinement and aestheticism.
It was a time when craftsmanship, elevated design and high quality
materials were the ‘be all and end all’ when it came to defining true
luxury.

Democracy changed luxury

But times have changed. Because where once brands and the magazines who
communicated their messages were in full command of their image and
stories, the world has democratised. Anyone can share their story and
thoughts about luxury goods and the shifts in power and consumer tastes
have many asking what is the meaning of luxury today?

Are sneakers, sweatpants and pool sliders considered luxury? Because Louis
Vuitton is retailing these in abundance. As are Gucci, Prada and Saint
Laurent. Are graphic t-shirts considered luxury if they cost 500 pounds
and are made by high end brands like Balenciaga? Is a 5,000 pound dress a
luxury item when it becomes available from The Outnet at 70 percent
discount? How about that Chanel handbag which can be rented for an event at
just a fraction of the cost?

A decade ago these wouldn’t have been classified as true luxury. But that
age-old perspective and conversation has changed. More importantly,
shoppers no longer buy into luxury in the same way.

Why invest in a dress when you can rent it?

There is much written and discussed about millenial buying habits, the next
generation with spending power, who seem less interested in the acquisition
of luxury goods. Why buy a car when there is Uber? Why splurge on a dress
when you can rent it?

Goldman Sachs in its report ‘Millennials Coming of Age’ explain the
reluctance of buying big ticket items and luxury goods. Instead,
millennials are turning to a new set of services that provide access to
products without the burdens of ownership, giving rise to what’s being
called a “sharing economy.” So too their affinity for technology is
reshaping the retail space. With product information, reviews and price
comparisons at their fingertips, Millennials are turning to brands that can
offer maximum convenience at the lowest cost.

Still, luxury brands are trying to woo millennials into their
designer-filled stores, which is why sportswear remains such a trend on the
catwalks. The aforementioned sneakers and sweatpants are driving luxury
brand profits more so than tailoring and evening wear. It is no coincidence
that Louis Vuitton appointed Virgil Abloh as artistic director of menswear
as he understands the millennial demographic and is himself both creator
and purveyor of streetwear de luxe.

Not buying for the sake of buying

In an era where conspicuous consumption is no longer deemed luxurious,
luxury brands are keen to share their values on sustainability,
environmental and social responsibilities. Gwyneth Paltrow’s site Goop,
which began with offerings of wellness advice now sells luxury fashion and
accessories. Similarly Net-a-Porter has expanded into beauty and wellness
and has its sibling menswear site, Mr Porter.

So what is true luxury? Not following fashion

Dan Herman, Ph.D., stated in his 2006 article, “The Eternal Principles for
Creating Luxury Brands,” luxury goods in the most traditional sense “are
not designed and planned according to consumer tastes and expectations.”
Instead, he noted, “A luxury brand sets its own standards and does not
adhere to fashions.”

Photo credit: Chanel haute couture, source Chanel website. Article quote
The Fashion Law, “Where Do Fashion’s Traditional “Luxury” Brands Stand in
2018?”