From WSJ.com
Fashion's Elite Expand Online
[FONT=Times New Roman,Times,Serif]Luxury labels finally warm to the Web, designing high-tech sites that aim to enhance their upscale appeal with video and more[/FONT]
[FONT=times new roman,times,serif][FONT=times new roman,times,serif]By ELVA RAMIREZ
August 11, 2007[/FONT]
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Improvements in online video and the growing prevalence of broadband access are encouraging luxury brands to create glossy new Web sites that better reflect their elite appeal on a medium that can make things look equal.
"Go look at some shoes from Marc Jacobs and then some shoes from Target," says Marshal Cohen, chief analyst at the NPD Group. "Shoes from Marc Jacobs are $499. The shoes from Target are $14.99. They look almost the same online."
Miu Miu relaunched its site earlier this month, replacing a relatively simple design with one that includes stylized videos and "behind the scenes" access to photo shoots.
"Until a couple of years ago, brands were very cautious online," says James Gardner, CEO of createthe group, an interactive agency that is behind high fashion sites such as MiuMiu.com, Balenciaga.com, StellaMcCartney.com and MarcJacobs.com. "They hadn't really seen sites created that managed to remain elevated and appropriate for luxury brands. [But now, with the help of online video and interactive features] the product imagery can be very beautiful. Every component, every detail can be carefully crafted [on the Web], just as their products are."
A January 2007 survey by market research firm Luxury Institute found that 99% of those 21 years and older with a minimum household income of $150,000 had Internet access at home -- and 94% said they used broadband connections, which are amenable for video viewing. Similarly high numbers were reported for the use of the Internet in researching products and shopping. Naturally, as high-end consumers have gone on the Web, more luxury brands and high-end retailers have opened up online flagships (though they generally have lagged behind other industries' online offerings).
Sophisticated imagery can help high-end brands justify the price discrepancy with lower-end products, Mr. Cohen argues. "The site has to do a better job of romancing it, using additional audio as well as visual stimulation to really get you excited," he says. "I've got to feel that I can connect and relate to this site, otherwise why am I spending so much money?"
Many luxe sites also aim to give visitors a sense that they are getting insider information. Those not invited to Fashion Week's members-only tents can watch the runway shows online. Christian Dior's Fall/Winter Haute Couture extravaganza, in honor of the fashion house's 60th anniversary, was available online the morning after the show.
"What some of the brands are beginning to recognize is the importance of extending the message to the consumer, and not relying on retailers or on traditional advertising," says Mr. Cohen, adding that streaming video is a type of "three-dimensional branding" that adds life to the product and its message in a way not possible with "flat" advertising in magazines.
High fashion sites are also adding behind-the-scenes vignettes to differentiate themselves. Chanel.com features interviews with Karl Lagerfeld, while MiuMiu.com has footage of its May 2007 photo shoot with model Laetitia Casta for its Fall/Winter 2007 campaign. Documentary filmmaker Seraphin Ducellier directed Balenciaga.com's evocative time-lapsed movies of four handbags; the brand also plays up its fashion heritage by featuring archival footage from the 1960 Spring/Summer runway show.
"People have this real emotional connection with video, much more than still images," says Mr. Gardner. "A woman looking at the video says, 'I need that bag.'"
Prada.com's site, designed by celebrity architect Rem Koolhaas's OMA firm, showcases nearly 20 short films on the production process, including clips of artists sketching bags, the making of a Prada ballerina slipper and the hand-finishing of a perfume bottle. Showing the hands behind the luxury object only burnishes a brand's image, says Milton Pedraza, CEO of the Luxury Institute.
"[Luxury consumers] want to know that they are paying for craftsmanship," Mr. Pedraza says. "And it's a little more subtle but it's [also] important, they want to know that people who are making the product are treated well. [Rather] than shattering the imagery, it enhances the reasons why you willing to pay a premium."
The new features also help keep visitors on the sites longer.
MarcJacobs.com features elaborate Fashion Week mini-documentaries produced by multimedia production company B Productions that use cameras which swoop 30 feet over the audience and 24-hour time-lapse footage of set-building. The site also posts insider news and gossip uploaded by employees.
"When we launched MarcJacobs.com, people were staying just a couple minutes on the site, which is pretty standard," says Mr. Gardner. "We now see that they are spending 10-plus minutes on the site."
In June 2007, unique visitors to Chanel.com, which also posts extra video features, spent an average of 7.2 minutes on the site, up from 4.4 minutes the previous year, according to comScore World Metrix.
But even Mr. Jacobs, the online trendsetter in the industry, must continue to add new features to his site to maintain an edge. According to an industry source, one prominent designer is planning on streaming live video -- a first -- during New York Fashion Week this September.
"We're now experimenting with ways to make video a much bigger part of sites with products, [such as] showing videos of the products being worn or moving around," says Mr. Gardner. "[Designers] have seen that not only does [marketing online] not damage their brand, it's a critical success factor for going forward."
Write to Elva Ramirez at [email protected]
Maybe it will help keep prices from spiraling out of control. Thanks for posting the article, ilaughead!
