Sales Lessons From Luxury Retail

What Any Brand or Retailer Can Learn from Luxury Retail Selling

You may think selling a $12,000 Rolex watch requires different skills than selling more common retail goods. Yes, while there may be some variances—based in part on the distinctive demographic profiles of higher-ticket purchasers—the entire retail industry can learn from successful approaches to luxury retail sales.

First, consider these growth trends. Bain estimates luxury spending will grow up to 8% annually through 2030. Also, by 2030, Gen Z will account for up to 30% of luxury market purchases, while millennials will account for up to 55%. This is a diverse customer base! Since luxury buyers also purchase everyday items, their diversity and expectations are indicative of retail consumers as a whole.

Like most shoppers today, the expectations of luxury consumers include things like immersive and memorable in-store experiences. This suggests that retail brands in many categories, whether high-ticket or otherwise, can adopt luxury sales techniques to great success. Here are five that could prove beneficial right now.

1: Assure Guests Feel Special

Superior, hyper-personalized customer service is a hallmark of luxury retail sales. Prospective buyers of luxury and high-ticket items expect to be treated with exceptional respect. They want to be heard and feel appreciated.

Quite often, retail shoppers make certain purchases and choose brands because they reflect the customer’s own sense of purpose and self-worth. This obviates the need to develop meaningful, one-on-one interactions with customers. Retail sales associates should make an authentic effort to understand the customer’s lifestyle and motivations, so they can suggest products and brands that resonate with the customer’s needs and wants.

2: Make the Experience Magical

In contrast to the cold, impersonal nature of online transactions, physical retailing lends itself to the creation of memorable moments that appeal to human emotions. With high-ticket and luxury items, it’s even more important that customers have an emotional connection with the product or brand. From the moment the customer walks into the store… as they browse and look and touch… and as they interact with products—either through interactive displays, conversations with sales associates, or both—there is an opportunity to create an experience that allows the brand to sparkle, create a memorable connection, and create an indelible mark on the customer’s mind and heart.

3: Train Sales Associates to Take a Consultative Sales Approach

Sales associates’ handling of luxury customers is the root cause of success—or failure—of the customer experience. Because of the broad sweep of information available online, by the time customers come into a physical store—regardless of their background or what they are searching for—they are seeking product specifics, feature comparisons, and personalized recommendations that go beyond what they have already researched.

Pressuring a customer to buy or focusing on closing a transaction can doom a sale. In contrast, customers want to be guided toward making their own confident buying decision. This requires a consultative selling approach. Retail associates should assume the role of a brand ambassador or, perhaps guidance counselor. Customer centricity is essential.

Source: retaildoc.com

Luxury sales training should include:
– In-depth product knowledge
– Focus on the customer—who they are, likes and dislikes, motivations and preferences
– Tactics for exceeding customer expectations by delighting and surprising
– Appealing to client emotions
– Refraining from disparaging the competition

4: Add Exclusivity to Your Brand Value Proposition

Luxury brands have an air of exclusivity, and their high perceived value is a key purchasing driver. But the reality is that any brand has the opportunity to enhance its perceived value.

Craftsmanship and high-quality materials may set your brand apart. Also, beyond that, your brand may be associated with support for positive social change or sustainability.  Or it may be positively promoted by a popular influencer.

These are some of the distinctive traits that make brands stand out from their competitors. They:

• Prioritize long-term relationships over short-term sales
• Convey a consistent, visually appealing brand identity
• Meet their customers’ emotional needs
• Innovate to better serve their audiences
• Communicate a strong brand promise

Whether you are selling sports cars or cans of soup, it makes sense to re-imagine how you present and sell in store. Think of it this way: You’re not just selling a can of soup; you’re selling moments of happiness. You’re selling a well-regarded brand that will add health, warmth, and a sense of cozy comfort to your customers’ lives.

5: Establish Meaningful, Long-Term Customer Relationships

In the luxury market, it’s essential to develop long-term relationships with customers. This is because deciding to make a high-end purchase may take longer than a low-cost purchase. And most retailers understand that maintaining connections with customers is critical to creating consumer loyalty for any store or brand.

In this regard, digital communications used effectively and personally can play a key role. Such communications can help build rapport both during the sales process and after the sale.