As clearly showed in the Reports by L2, the Travel Business has, for the moment, the higher digital IQ. The numbers in various statistics point to that: Companies in the “Genius” status, online sales and even number of Facebook’s likes. In the Travel industry 93% of the companies offer online booking, either in their own website or in third party websites like Booking .com. This resulted in more than 50% of the online reservations, a number achieved only 3 years ago, for the first time ever. As a result, Travel companies are investing a lot in Google search, a tool that the Luxury Industry is yet to discover.
In the Luxury Industry, only two Brands managed to hold on to their Genius Standing, Louis Vitton and Ralph Lauren. However, that picture can quickly change as brands like Gucci, Hugo Boss and Burberry are pursuing the successful path of their Genius friends. Tiffany & Co.’s Engagement Ring Finder is an free app for iPhone downloaded not only by anxious fiancées to be, but also by fans of the brand, already married or not. Such thing as a simple app is a powerful way for brand to connect to the consumer. Preview off the app here
But the fail in Digital IQ of brands like Chopard (61 ponts in 2010), synonym of Luxury, show that this Industry has a long path before achieving number like the Travel Industry.
Many of these luxury brands are reluctant to use strategies in social networks because they think it is a "mass communication", where they would be giving their sophisticated and unique product as popular. However, this scenario is changing and the tendency is that these luxury brands will have as a priority to develop strategies in online channels.
It is important to understand that life online is a reality and that no company can ignore, no matter the type of product, it is critical to any business. The important thing is the Luxury Industry understand that in addition to their efforts in physical channels (which is also super important) it is essential the effort in digital channels, because that's where everyone is. Nonetheless, all channels - digital and physical - should reflect the same image positioning strategy.
The Top 3 Travel:
DELTA AIRLINES
SOUTHWEST
AMERICAN AIRLINES
The Top 3 Travel brands all know how to use the web to connect with their clients and clients to be. They are all present in most social medias and uses this medias to communicate with the customers. Delta uses Twitter to assist their passengers. They give the felling to the user that if they make part of their social network, he will be rewarded.
Top 3 Luxury:
COACH
RALPH LAUREN
LOUIS VUITTON
The 3 brands make good use of social media, especially Facebook. Through Facebook they present product, set trends and connect with the customers. Louis Vuitton, for example, joined the Facebook, Twitter and Youtube, where users can share photos, releases, fashion shows and interviews.
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