i'Dior is an idea for the Inside LVMH Program 2018. i’Dior is an in-store app that showcases models wearing latest collections dynamically and virtually interact with the app users.
2. Dior’s
Situation
Analysis
STRENGTHS
WEAKNESSES
THREATS
OPPORTUNITIES
• The excellent shopping experience gains loyal customer at Dior.
• An elite group, top-tier Dior customers can account for more than 30% of total annual
sales. These customers understand the various product lines and typically make large
purchases with each visit to a boutique.
• Christian Dior has a strong legacy of over half a century and strong presence over
various luxury avenues across the world with more than 200 wholly owned points of
sale.
• The concept stores by Christian Dior with each store having a unique theme gives the
brand a unique identity.
• From the primary research at Dior’s flagship store in London. The store manager stated
that Dior can be very busy on weekends, customers might not be happy and satisfied
the the long waiting time to be served.
• Brand awareness is something that the company has to work on. “When asked about
Dior, many customers knew very little about the brand and its heritage,” says a Dior
representative.
• In-store footfall is a challenge that Dior needs to focus on. There are 70% of those who
shop at Dior are not repeat customers (Adobe 2014).
• There are business possibilities that AR will be successful in Dior. AR will likely play an
even more significant role. (Mintel, 2017)
• According to WGSN (2016), retailers and brands are increasingly rolling out AR/ VR
technology across a number of fronts – from entertainment and experience through to
facilitating sales.
• It is believed that technology represents a huge opportunity for designers and luxury
brands if it’s done well, it will certainly be the saviour. Luxury brands are waking up
to how technology can improve the experience of shopping, as well as revive sales.
(Independent UK, 2018)
• There are increased competition as the luxury fashion domain increases.
• Tax changes and currency changes affect Dior’s financial status.
• The global slowdown and recession can decline the luxury market.
3. Today’s
Luxury
Shoppers
• According to Forbes, the experience matters in luxury
industry. The luxury consumer is looking for a unique and
meaningful experience. They want one-of-a-kind, hard-to-
find items that no one else has; and they want to find it in
an environment that isn’t replicated anywhere else.
• The luxury shopping experience for today’s consumers,
who are as impatient as they are demanding. (The
Independent UK, 2018)
• Customers are living in a ‘phygital’ world. They’re
technologically savvy and expect retailers to deliver an
engaging customer experience both online and in-store.
(BBC, 2017)
4. i’Dior
AIMS
OBJECTIVES
• To brings shoppers to a new digital dimension when shopping in physical store.
• To provoke customers’ shopping desire and curiosity by browsing products through
Augmented Reality interacting experience.
• To identify customer shopping preferences and delivers service efficiency of the
luxury shopping journey while maintains the physical and sensory interaction between
customers and Dior.
• To generate extra 40% footfall in the first two quarters of the launch.
• To increase brand awareness by adopting a fun, innovative and immersive in-store
application using AR.
• To increase the efficiency of identifying customers preferences and to constantly deliver
excellence.
• To increase the brand loyalty and customer satisfaction toward products and services
by adopting live-like digital presentation and the concise customer service.
5. What is
i’Dior
Who is
i’Dior
targeting
i’Dior is an in-store app that showcase models wearing latest collections dynamically and
virtually interact with the app users. Unlike a virtual fashion show on the app, it is more of
an interaction on a personalised level. By walking around the store, observing all details
on the men, women and haute couture collections, in-store users are able to click on the
fashion piece they are interested in to read more information on the product (description,
craftsmanship and product story). Furthermore, by adding the favorite piece to the virtual
‘Fitting Room’, the next available sale assistant will get a notification on their system and
bring the item to you. The time is efficiently used by both consumer and the company,
leading to a positive impact on ideal customer satisfaction rate and Unit Per Transaction.
i’Dor is targeting Dior’s original existed and potential customers.
The creation is based on the existing operational model, enhancing and transforming
the customer service into an immersive one in order to effectively identify and solve
the customer struggles throughout the shopping journey.
6. By conducting primary research
in the Dior flagship on Bond
Street, one challenge is identified
that most in-store consumers
are dissatisfied with the waiting
time during the busy hours. The
consumer most of times find it time-
wasting and disappointing and this
problem is found and experienced
in most luxury retailers such as Louis
Vuitton, Gucci and Burberry.
In-store footfall is the second
challenge that Dior needs to
focus on. There are 70% of those
who shop at Dior are not repeat
customers (Adobe 2014). This is
an opportunity to market to these
individuals, specifically by engaging
with technology, attracting them to
come back to the store and get the
digital experience which customers
cannot find it outside the store.
The store manager at Dior Bond
Street mentioned the brand
values their relationship between
customers and staffs. “We want
our sale assistants talk to customer
directly, have a proper conversation
when customers shop at Dior.” Dior
aims to provide physical shopping
experience but also ‘phygital’
experience. The manager also
stated that some customers do not
know well about the history or story
either about the Dior/ the product.
To stand out from the competition,
i’Dior is going to enhance its value
proposition and customer loyalty by
offering the most comfortable and
customised shopping pace for every
users. Fully utilise the waiting time
to obtain more collection stories
and product knowledge as well as
pre-arranging the wanted items into
the virtual fitting room, consumer
is going to enjoy this unforgettable
shopping experience, which will
largely increase the in-store footfall,
customer satisfaction and brand
loyalty.
Why is
i’Dior
necessary
7. How does it work1. Discover
i’Dior is available to download on
App Store and Google Play for
free. Once customer downloaded
the augmented application, they
can easily sign up their basic
information, then freely access
the app by using their personal
devices.
2. Browse
By using the camera on their
personal devices, shoppers can
see a lively illusionary and virtual
view of models wearing the
collections in a physical shopping
environment while they are waiting
to be served. This allows users to
browse product in 360 degrees
from the latest runway pieces
with their personal devices. This
allows users to explore the new
collections while the models
walking around the shop floors
virtually.
3. Explore
This digital creation is embedded
in Dior’s flagship store which
includes haute couture line on the
first floor, women ready-to-wear
line on the second floor and men
ready-to-wear line on the ground
floor. Once shoppers see some
product they like, they can freely
pause the moving runway models
and click the product to read more
information such as its description,
craftsmanship and product story.
4. Virtual
Fitting Room
i’Dior allows app users select
the size of products that they
want to try on and put them in
a virtual fitting room which is a
communication tool between
the customer and sale assistants.
Before approaching the
customers, sales assistant can read
the customers’ interested pieces
and get the the selected products
prepared which makes the luxury
shopping experience speedy,
efficient and personalised.
8. i’Dior
Marketing
Tactic
A DI AAWARENESS DESIREINTEREST ACTION
Spreading the launch
of i’Doir by using email
marketing, social media
marketing and PR three
weeks before the app is
available to download.
Sending a direct
newsletter with the link
to let targeted customers
access to the download
page on Google Play
or Apple Store as well
as with a thorough
educative and visual
guideline.
i’Dior is bringing the
customer to experience
a high-tech level of
excellent shopping
sensation.
Customers can spend
their waiting time
exploring and interacting
with the models who will
be wearing the latest
collections in a physical
shopping environment
before getting to talk to
the sale associate.
Offering free download
and exclusive Augmented
Reality experience in
Dior’s physical store.
Sharing introduction and
reviews about the app
experience on Dior Mag
(website and app) in order
to send the exciting news
to targeted customers.
1. Gaining information
by visiting www.dior.
com/diormag/en_gb or
applications such as Dior
Mag/ Dior TV for more
information.
2. Engaging in email,
website and landing
pages.
3. Downloading the i’Dior
app and get the excellent
shopping experience in-
store.
4. Purchasing Dior’s latest
products in-store and
having brand loyalty and
awareness increased.