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  1	
  
Università	
  Cattolica	
  del	
  Sacro	
  Cuore	
  of	
  Milan	
  
Executive	
  Master	
  in	
  Luxury	
  Goods	
  Management	
  (EMLUX)	
  
Analysis	
  of	
  the	
  Digital	
  strategies	
  of	
  Luxury	
  Brands	
  	
  
in	
  terms	
  of	
  online	
  presence	
  on	
  different	
  media	
  
	
  
	
  
	
   	
   by	
  Ava	
  Mihaylova	
  
  2	
  
CONTENTS
INTRODUCTURY p. 3
LUXURY BRANDS DIGITAL STRATEGIES
Hermès p. 5
Ferragamo p. 12
Prada p. 20
Burberry p. 26
Bulgari p. 34
CONCLUSION OF BRANDS DIGITAL ACTIVITY p. 41
  3	
  
INTRODUCTION
OBJECTIVE
This analysis is an individual project work - a part of EMLUX research, aiming to analyze luxury
brands in terms of strategy on mobile devices and assess the differences – if any – with the
online presence.
All reports indicate the increasing relevance of the use by luxury and fashion brands of digital
and the necessity to be coherent in offering an Omnichannel experience. As we have seen
growing investments by luxury players in terms of online presence and ecommerce, are brands
working across platforms with a consistent strategy?
METHODOLOGY
The participants in this research have to analyze luxury brands by product category: leather
goods, jewellery, apparel, as each participant is assigned to analyze 5 luxury brands, monitoring
the presence of these players on mobile devices and PC.
The analysis entailed 4 dimensions: Reach, Product, Customer care and E-commerce / M-
commerce.
PROCESS
PRELIMINARY
Participants have to study the “Luxury goods – The Digital Frontier: Ready? Steady! Go!” By
Exane Paribas dated and Contactlab (dated Sep. 2014), which has served as a basis for the
elaboration of the report grid, in order to fully understand the elements that needed to be
assessed in relation to the online presence.
1st PHASE
Participants are assigned a pool / cluster of 21 luxury brands and they have to use a
smartphone in order to navigate on the websites of the assigned brands. In doing so, they have
to take notes on different aspects detailed and compared among brands, compiling an excel
grid (quantitative report) and also taking additional notes for the final qualitative report.
Participants have to fill in the same grid with regards to the online presence of the brands,
navigating with a computer as well.
Each participant has to analyze Burberry - the outstanding digital media pioneer, as it is the
industry benchmark.
2nd PHASE
Writing a qualitative report detailing their conclusions (based on the quantitative report),
focusing on the specific strategy of the brands across platforms (mobile and pc) and of the
clusters (if applicable).
3rd PHASE
The data from all the brands will be compared, both among brands and within the clusters, to
assess if there are comparable strategies and the overall direction of the sector in approaching
this media.	
  
  4	
  
This project work analyzes the digital strategy of luxury brands in terms of online presence on
different media, in particular a comparison between mobile and e-commerce channels as part of
the omnichannel imperative for luxury brands.
The project examines nowadays challenges faced by luxury brands in developing successful
digital marketing strategies on the Internet.
In this report are examined and clustered five main luxury brands by product category: Hermès,
Ferragamo and Prada (with a core business – leather goods), Burberry (Apparel) and Bulgari
(Jewelry).
The luxury industry had undergone tremendous changes in the last decade. In particular, the
new inclusive digital environment has made it difficult for exclusive luxury brands to continue to
operate without giving consideration to the wants of the consumer.
Specifically, a paradox exists over demands to be present in the very public growing digital
space while maintaining the exclusive and unattainable image integral to a luxury brand.
The luxury market is expanding rapidly and luxury products sales continue to grow by more than
5 % every year at constant exchange rate. However, in employing marketing tools and
communication channels, such as the Internet, luxury brands face many challenges. One of the
key challenges is bringing an effective translation of the brand identity online. Recently, luxury
brands have considered mobile applications (apps) as an ultimate channel to connect to their
existing and potential clients. However, luxury brands may face a similar challenge in bringing
an effective translation of the brand identity when they employ smartphone applications.
The expansion of the Internet, combined with the rapid penetration of mobile digital technology,
has created an urgent need for marketers to rethink their branding strategies. One of the key
challenges is delivering an effective translation of the brand’s identity through these
applications. Within this context, the greatest challenge faced by the luxury industry is with
employing mobile media branding strategies.
Once known as exclusive to a niche market, luxury brands have now become available to a
mass market as a result of the online environment. This occurrence raises significant problems
for luxury brands with regard to their brand identity and how customers perceive their brand
image.
Another fact is that the distinction between “premium brand” and “luxury brand” has become
blurry nowadays that for some brands is almost impossible to quantify. A question that arises is:
will the luxury brands really qualify the “luxury category” turning more digital?
That is because many luxury brands launch “teaser” products, at much more affordable prices,
in order to attract the new younger clientele.
The research has been undertaken to address the issue of how luxury brands maintain their
niche positioning to appear exclusive, while using platforms designed for the masses and
technology that relinquishes brand control to consumers.
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Hermès was founded in 1837, originally as a purveyor of saddles. The company has a strong
base in the leather goods product category.
The Hermès corporate website, announced a 21% increase in revenue for the 1st quarter of
2015, with a turnover of €2.229 million, as the growth was sustained (22% at current exchange
rates) in 2nd quarter
(http://finance.hermes.com/var/finances/storage/original/application/a07213bd900da59f03bd1bb
86de9e29b.pdf)
Leather goods account for almost half of the company’s revenue. At one time following a
strategy of franchising for increased distribution the company has steadily taken steps to regain
control over its distribution channels and “know-how”. Though publicly traded, the company is
over 60% family-owned.
Bloomberg, quotes 2014 revenue at €4.119 mil. with net income of 859 mil.
(http://www.bloomberg.com/research/stocks/financials/financials.asp?ticker=RMS:FP).
Currently the brand has 315 operating exclusive stores.
	
  
	
  
Corporate Website (E-commerce channel)
http://www.Hermès.com (July 31st
2015)
  6	
  
a. Reach
The home page of Hermès features an animated Duc carriage and a sun. Similar to
competitors, Hermès pays homage to its heritage, one of the pillars of luxury branding.
On the same home page visitors find a list of countries where Hermès is sold. Clicking on
most of them yields a page which offers options to visit the online store or “Discover Hermès”.
Most of the countries listed have online stores. Hermès does not have an online store in
China, Korea, Russia, Brazil and Rest of Latin America, but visitors are instead directed to a
store locator page to find a store.
E-commerce is not developed in the countries of the Middle and Far East, Arabic language is
not available either.
A very recent announcement since July 2015 is the upcoming opening of e-commerce stores
in Czech Republic and Portugal in 2015, with a link option for visitors to enter their email
addresses for notification of the e-commerce launch. Portuguese language is not available.
The aesthetic of the site is uncluttered and almost simplistic, with a plain background, small
text, sketched figures and some titles that appear hand-written. The store locator map also
appears to be hand-drawn and hand-coloured.
The main menu is not visible from the first page of the website and may not be easy to be
found for some customers, instead it’s accessible only if clicking on “Discover Hermès” and
customers can find the menu bar on the left.
Upon electing to “Discover Hermès” the page loads with a grid of thumbnail images, each
representing different aspects of Hermès, from product collections, creativity and
craftspeople to inspiration and interactive customer engaging videos.
The menu has a section “languages” on the top right that directs to a page with list of
countries.
The menu bar includes sections such as “Cultural events” and “Know-how”, as well as
“Surprises” and “Silk”. The site evokes a spirit of adventure and discovery, similar to the
experience at Bulgari website for example. Concepts are presented with a refinement that is
unique to websites for consumer product brands.
The menu has a section “Boutique online” which leads back to the e-store.
b. Product
The online Hermès store maintains aesthetic, simple and clean background for the products,
which are easy to browse and there’s a range of selected products (which changes from year
to year), divided into different categories for women and men (RTW, leather, silk, jewelry,
watches, fragrances, home, equestrian and Petit H - an ever-changing workshop where
materials are collected and then given a new lease of life, it is a marvelous laboratory of ideas
and experimentation where anything and everything can be imagined, tried and created).
Unlike the other brands Hermès does not have eyewear in catalogue. Every product is provided
with multiple images for customer’s ease, product code, price and good description. Payments
could be done through credit and debit card (Visa, Mastercard, AmericanExpress). Purchases
are made in the countries with available online commerce and/or added on the Wishlist marked
as favourite as well.
The website doesn’t provide information for any product category or characteristics, referring the
countries with no online commerce, only the microsite “La Maison de Carrés” has products
description and provides an option to print the product name and reference code and contact
the physical store.
  7	
  
Visitors can choose to navigate to a store locator from any of the product pages in the online
store should they prefer to shop in person.
Upon purchasing online customers are offered delivery in an orange box, tied with a Bolduc
ribbon and there’s a making a gift option with a personalized message and product exchange
option.
The products content could be shared on social medias as Fb, Pinterest, Twitter and Tumblr. It
cannot be sent by e-mail to a friend unlike Burberry’s e-commerce site. There’s no Instagram
sharing available.
Neither products themselves, nor information about them, are presented in an obvious or
overt way. Instead, the site encourages discovery about the inspiration and heritage of
Hermès. For example, when clicking in the left menu bar on “Silk”, a grouping of thumbnail
images appears, linking to interactive videos, one of which is “From Dusk Till Dawn”
(http://lesailes.hermes.com/gb/en/soie_masquée), referring to the brand’s eponymous silk
maxi-twillys scarves and a woman, wearing an eye mask and playing with her scarf in the
city of Paris with a spirit of mystery and inspiration.
Another video “Super H” (http://lesailes.hermes.com/gb/en/579-super-h), features the
voyage of a Carré in vintage silk “Minuit Au Faubourg” – a tribute to Hermès’ birthplace, 24
Faubourg Saint Honoré in Paris and when clicking on a right play button, the scarf changes
it colours.
The message suggests both the artistry of the Hermès silk scarf and exploration, creating
mystery and discovery of the many ways to enjoy one.
Unlike Prada and Ferragamo, Hermès does not appear to post their collection “look books” or
Ad campaigns on their website. The site shares a sense of refinement with the Bulgari
website; it conveys a purpose of providing information, a sense of adventure and
entertainment, and a place to shop, but nothing is too overt or “hard-sell”. The online store
and the site in general set a somewhat light, whimsical atmosphere where visitors are invited
to “Discover” different products.
While Burberry is the digital pioneer, Hermès digital strategy focuses on creating desire and
mystique with their digital interactive content, attributed to the exclusiveness of its famous,
iconic products and what makes the difference with other competitors is the creative content
that is pushed out across channels.
Hermès regularly releases everything from quirky illustrated videos to pop-up e-stores,
associated with the brand’s craftsmanship, setting it apart from many others. Such creativity is
presented in the brand’s virtual pop-up store, the microsite
http://www.lamaisondescarrés.com Lamaisondescarrés.com, dedicated to silk scarves, shawls,
twillys and stoles. Illustrated in typical Hermès style by Pierre Marie the virtual pop-up store
looks like a grand house with an intricate interior and a diverse series of characters and
creatures all featured.
The microsite begins with the house’s entrance and as one scrolls downward they are slowly
introduced to the Hermès’ silk collections. There’s a postbox-helicopter, which opens and links
to a newsletter subscription form for new arrivals, sunflowers twisting in the breeze and more.
Room by room a new scarf is seen mixed in with different sized rooms featuring videos,
demonstrations and themes of the scarves, all of which can be ordered and purchased.
  8	
  
La Maison des Carrés interactive microsite: Lamaisondescarrés.com
Hermès has released a social video alongside the microsite that creates a three dimensional
version of the house.
	
  
https://www.youtube.com/watch?list=UUmFOnqrNg-YHLXfdB3GexBg&v=UZ01zIRby8I
This e-commerce site offers a unique ride. It is a store that has a new goal, to show the product
as a work of art, a unique collector's item. It is a business decision according to the profile of
Hermès, a traditional fashion brand that focuses on creativity when it comes to showcase their
products.
There’s no product personalization service available for customers to make them feel more
engaged with the brand, due to Hermès conservative sale policy for inaccessibility, unlike more
niche and innovative brand like Burberry or unlike a traditional brand Ferragamo, which since
last year has been offering personalization / customization services (MTO projects) that have
been changing periodically online.
c. Customer care
Hermès website provides contact service by telephone and e-mail but there’s no live chat
service provided to engage with customers in real time unlike Burberry. There’s a section
“Frequently asked questions” section in four categories: “Hermès products”, “Your order”,
“About Hermès.com”, “About the House of Hermès” that reply to Customer’s main questions for
purchased products and provide indications.
Hermès does not have free shipping service unlike Prada, Ferragamo and Burberry.
Customers are offered to pick up purchased products online only in selected stores within 2-3
working days
(in stores outside France). Express delivery is available with Chronopost within 1-2 working
days in France.
Express delivery outside France is 2 business days for orders placed before 2 pm.
Aftersale service includes complimentary product returns (or exchange), as the withdrawal must
be done within 30 days of the delivery date. After doing the withdrawal, the customer must
return the purchased products within 14 days of the notification of withdrawal. Once the return
package is sent to Hermes.com, the refund is processed within 14 days. It may seem a bit long
and not so comfortable procedure in terms of time.
  9	
  
Hermès store do not offer refunds on any Products purchased on the Site, unlike Bulgari (USA).
This gives an idea that the physical and digital stores are two different channels that are not
integrated. So, the customer care/assistance is not offered across channels, as may be
expected for this range of products.
Customer service offers standard purchase conditions that does not make the client feel the
protagonist in the purchase process.
M-commerce
The mobile commerce of Hermès has a similar content as the e-commerce site.
a. Reach
The geographical coverage of the countries with m-commerce is the same as the brand’s e-
commerce, as there’s the new announcement for the upcoming opening in 2015 of m-
commerce in the Portugal and Czech Republic, and no content is translated yet to Czech
language. Portuguese language is still not available.
The menu bar is down on the left and there is the “Languages” section as customers may
choose and change the languages available, which differs from the e-commerce site, where the
section “language” directs customers to list of countries.
M-commerce is not yet developed and available in Russia, Brazil, Korea, China, it is neither
developed in UAE, the Far and Middle East countries. Also Arabic language is not available.
Instead there’s a link “Discover Hermès”, linking to the menu bar content with videos,
company’s history, “Know How”, “Silks” and etc.
b. Product
Most of the customer engaging and entertaining videos on the brand’s website are available on
the mobile-site too.
Products’ browsing is easy and videos, images and pages loading time is good.
Product range offer and availability is different by countries. For example there’s no RTW m-
commerce (as well e-commerce) in Japan and Australia. The delivery of some items may take
longer by countries.
To make the purchase and proceed with the orders, customers need to login or create an
account. There’s no fast checkout service as offered by Ferragamo for example.
Payments are available with credit and debit cards as the other brands do. No Pay Pal payment
available.
An announcement only on the USA m-site (as well on the USA website) says: “Enjoy
complimentary Ground shipping on all orders placed from July 1-31”.
Upon purchasing on mobile site customers are offered delivery in an orange box, tied with a
Bolduc ribbon and there’s a making a gift option with a personalized message and product
exchange available.
Store credit issued by Hermès physical stores and gift cards cannot be used to purchase
products online.
Hermès maintains a mobile-site that looks like a charming old sketchbook, animated in a nice
way. It is an elegant and nice site, but not enough appealing for the modern tech-savvy
customer.
Most of the videos uploaded on the mobile site load slowlier then on the e-commerce site.
There are no high-definition photos sweeping, spinning or rocketing across the screen.
Hermès does not hire celebrities for brand ambassadors, that’s why there are no testimonials
online as do Burberry or Bulgari in their products promoting videos.
  10	
  
The inaccessible bags most closely identified with the brand’s history — the Birkin and the the
Kelly aren’t even represented.
Ready-to-wear isn’t displayed on models, but on drawings of models. There is no technology to
give a shopper a sense of how the garment might move. Only the microsite “La Maison des
Carrés” has integrated some technology, displaying the movements of the Silks and are
provided customers educating videos with models how to wear the Silks.
Hermès products, aside from its fragrances are not officially sold anywhere online aside from
the brand’s own site.
Smarth phone Apps
There’s also a link to download two of the brand’s apps on App Store or Google Play.
The first app, called Silk Knots, is a how-to guide on 24 different ways to tie your scarf
through images and videos. There’s also “Maxi Twilly” video (educating the customer how to
play with the silks and use them) and a new video release “New Knots” with a new content,
referring the App, available on mobile site, also on the website.
The second, the Tie Break app (To help you take a break from the harsh realities of office,
airport or public transport, or even a dull date), is aimed at men to turn formal dressing into
fun and includes a variety of GIFs, cartoons and animated tie designs, tie-tying tutorials.
Customers can explore different tie looks, learn how to various tie knots, see how tie patterns
look on their current shirt, play fun ‘tie breaks,’ and view the process through which Hermès ties
are made, all this is far more interactive and immersive experience.
c. Customer care
Customer care service is the same as on the e-commerce site.
Hermès mobilesite provides contact service to answer customer questions by telephone and e-
mail form but there’s no live chat service available unlike Burberry.
Below the menu with product categories, “Customer service” link is placed down on the left on
the mobile page and leads to Hermès contact information, a menu with: “Contact us” form by
email, “Frequently asked questions”, General Terms and Conditions of Sale”, “Privacy policy”,
“International Warranty of Hermès watches” and etc.
Customer service telephone number with orange font is visible and placed at the bottom of the
page.
No free shipping service is offered to customers unlike Prada, Ferragamo and Burberry.
Customer order may be placed also by phone from Monday to Friday. Products purchased
online may be picked up complimentary only in selected stores within 1-3 working days and
  11	
  
customer may designate a third party to come and collect the order. Customers have three
weeks to collect their order in store after being informed by email for the delivery.
Express delivery services are the same as on the e-commerce site. Return policy is the same
as on the e-commerce site and may be a bit long in time as a procedure, and not so easy.
In general customer assistance offered on the mobile site is quite standard and customer is not
offered any special assistance or service. This does not make feel customer the most important
in the purchase process.
Summary
	
  
Hermès appears to be following a digital strategy, which mirrors many of the traditional
tactics of luxury fashion brands. Hermès has official pages on Facebook, Google +, Youtube,
Tumblr, Pinterest and Instagram.
It has no Twitter followers because it’s not present on the social media, which is about
personalities and celebrities and Hermès is not. The company does not encourage fans to
engage on Fb, neither responds to comments. There’s no interaction between the brand and
customers.
Hermès clearly trades on the heritage and craftsmanship of the brand, and presents a very
controlled, careful image in their digital efforts. Their products very much have an air of
exclusivity and inaccessibility. Hermès have made investments within their marketing plans to
demonstrate the heritage, fine craftsmanship and creativity of their products, in order to
educate consumers on the value within their products and combat the barrage of counterfeit
goods on the market.
Hermès digital strategy for online sales is with a focus on more important for the brand
markets, which is coherent with the brand’s corporate strategy for exclusivity and
inaccessibility.
The website and m-commerce have many interactive and entertaining videos (e.g. Rallye 24,
Le Parfum de La Maison, Le Banquet – digital dinner party, etc.). Each video features an
artisan such as a leather cutter, glass-maker, etc. and provides a sort of behind-the-scenes
look at what goes into the products. The videos are posted on the company’s Youtube and
Facebook pages.
The company also has a microsite and film, Les Mains D‟Hermès
(http://www.lesmainsdHermès.com), a compilation of the smaller video segments, shown at
various screenings around the world.
Hermès has successfully created a unique experience for visitors to www.Hermès.com
through creativity and entertainment videos, mobile apps and microsites but in terms of
customer digital experience and performance it’s still steps behind other brands like
Burberry.
Hermès is ranked in the middle of the digital competitors map in terms of experience and
service, as competitors have innovated strategies through functionality, technology and
unique engaging and emotional customer experience. With that said, with their digital and
social media efforts clearly aimed at younger tech-savvy consumers it is clear that Hermès
cannot look at the future relying solely on those who already know about the brand; and
digital must be part of the strategy for cultivating the next generation of Hermès consumers.
  12	
  
Salvatore Ferragamo is a luxury brand founded in 1927 by Salvatore Ferragamo, the pioneer in
the women’s shoe industry.
Bloomberg quotes at the end of Dec 2014 revenues of 1331,8 mil. EUR and net income 156.6
mil. EUR.
1. E-commerce channel - website (31th
July 2015)
  13	
  
The home page of http://www.ferragamo.com,	
  has a clean and simple design, with some
appealing images, some of them with a touch of vintage – the first displayed photo that
customer may see is a photo of men shoes on a vintage car – The new MTO project Driver
Loafer (2015) that offers customization to customers. This is a way the brand to engage with
their customers and make the e-commerce appealing to a younger audience and at the same
time retaining Ferragamo’s heritage, history and craftsmanship.
The overall website background is black with white text and top centered menu, with a mix of
warm colours (red, brown, sand and orange) and cold ones (blue, green, purple). There are
photographs from recent Ad campaigns of the new FW 2015, iconic products linking to
products categories and animated Gifs images, targeting younger audience.
The menu font is appropriate but too small that prevents customer from easily read. Items in
the grid are not distributed properly – newsletter, products and store locator are not placed in a
precise way.
Sections aren’t well organized, “Store locator”, “Runway” and “Museum” are at the bottom of
the page. “Museum” is like a microsite and it should be more visible to customers.
There are interesting sections as “Special” which leads to “Buckle collection and “Ferragamo
creations” (iconic and famous female and male shoes, and handbags) that customers may
purchase.
Another section of the main menu is “Legacy” that refers to brand’s history and heritage, and it
contains also sections as “Events” and “News” which would be better for easy website
browsing to be in the main menu bar as single sections. “Legacy” contains a section
“Celebrities” as well, as the brand is known for providing fashion for the glamorous movie
stars, the brand of Celebrities, who are also brand ambassadors.
a. Reach
All the countries listed on the website have online stores, excluding China and Rest of Latin
America (instead customers are invited to shipping to Mexico’s online store).
It’s interesting that Ferragamo has e-commerce developed in Ukraine and it does not exist in
Russia.
E-commerce is not developed neither in Brazil or the countries from the Middle and Far East.
Russian, Arabic and Portuguese languages are not available on the website.
Ferragamo e-commerce is present in Central Europe and in most of the Eastern European
countries with available language only English.
There is not a well visible link for changing the language on the website, instead in the up-right
there is “Shipping to …” (relevant country).
b. Product
Website navigation is fast but surfing the menu might not be so easy if the movement of the
mouse or the touch-pad are not precised, the drop-down menu disappears.
In the product range displayed on the e-commerce site, RTW is not available for sale. Prices
are shown with a mouse over and standard delivery service is free of charge, excluding the
following countries: Turkey, Ukraine and Mexico.
In the bags category, only some items have seasonal sales discounts (July 2015) like some
Fiamma bags (discount of 20% discount) and belts (discount of 20-40%) for example.
Products categories are easy to browse and are provided with multiple images, loading fast.
Products for sale on the Site are in limited amounts.
  14	
  
There’s a short product description with item’s code and customer may choose product colour,
size, width (applicable for shoes), it can be printed or shared on Fb and Twitter or added to
Whishlist. To use the functionality of products Wishlist, customer must login or register. Prices
are visible with a mouse over the product.
There is no link to recommended products to complete the entire look unlike Burberry for
example.
Payments are made exclusively via credit card.
If purchasing an item, customer changes “shipping to relevant country”, the purchase process
starts from the beginning and the making of order is not remembered unlike Burberry e-
commerce site.
If customer wish to purchase in Korea, a membership registration is needed, the rest of
countries with online stores have a login with password or New Customer & Guests do not
need to register but are provided with a a fast checkout, entering just their email.
The e-commerce site offers customization service to customers for some products, which is
available for a certain period of time and changes over time.
In 2014 the e-commerce site started offering female customers customization – Vara & Varina
MTO project that was first available in Asia, later in Europe for a very brief period of time.
Customers could choose shoe color, material, iconic ribbon color, heels color (for Vara), shoe-
plate, size and width, and at the end customer’s initials could be placed on the sole.
Customize your own VARA or VARINA – MTO project
At present customization projects available online are “Personalize your own Fiamma Bag”,
“Customize your own Driver” and “Customize your own Tie”:
  15	
  
“Personalize your own Fiamma Bag”
http://www.ferragamo.com/shop/en/uk//-596385--1
“Customize Your Own Driver”
http://www.ferragamo.com/shop/en/ConfiguratorDriverView?storeId=30151&catalogId=37
055&langId=-1 - /en/uk/driver/62469015050
Clicking on the photo, male customers are leaded to a page, where they can customize their own
Driver Loafer and below on the same page the customer is engaged with the creation of the shoe
through storytelling videos uploaded about the craftsmanship, materials and related to the final
product.
“Customize your own tie” – at the moment available only in-store.
  16	
  
http://www.ferragamo.com/shop/en/uk/mto-ties-uk
The service is only promoted online but making an order is not possible, instead customer is
advised to find the nearest store and is displayed a list of stores in the world, providing the MTO
service.
c. Customer care
Brand contacts are at the bottom of the page, they do not stand out and are not clearly visible
unlike Burberry for example. There’s only customer care telephone number visible in the up-right
on the website. Customer’s order status may be monitored by calling the Customer care phone
number.
Customer questions may be answered by telephone or email from Monday to Friday, there’s no
live chat service available like Hermès, Prada and Bulgari.
Ferragamo has a different delivery policy, terms and conditions by countries.
Orders and Withdrawals
Each confirmed order in Europe is processed within 24 working days in Europe starting on the
working day following the day in which the Client transmitted the Order, which is quite long in
comparison with the same service in USA & Canada. Information about standard and express
delivery is missing online about Ferragamo Europe.
The Standard delivery in USA & Canada is approximately 5-7 business days after shipped, the
expedited delivery – 2 business days, while the overnight delivery is within next day.
Standard delivery service is free of charge (excluding Turkey, Ukraine, Mexico, Malta and
Cyprus).
“Express Saver” delivery in Europe is available only in Western Europe and Croatia.
Customer in Europe can withdraw the order within 14 days from the date of delivery.
In USA & Canada within 30 days, (the returned products must be in their original state and
packaging together with the return form). Shipment costs for returning the products are borne by
Ferragamo if is used UPS courier.
Returns of Sale or Clearance Product(s) and Timepieces must be received by Ferragamo within
ten (10) days from date of delivery. Timepiece returns must be accompanied with their original
warranty booklet. Custom or made-to-order items, Fine Jewelry, and opened Fragrances are
Final Sale and cannot be returned.
  17	
  
When the right of withdrawal is exercised and the products ordered are returned, Ferragamo
reimburses the amounts charged (net of shipment costs) within 14 days of the date of the
returned products in Europe, while in USA & Canada Ferragamo refunds Customer within 30
days.
Ordered products via the Site cannot be returned to any physical shop of Ferragamo, except the
requests referring to watch repair.
Exchanges are accepted only via direct contact with Ferragamo’s Customer care phone
number.
Ferragamo delivery service is not the same worldwide and customer service does not appear
enough fast and comfortable to customers by countries.
The E-commerce channel appears not integrated with the in-store sales channel, as orders
cannot be returned to the stores, unlike some of Prada’s e-stores for example (USA and
Canada).
2. M-commerce channel
a. Reach
The m-site has a desktop version, “Change Country” could be found down on the left, as users
are directed to another page “Change Store” and there’s a “Save” button to confirm, which
makes the browsing not so comfortable. There is not a button or a separate section to choose a
language. The countries with a mobile commerce and available languages bar are the same as
on the e-commerce channel. The m-commerce channel is not developed in the countries of the
Far and Middle East, neither in Asia Pacific region.
b. Product
Internal search engine works only with predefined words, not with every word.
On the mobile version of the site, the top menu sections are “Women”, “Men” and “Girl”, “Special”
and “Legacy” are not visible. There is an option to change the mobile version of the Site with a
Desktop version, which is placed down on the page.
Products range is the same as offered on the e-commerce site. RTW is not available for sale
similar to Prada’s online store. Only some products have seasonal discounts. Prices are visible
and customer can make also a purchase with a fast checkout.
Payments are accepted only via a credit card unlike the other brands.
Mobile site navigation is fast and products browsing easy. The “Wishlist” option is visible only if
the user change to “Desktop version of the site”. Products could be shared to Facebook and
Twitter.
“Customize Your Own Driver” and “Personalize Your Own Fiamma Bag” are available on the
mobile site, while “Customize Your Own Tie” does not exist and it’s not even mentioned as a
service available in-store like on the e-commerce site. The brand is using testimonials to
promote the new MTO project “Customize Your Own Driver”.
There’s no integrated special technology in the Site, displaying the products or making the
customer experience more appealing for the younger audience.
c. Customer care
“Assistance” section is placed down on the left of the mobile page where the client may require
help by clicking on the link where is provided a telephone number or make an inquiry via email
form, choosing a topic.
There’s no chat service available on the mobile site.
The delivery service and return policy are the same like for the e-store.
  18	
  
Summary
M-commerce site functionality is a bit old-fashioned, it needs improvement for customer’s ease to
navigate better and the uploaded content, should give customers more emotional unique
experience.
Different necessities of customers are not taken into consideration, as they isn’t guided in the
discovery of the Ferragamo world, there’s not enough emotional experience and cannot feel the
protagonist in the purchase process.
The current customization services are not all available online. “Customize Your Own Tie” is
with a Gif animated photo that creates interest and mystery but the is only promoted, and the
service is not available through the e-commerce site.
Ferragamo’s digital strategy tools and content on both e-commerce and mobile commerce
channels are focused on the brand’s heritage, history and traditions.
The Italian footwear and accessories label Salvatore Ferragamo is telling the story of the
brand’s eponymous founder through a fantastical short film showing the designer as a child.
“A Ferragamo Fairy Tale: White Shoe” is a microsite, based on the first shoe that late Mr
Salvatore Ferragamo created, a white shoe for his sister to wear for her first communion, which
he constructed by candlelight. With this 24-minute film, Ferragamo is able to weave a more
intricate story and tell its fans a dramatic version of the label’s early history.
http://whiteshoe.ferragamo.com/ - /homepage
Many brands use microsites to engage consumers in campaigns that tell stories and require
additional content.
The brand’s Ad campaigns in the recent years have been trying to rejuvenate the brand image
with new video campaigns and online customization services.
The Italian footwear and apparel maker feted the 35th anniversary of the label’s iconic Vara
shoes with its first custom offering and a digital photography campaign. Ferragamo’s L’Icona
digital project featured 21 modern women who each wore a custom pair of Vara or Varina shoes
in pictures taken by fine art photographer Claiborne Swanson Frank. The campaign marked the
first time that the two shoe styles were available for custom order.
Another campaign ‘Love Letter to Fiamma’ video to share about Fiamma Ferragamo. The
campaign shows a more personal side to the brand. It gives you a deep sense of the family
commitment to craftsmanship, quality, and to continuing Fiamma’s innate sense of style and
chic.
http://www.nytimes.com/video/t-magazine/100000002859300/a-love-letter-to-fiamma-
ferragamo.html
Ferragamo’s Walking Stories digital campaign in 2013 – social video series, promoted on ad
banner on the New York Times’ mobile website. Featuring the brand’s shoes which was not the
main focus or a tool to increase digital sales but engagement with the brand, narrating a love
story, showing the “soul” of the brand, the long walk of Ferragamo, the brand’s elegant and
classy style.
http://www.luxurydaily.com/ferragamo-uses-mobile-ad-to-engage-consumers-through-social-
video/
Ferragamo is ranked in the middle or below in the competitive digital map. The brand is
grounded in tradition, classic luxury and elegance. Being a traditional luxury brand, similar to
Hermès, the brand is careful in applying digital strategy and tools, trying to preserve its core
  19	
  
values, even it’s been trying to rejuvenate the brand image through new personalization
services and digital video campaigns.
Digital media tools
Facebook page – it’s a channel with mix of contents: from showing new products to views of
Florence, adv campaigns, celebrities, wearing brand products and backstages. The posts are
with HD images and videos, sometimes there’re pics made with smartphone. The level of
engagement with followers is with poor descriptions – linking Ferragamo.com, “Discover the
collection”. They share with followers pictures of celebrities, who have chosen Ferragamo for a
premiere event. Celebrities and models are the most effective way to attract people, therefore
all the most liked posts and sharing is about them. There isn’t interaction between the brand
and the customer similar to Hermès Fb page.
Ferragamo’s Twitter posts are to show new products usually and share photos of celebrities.
For the brand models and celebrities are the most effective instruments to involve followers and
customers. Posts are with HD pics but sometimes with aseptic pics from the e-commerce site.
The tweets are together with images to increase likes and reposting.
YouTube channel is used to advertise mainly products, the brand is trying to create user’s
interest through interviews and backstages, but receives a few comments from users and “likes”
are not much, and there’s almost no video sharing by users. There isn’t interaction between the
brand and the customer.
Instagram account – the brand spirit is truly showed through this social media, thanks to the
“moodboard”, all HD pictures give Ferragamo mood and identity. The content is editorials,
campaigns, catwalks, lifestyle, celebrities. Descriptions of the posts are the same, with the
designer’s name, the collections, products features, but usually the website is not linked.
Instaggram is usually the social media with the highest number of comments, around 40, with a
top of 250. Via Instagram the brand is trying to show its identity and products, posts are
frequent but there isn’t interaction between the brand and the customer.
Pintetest channel is to show mainly new products from campaigns to catwalks. The content is
showcases with brand identity, history and values.
Google + channel is used to show new products, with a focus on menswear trough Ferragamo
YouTube videos
There’s no interaction between the brand and the customer.
Last November 2014 there were some attempts to engage customers with the customization of
the Vara & Varina pumps.
E-commerce and m-commerce channels do not display the whole products range for sale.
There’s no digital fitting room for example or modern technology integrated to showcase the
products or virtual experience to make the customer travel within Ferragamo’s world.
Customer’s engagement is absent on average.
Compared to other innovative brands like Burberry, Ferragamo customers virtual experience
and engagement needs improvement and offering more appealing online page and Site content
to the tech-savvy consumer.
The e-commerce and mobile commerce sites need redesign based on geometry, equilibrium,
founder’s myth, simple and clean lines, pop of red should be present (part of Ferragamo brand
identity).
Every window linked to the Site should have the same layout and allow the customer going
back to the previous page.
Contacts should be highlighted in the layout and must be present and visible (easy to find) from
the beginning of the purchase to payment. Customer experience – push and create interesting
content in a non-intrusive way (omni channel experience). Aspect to emphasize: Ferragamo is
known for different women and men identity, wide range and differentiation of products to reach
a wide range of customers and preferences.
  20	
  
The company was started in 1913 by Mario Prada and his brother Martino as a leathergoods
shop –Fratelli Prada. Bloomberg quotes revenues of 3,551.7 mil. EUR and operating income
450.7 mil. EUR.
1. E-commerce channel - website (31st
July 2015)
a. Reach
The homepage of Prada http://www.prada.com/ has a minimalistic design and the imagery is
nice and appealing.
The menu bar is on the top right, though there are also links on the left of the screen to the e-
store, campaigns, Prada Journal, etc.
Inside the menu below the link to e-store, there’s a language bar as user/ customer may choose
among five main languages: English, Italian, German, Spanish or French. Opposite the
language bar is a list of countries with online e-stores customer may choose.
Chinese, Japanese and Portuguese languages are missing.
  21	
  
Asia Pacific e-store does not have “buy online” service, products images are visible with a short
description, product’s code and a link to find a store or share the item on Fb, Twitter, Tumblr or
Pinterest, and a “print” option does not exist.
Prada’s e-store expansion is not developed in Australia and New Zealand, Brazil or elsewhere
in Latin America, Middle and Far East countries, neither in Russia. Arabic and Russian
languages are not available as well, since Prada e-store does not exist in the relevant countries.
b. Product
E-store is divided in three main categories: Woman, Men, Travel. “Eyewear” and “Fragrance”
are placed separately as sections in the main menu, instead within the e-store, as they are
present as more complex product collections, customer is guided to explore inside the product
ranges, special projects, product film making and backstage, the story creation of the product
lines.
The product category “Bags”, contains “New arrivals”.
Products browsing is fast. RTW is not available for online sale, similar to Ferragamo and unlike
Hermès and Burberry.
RTW is not available for sale online but customers may see links to new FW campaigns.
If we look at the FW 2015 Women’s Show for example, the content is presented on a long
scrollable page with the various images and videos opening up in full screen. It’s all hi-res, looks
very nice, and has prominent social sharing buttons, but there’s little information about the items
other than the imagery.
Within the menu users can access content relating to all of Prada’s previous ranges and ad
campaigns.
It follows the same basic navigation template, with swipeable pages giving access to additional
images and videos via text links on the left of the screen.
The products pages are easy to browse and are consistent with the minimalist design
throughout the site. Products are easy to browse and are provided with multiple high quality
images, loading fast. There’s no description, just a list of product features with the items code.
This might be a missed opportunity for upselling the values of the items. Prices are visible with
a mouse over. Products cannot be printed and cannot be added on a Wishlist, they can be
only shared on Fb, Twitter, Pinterest and Tumblr.
There is no link to recommended products to match styles and different types of items or
accessories and complete the entire look unlike Burberry.
If purchasing an item, customer changes the shipping to relevant country, the purchase is
remembered and does not start from the beginning of the process, unlike Ferragamo’s e-store.
Prada accepts credit cards payments only.
Prada’s checkout is very simple. The shopping cart is an image of the product, the price and
“proceed to purchase” link. The checkout is displayed on a single page, without asking a
registration of account or login for customers. The customers need only to fill in their personal
details and credit card information.
The search engine may be missed as a function and is not easy to find as it’s not placed on the
general e-commerce site page. Search tools are very important for fashion ecommerce sites,
but Prada’s is a bit difficult to find. However when you click the small text link it opens up into a
search box.
Prada doesn’t offer predictive search or spelling corrections. And even when you eventually find
what you’re looking for, there are no filter options to narrow the list down.
Store locator is accessible through the main menu.
In terms of content layout and navigation is easy to explore the different content sections of the
e-commerce site.
  22	
  
Product filters are limited, with only two or three options for each category. For example,
handbags can be filtered based on type, material and color.
There’s no product personalization offered online.
In the menu bar, there’s a section “A future archive” that allows customers to immerse
themselves in Prada’s world between past and future, it contains links to Prada Universe,
Special Projects (The Postman’s dreams, Iconoclasts, short movies, etc).
“The Postman’s dream” is a movie project about brand’s Galleria bag and shows how glorious is
to own Prada’s bag and how a bag may be much more than an accessory :
http://www.prada.com/en/a-future-archive/projects/the-postman-dreams.html
The Iconoclast campaign, hosted on its own subdomain, is different from the rest of the site.
http://www.prada.com/en/a-future-archive/projects/specials/iconoclast-2015.html
  23	
  
Prada gave various designers the chance to create an artistic installation in its stores to
reinterpret the brand’s image. There were four such events hosted in Paris, London, New York
and Beijing during February-April 2015.
For each one Prada has created a series of videos and photo galleries showing the inspiration
behind the installation, how it was set up, and then the celebrity-filled launch parties.
The menu contains also sections as “Fondazione Prada”, “Prada Group”, “Lunarossa”.
Again the content is extremely high quality and built for touchscreens, as it all renders in full
screen and the
navigation is all swipeable.
c. Customer care
Customer care and assistance is difficult to find on the website. It does not exist as a single
section of the menu bar.
The service is available upon checking out a purchase. The only contact with the brand is filling
out an inquiry form, which is very basic as a customer service for a luxury brand. There is no
telephone number provided unlike Hermès, Ferragamo and Burberry. No chat service is
available as well.
Customer assistance is below the average for the industry.
Prada e-store doesn’t have a free shipping service. It’s available only for USA and Canada for
orders more than 3,000 EUR. The express delivery is usually 2 days (it may take from 2 to 4
days). And same /next day delivery is overnight. Saturday delivery is available for USA,
Canada, EU. Deliveries to Japan are made within 3 to 6 working days. Orders cannot be picked
up in store.
Withdrawals, returns, reimbursements:
- Europe: The right of withdrawal must be exercised by the Customer within 14 working days of
the date of delivery of the products to the Customer or to a third party, other than the courier
responsible for delivery, who has been designated by the Customer, filling out a special “return
form”, incl. in the delivery package or other declaration, stating the intent to withdraw.
Price reimbursement of returned products, in accord. with Article 56 of the Italian Consumer
Code, without undue delay and in all cases are done within 14 days of the date on which
PRADA has been informed of the exercise of the right of withdrawal by the Customer and only if
Prada has received the returned product.
- USA & Canada: Customers can cancel their order until the date of shipping for any reason
free of charge. Cancellations made on or after the date of shipping cannot be made and
customers will be charged the full amount for their order, subject to the following exception:
Excluding pre-order items, if the actual shipment date of their order is delayed by more than 30
calendar days
Products purchased through the Site can only be returned (in their original conditions) within
thirty (30) days from the date of the shipping confirmation, filling out a “return card”, incl. in the
delivery package.
Alternatively customers may return the item/s to any of Prada’s free-standing retail stores in the
United States or Toronto, Ontario Canada for a store credit or exchange your item for another
item in any of our free-standing retail stores in the United States, within thirty (30) days of the
shipping confirmation.
Items exchanges (paying the difference for an item exchange with a higher value or getting a
refund for the difference of an item with a lower value). A return for refund is not available in
store. Store credits are valid for 1 year from the date of issuance and store credits received for
returns originally purchased through the Site are not redeemable for future purchases through
the Site.
  24	
  
The refunds are made by Prada, depending on the credit card policy of the Client, it may be one
or two billing cycles. A specific refund period of time is not indicated on the e-store (it might be
30 or 60 days?).
- Japan: Claims concerning returns must be made within 15 days from the shipped date of the
products to the customer by means of request to be sent to: client.service.jp@prada.com.
Customers must fill out the special “return form”, incl. in the delivery package and return
products must be in theur original conditions and packaging. The “Customer service” will contact
the Client for further instructions on the return products procedure.
Prada covers the shipment costs for return products if the client does not choose other courier
different than Prada’s carrier (shipping partner).
Prada has different return policy by continents, because of national laws (as The Italian
Consumer Code), shipment agreements and procedure. The USA and Canadian customers
may benefit from some better conditions like returning and exchanging products in retail stores.
2. M-commerce channel
a. Reach
Prada’s mobile store geographical coverage by countries is the same as the on the e-store. The
m-store does not exist in Australia, New Zealand, Brazil, Latin America, Far and Middle East
countries. The mobile store version provides five main languages (English, French, Italian,
Spanish and German as on the e-commerce site, Chinese, Japanese, Korean, Portuguese
languages are not provided to reach more potential customers, despite the m-store purchases
are available in these countries.
The menu bar is on the top left and the customer may easily navigate, change country and
choose from the available languages list. Store locator’s link is inside the menu bar.
The mobile version of the online shopping is similar to the e-store version. On the main page
are displayed some appealing images to new FW 2015 campaigns, Prada Journal.
b. Product
Product ranges available for mobile shopping are the same as what provides the e-store
version. RTW is not available for sale like in Ferragamo m-store, customers may see new
collections promoted from the links with new FW 2015 campaigns, which contain very appealing
HD photographs but they have no specific description.
Terms of purchase are available in more than one language by country and are provided also in
German, Dutch, Greek, Portuguese, Japanese languages. In the moment of purchase there’s
no link to the terms of purchase and shipping & returns unlike Burberry.
Not all “New arrivals” items are available for sale in Japan. The “Jewels” section is not available
for online sale in the Canada’s m-store (as well in the e-store).
Products have filter options by type, material and color. The prices are visible with a mouse
over, the products have their own code, size-guide (where applicable), high quality multiple
images and description of some of their features that might not appear enough as information in
the purchase-decision process. The products could be share on Facebook, Twitter, Tumblr or
Pinterest.
c. Customer care
The main menu does not have “customer care or service” option, below the main menu bar, on
the same line for brand’s social media channels, there’s an email icon to subscribe for
  25	
  
newsletter. The only contact provided for customer service is by email. There’s no telephone
number to serve customers during the purchase, unlike Burberry or Hermès online store that
has also a section with “frequently asked questions” information, referring “Your Order”
(products, online shopping, delivery, returns and refunds).
The Customer care is very basic, it might be considered as non-existing online, there’s no client
support during the purchase for possible problems that may occur or giving customers
indications.
Free shipping is offered only to customers in USA and Canada (Toronto) for 1-6 business days.
The express delivery takes 2 business days. Overnight delivery is available in USA and
Canada, such information for Europe is not indicated on the mobile site for example or in the
moment of purchase, there’s no option to choose method of delivery. It’s written that the
delivery takes from 2 to 4 working days. The delivery in the Japanese m-store may take from 3
to 6 working days.
Terms of withdrawals, returns and reimbursements are the same in the e-store and with a
different return policy by continents.
Summary
Prada’s digital strategy is definitely aiming for a simple, stylish website and online store rather
than one that delivers an exciting user experience. The brand is associated with art, innovation,
creativity and modernity and only a few aspects of the artistic side are presented online in a way
to be discovered by the user/ the consumers but they are not guided and inspired within this
experience.
Products on offer have a very basic description, only a few product features. The digital store
seems to be targeted to the modern traditional customer, who knows the brand is renowned and
for Prada may be this customer is not necessary to be convinced with more exciting experience
online, instead super high quality photographs and the product details are supplied in a
straightforward, easy to consume way. This luxury costumer prefers the convenience of
purchasing online, and saving the unnecessary trip to the store. Therefore Prada does not offer
standard multi-channel service “click & collect in store”, that might be a great opportunity for
upselling but it’s a service not so typical for the high-end brands (Hermès offers similar service
but only in a few selected stores).
Prada’s e-stores are with a focus on well-developed markets (Europe, UK, USA, Canada,
Japan). The available languages online are only five and the geographical coverage with a
shopping online is not developed in many countries with physical shops and important target
markets. In this way Prada is missing an opportunity to reach more potential tech-savvy
customers.
Sections as “Future archive”, “Inside the bag”, “Fragrance” and “Eyewear” projects are
presented online in a non-intrusive way and not enough appealing to engage customers to
travel within Prada’s world.
The mobile store’s content is organized in a good way and easy to browse but many products
are only promoted and with no description, this is a way to create mystique about the products
and provoke desire and it’s consistent with the idea about luxury items’ inaccessibility and keep
high demand on one hand but on the other hand the only way to receive information and access
to a certain product is maybe the physical store.
Prada uses digital social medias like Facebook, Twitter, Instagram and YouTube but customer’s
engagement and interaction is not high. There are posts with the new Eyewear projects, new
FW Ad campaigns by Steven Meisel, photographic campaigns, a creative strategy that helped
gain and double the followers, on Facebook and Twitter but the brand does not interact with
customers, replying to questions.
The lack of digital innovation and experience are a missed opportunity for organic growth.
Prada should match its holistic approach to fashion with its digital strategy and brand image.
  26	
  
Founded in 1856 by Thomas Burberry, the company’s claim to fame was developing the
trench coat, used by WWI British officers. Bloomberg quotes revenues of 2,523 million GBP
and net income of 336 million GBP at the end of 31.03.2015.
1. E-commerce channel (website - 31.07.2015)
  27	
  
a. Reach
On the brand’s e-commerce site are available main Western European languages, Chinese,
Japanese, Korean and Russian languages as well. Arabic language is not provided. Among the
brands analyzed in this report, Burberry is the brand with the highest number of e-stores
available in 44 countries (it covers Western Europe and most of the Eastern European
countries, Middle East most important target markets, Asia Pacific most important markets,
Brazil, USA and Canada.
Similar to the other brands, visitors to http://www.burberry.com are asked to choose their
location and directed to the appropriate site for their country.
The website aesthetic is very appealing, with high quality images from new Ad campaigns, links
to iconic products – signature bags and the trench coat and monogrammed scarves, “New
Arrivals”, easy to find on first page “Free Shipping & Returns” link, “My Burberry” fragrance. It’s
clear that the target is on the young, urban consumer, moving up the career ladder, modern and
digital-savvy, with a keen eye for new trends.
The e-store menu bar is on the top left and very easy to navigate. The “language” bar and
“country” are on the down left part of the menu, and customers may choose easily the e-store
by country, every e-store commerce of which is available in 11 different languages (including
Simplified and Traditional Chinese languages).
There is also a Site Map for a quick view of the Site.
Store locator is visible and easy to find on the top of the page, next to “Customer service”, “My
account” and “Search engine”.
The site seems more intuitive and is more product and customer experience driven than
Hermès, Ferragamo and Prada sites, although it is executed with a very high-end, classy
aesthetic like its competitors.
Burberry site caters to experiential vs. strictly transactional interaction.
b. Product
Product categories are organized for customer’s ease by women, men, children, beauty, the
Trench coat, Scarves.
“The Trench Coat” section includes also “Art of the trench” a link to a social media
campaign – celebrating the street style of the trench coat, photos of women and men in any
colour, any style trench coats shot in all weather; there’s an option to “add your trench” by
uploading a photo.
http://www.artofthetrench.com/
Launched in 2009, the initiative has been much lauded in by marketing and social media
experts as a good example of how to engage the audience by personalizing the experience
and creating a sense of participation with the brand. For instance Hermès’ “J’aime Mon
Carre” campaign in 2010 was widely speculated by blog marketers to be inspired by the “Art
of the Trench”, yet was seen by many as a failed social media initiative due to lack of
interactivity - the site offered neither visitor uploads, nor comments.
There’s also a Bespoke section, featuring the personalization of the Trench coat. The function
was launched first in 2011 and customers used to be able to select the cut, style and colour of
the coat and choose details such as bronze-studded sleeves, bridle leather cuff straps, mink
linings and shearling collars. The finished product was then displayed on the screen, providing
an overall image of what the coat will look like.
  28	
  
In 2013 Burberry Prorsum launched Runway Made-to-order coats and accessories with
smart personalization.
https://www.youtube.com/watch?v=gUD_ZPwiAvk
Burberry Runway MTO with smart personalization
At present the site also features a section entitled “Gifts”, where consumers are able to
personalize scarves, fragrances by adding their initials.
“Shows & Events” with last Runway collections Ad campaigns with video coverage.
The products for sale online are provided with an item’s code, prices displayed, characteristics
as “description” and “details” (unlike Prada) and there is a link to “recommended products”.
The items have “Add to favourites” option which is enabled through login or registration, a
“Add to Wishlist” does not exist.
“Acoustic”, featuring music videos of British talents. With Acoustic, Burberry created a direct
link between itself and the entertainment industry, promoting the notion of a relationship with
the brand, which goes beyond that of purchasing goods, but rather an experience or sort of
entertainment.
A project of Christopher Bailey, Burberry Acoustic features up-and-coming British musical
talent in music videos exclusively filmed for Burberry, often set in iconic British locales, on a
special section of the company website, Facebook page and YouTube. Burberry Acoustic
material is used as a soundtrack for Burberry runway shows.
“My Burberry” – the new Eau de toilet for women digital campaign, engaging customers by
encouraging them to “Create Your Story”, a personalized “My Burberry” with customer’s
initials.
https://uk.burberry.com/my-burberry/
  29	
  
All brand’s product lines are available for sale, unlike Ferragamo and Prada’s e-stores. Orders
might be picked up in store but this service is not available in all countries.
During the purchase process, a section with “Customer service” is displayed with options “call
me back” and “live chat”, which is very functional and it’s the only brand that provides
customer’s assistance in real time and the moment of buying an item. The items may be
shared via Fb, Twitter, Pinterest, Google + and Burberry is the only brand that has an option
“email to a friend”.
c. Customer care
Upon making a purchase, there’s a “Customer service” link on the right of the page with options:
“Call me back” and “Live chat”.
On the top of the page, there’s a section “Customer service” menu sections. Burberry could be
contacted via:
- live chat, “call me back” (customers may leave their numbers and will be called free of charge
immediately or at preferred time), telephone, email (two emails are provided for general
enquiries and tailoring enquiries), Twitter @BurberryService; it contains also “General enquiries”
and “Bespoke enquires” sections with specific emails and telephone numbers for both services;
there’s also “Locating a store” link.
The customer service menu includes sections as: Payment; Shipping; Returns; Frequently
asked questions; Appointments; Live chat and Call me back.
“Appointments” including also tailoring and email and telephone customer service. The Burberry
Tailoring Service allows customer to choose from a range of hand-finished suits, fitted in store
by customer’s personal tailoring specialist and delivered to customer within one week.
The customer service includes also a section “Returns” with all the information about
cancelation of product orders, returned and exchanged items, gift returns, Burberry runway
made-to-order returns and cancelation.
Customer may register his own account online to track his orders and have access to other
services on the e-commerce site.
All the customer service online seems dedicated to assist customer in the best way.
Customer is provided free shipping service like Ferragamo delivery service. The express
delivery is 1-2 days in Europe. The overnight delivery is next day. Saturday delivery is not
provided
Burberry applies a return policy with conditions which are standard and the same in every of
their e-stores in worldwide, similar to Hermès and unlike Ferragamo and Prada.
For orders cancellation, customer is required to contact Burberry by phone as soon as possible
after placing the order.
Product returns are complimentary for all full price items within 30 days of shipping and all sale
items within 14 days of receipt with the original “Returns form” and in their original unused
conditions. Cannot be returned personalized and bespoke items, fragrance and nail polish as
well.
Refunds are made by the provider of customer’s payment method within 7-10 working days.
Currently orders cannot be exchanged online.
Gift returns (excluding personalized and bespoke items) are refunded to the original purchaser
via the original method of payment, as they must be returned within the terms indicated above.
Burberry applies one and the same standard delivery and return policies worldwide, which is
easy, very comfortable for consumers, compared to other brands’ customer care.
  30	
  
“Customer service” policy is completely developed with attention to customer, the customer
experience online is not just buying a product and making a transaction, but engaging and
associating with the brand, feeling a part of it. It’s the only brand that provides customer care
with such a high number of different services available 24 hours, 7 days/week.
Mobile-commerce channel
a. Reach
Burberry’s mobile site has very appealing Ad banners and images, and consumer is invited to
discover new FW collections and personalized products (like “My Burberry”). This is a way to
connect with customers and encourage engagement and new immersive experience.
The menu is on the left and very easy to navigate. Mobile commerce is developed in the
countries with e-stores.
Customers may easily change language and country preferences from the menu bar. Choosing
a specific e-store by country, 9 different languages + 2 different Chinese languages (traditional
and simplified) are provided to ease customer and reach more potential ones, it’s a similar to
Prada’s online store function (with the only difference that Prada provides five languages only).
The mobile version of the online store has very attractive Ad campaigns images, which may
inspire customers to shop suits or scarves, bags, coats and jackets from the autumn/winter
2015 collection and visit the e-store too and spur conversation, in this way more customers may
be reached and engaged with the brand. It does not give an idea of a simply mobile site to
purchase but it’s about involving emotional customer’s experience through new product
promotions and personalization services, social media microsites.
Store locator finder is accessible through the main menu.
b. Product
The mobile site is optimized, with a very functional menu and links to information. It provides a
fast navigation, high quality images and links to new runway collection with a detailed product
description, used materials, product code, size guide, options to choose colors, size and most of
apparel suits, ponchos, shoes, accessories have a “Made in Italy” label.
The products are provided with a high quality multiple images.
At the moment of purchase, there is a link to recommended products as well to complete the
total look; link to “shipping and returns”; option to share the items on the different social medias,
this is a way to be created “buzz” and more customers to be engaged and inspired to visit the
online store; “Need a help” link at the end of the page leads to a menu list with terms of
payment, shipping, sizes & care, customization (as selective scarves and ponchos), links to
different contacts options.
There’s a link to “More on Bespoke” service with an explanation about payment, shipping and
average delivery time of bespoke items (4-8 weeks). Bespoke items cannot be ordered for
shipment to Russia or China.
Customers can track their orders, order online and collect their order from selected stores only,
as a link to such a service is provided “find a store”.
Some products as fragrance and nail polish, exotic skins and furs cannot be shipped to specific
countries like Australia for example due to national trading restrictions and agreements.
Customers are offered a “Gift packaging” and an option to leave a personalized message like
Hermès does.
Search engine is placed up left on the page.
At the end of the page there’s “Need help” option with links to contact Burberry.
  31	
  
c. Customer care
It’s very nice and engaging to browse Burberry’s products and site is very functional, provided
with all kind of information and on every page there’s a link to ask help and assistance.
Burberry’s mobile site offers customers service available 24h/day, 7 days/week like no other of
the rest of the brands, analyzed in this report.
Burberry may be contacted by telephone number, email: customerservice@burberry.com, tweet
@burberryService, find a store link. Customer service menu is similar to the e-commerce site,
as other available sections are: “Runway and Events; Sizes and Guide; Customization.
Delivery service and return policy conditions are the same as offered by the e-store.
The mobile site appears designed to engage customers and inspire them to travel within
Burberry’s world, to desire and dream through fast in real time service and engaging and
immersive experience. The customer appears to be the total protagonist and at the center of
attention with all that is provided on this digital platform.
Summary
Digital is clearly a large part of Burberry’s marketing mix. Burberry’s website is very functional,
optimized and dynamic. The brand seems to fully understand the digital arena and has
integrated it seamlessly into their overall marketing strategy. Cited by Altagama it’s the brand
with the highest digital customer awareness.
In 2013, L2 ranked Burberry top in class 1st in the luxury apparel category with a digital IQ of
142, followed by Gucci, both were ranked by their digital competence in the category of
“Genius” brands.
Internet searches of keyword strings such as luxury, apparel, social media, online yield
several articles touting the brand as a standout example in the world of luxury apparel.
Only now according to luxurydaily.com, citing L2 report in Dec 2014, Burberry has lost its first
place to Gucci and Coach since its omni-channel efforts could not make up for an outdated
website infrastructure.
Burberry is notably active in the digital arena. Their Facebook page,
http://www.facebook.com/burberry, boasts almost 16 million followers with over. This is
comparable to the Facebook following of a giant brand like Louis Vuitton, (with 17
million followers) and several hundred percent ahead of Hermès (2.2 million followers).
The company also has pages on Twitter, http://www.twitter.com/burberry, and YouTube,
http://www.youtube.com/burberry. On Twitter, Burberry had 4,37 million followers as of July
31, 2015. The brand’s YouTube page has over 178, 598 subscribers (July 31 2015) and
contains videos of runway shows, product collections, makeup and beauty tips and tutorials
and the Acoustic series of music videos. Burberry uses Twitter to tweet about celebrities
wearing Burberry products at public occasions, new product launches, store events and
YouTube videos, including the Acoustic series. The company has Twitter accounts for the
different countries in which it operates as well as the primary account.
The corporate website, http://www.burberryplc.com, lists marketing innovation as a key part of
corporate strategy and mission. The four points listed under marketing innovation all have a
digital element, with the first being the new launch of Burberry.com, described as “a place to
engage, entertain and interact”,the second being leadership in social media, the third point
  32	
  
referring to innovation of fashion shows via digital technology and the final point is further
digitization of the brand.
Clearly the company has embraced the online world as an opportunity to excite and engage
consumers with the lifestyle of the brand.
Many luxury brands are concerned with digital marketing as something they must participate
in, and have seen the opportunity with e-commerce and mobile commerce, yet many brands
have not determined how to make digital a meaningful part of their strategy.
The question is how luxury brands can navigate the digital world successfully without
appearing too accessible or common to maintain the luxury image?
Burberry appears to have successfully crafted a strategy, which speaks to this concern, and
yet what remains exclusive to measure is the true perception of “luxury”. In other words, can
Burberry, prolific as it is online, still be considered a luxury brand?
Burberry’s Facebook page like Hermès does not directly engage with followers on the page.
Posts are primarily invitations to view/purchase products or view videos, as well as postings
of additional photos to the company’s albums. Announcements of new ad campaigns are
posted with details on names of the models, in addition to some behind-the-scenes info.
The page has tabs for both photo and video albums, as well as a page for the Acoustic
music videos.
Burberry’s digital leadership is also evident in their runway shows. The brand set itself apart
by streaming for the first time their fall 2010 collection live at Burberry.com and at Burberry
stores. The company took the personalized experience one step further also for spring 2011
by enabling viewers to click on items as they came down the runway to create a personalized
“look book”. Burberry also added a feature enabling viewers to discuss the show via Twitter
and Facebook. Viewers were able to purchase selected items from the collection within 72
hours of the show for delivery within eight weeks, while the full collection would not be
available in stores for another six months.
Burberry let consumers purchase pieces from its runway show SS 2015 collection online
immediately after the live stream in September 2014. Consumers were able to use Twitter for
the first time to purchase special nail polish collection from the brand as well
(http://www.luxurydaily.com/burberry-makes-fashion-show-livestream-interactive-with-
commerce/). This move provided a digital experience of exclusivity for digital brand loyalists,
since the products were available for a limited time, while also providing Burberry with the
opportunity for advance consumer feedback prior to product release within the broader
marketplace.
One of the recent initiatives of the brand alongside Google Chrome, whereby users could
send customized virtual kisses in Burberry lip colours via a desktop camera or touchscreen
device. The journey of kiss is then “brought to life” via a 3D animation using Google Earth and
Streetview products to chart its progress which was then displayed to the recipient. This
journey then was possible to be shared via Google +.
https://www.thinkwithgoogle.com/campaigns/burberry-kisses.html
  33	
  
A new YouTube functionality at the S/S15 Womenswear show enabled audiences to move
across multiple interlinking videos and pieces of content. ·
Burberry partnered with LINE App offering Japanese users access to the first-ever live stream
on the platform, which allowed them to watch Burberry’s A/W15 Womenswear runway show in
real time.
Burberry also partnered with Twitter to offer users the chance to capture pictures of the A/W15
Womenswear show, live from the runway, from anywhere in the world through Tweetcam.
Music remained central to the expression of the brand, with live performances at Burberry
shows by British talent, including artists featured on the Burberry Acoustic online platform. The
live tracks from the runway shows are available to download on iTunes.
Beauty, the Group’s fifth product division, was an integral feature of the Womenswear shows
with the introduction of exclusive runway looks and the latest nail collections available
immediately following the show through the ‘Runway Made To Order’ service. This was evolved
at the S/S15 show where Burberry was the first brand to sell
Beauty products to consumers in the USA via Twitter’s ‘Buy Now’ functionality.
All Burberry digital campaigns, products and experiences are exclusive, narrative, very
emotional, and immersive and evoke feeling of belonging in the customer and make him feel
special.
On Burberryplc.com (http://www.burberryplc.com/) the firm reports revenue underlying growth
of 11% for the year ended March 2014. Digital innovation would not appear to be hindering
company performance, but the essence of a luxury brand is to be for the privileged few, not
the masses. The brand image does not appear cheapened in any of the digital venues where
it is represented. The taste level and aesthetic is comparable to a Burberry brick and mortar
boutique with everything executed at a high level.
  34	
  
Bulgari - Italian jewelry and luxury goods brand was found in 1884 in Rome by Sotirios Bulgari.
1. E-commerce channel - website (31.07.2015)
  35	
  
a. Reach
Bulgari’s website aesthetic is nice, clean, elegant and visually very appealing, in black and white
colors. There are very appealing photographs with links to new jewelry’s collections as the new
“Diva” collection, Carla Bruni’s photographs as a brand ambassador, and the customer is invited
to find out more on the product designs and guided to travel within the brand’s world.
The menu bar is on the top of the page, and easy to browse.
The language bar link is at the end of page and may appear not so easy to find. Upon clicking
on the link, customer may select an e-store by countries and language.
Burberry’s e-store has several languages available online, including Chinese, Russian,
Portuguese and it’s the only among the five brands (analyzed in this report), that has Arabic
language available.
At present the e-commerce is developed only in USA and Japan. The e-store in the rest of
countries as Europe, Brazil, Korea, China, Hong Kong, Taiwan, Singapore, Qatar, Australia
contains information for products, promotions, new product lines and links to find a store but the
purchases are not available online.
Upon clicking on “Stores” on the top of the page, the customer is directed to a map supported
by Google with the location of all Bulgari stores worldwide and since it’s using cookies,
identifying customer’s location a list with all Bulgari boutiques and authorized retailers by
country is displayed with their addresses, telephone numbers and working hours.
There is not a “go back” option on the e-commerce page that may not appear so comfortable,
browsing different pages.
At the end of the main page, there’re links to “About Bulgari”, “Heritage” and “Press lounge”.
The brand connects to customers through principal social medias like Facebook, Twitter,
YouTube and Instagram. The brand has a lot of interactions with customers, posting and
promoting new product collections, design pieces, sharing photos of celebrities, promoting the
brad or celebrities who have chosen the brand for a premier events.
Bulgari used Facebook to engage customers, giving them a unique opportunity to buy products
on Facebook for a some period of time.
Bulgari is very active also on Twitter and Instagram, posting photos and engaging videos
connects with customers to enhance the shopping experience and create loyalty to the brand.
b. Product
The customer can browse, and purchase a range of items, from jewels to luxury hotel
accommodation alongside Bulgari stores around the world.
The customer can find, compare and purchase products as well as register for gifts and pre-
order products, the e-store is designed to make automated and dynamic recommendations to
customers, based on their behaviour and the buying habits.
Products are organized by categories and emblematic and new collections. On the top right of
the page there are sections : “Join us”, “Wishlist” and “Shopping cart”. Bulgari was one of the
first brands to provide the option for the Wishlist.
Every product displayed is described, the collection to which belongs and an item code.
Products can be filtered by new launches, materials and colour.
The product prices are not indicated, only some of the products in the USA and Japanese e-
stores have their prices visible and can be purchased online.
  36	
  
Instead of prices, upon clicking on the product’s link, customers are invited to visit a store by a
link “find a store” or to download the “product card” description or call the customer service. The
products links may be shared on Facebook, Pinterest and Twitter. The products are provided
with a high quality images, loading fast.
Diva collection - Bulgari is highlighting their product collection with kind of microsite via links to
“Discover” more about the products, with the link displayed on the main page of the Site. The
product line may be filtered by category, colour, gemstones and diamonds.
The Diva collection was inspired by movie stars who wore Bulgari jewels during the glamorous
50s and 60s, including Ava Gardener, Elizabeth Taylor and Italy's most honoured actress
Sophia Loren. The jewels, including decadent necklaces and bracelets, feature a combination of
the rarest coloured gems - a trademark of the renowned Italian jeweler.
http://www.bulgari.com/en-us/diva_video/
The Serpenti collection - At present Bulgari is highlighting their popular “Serpenti” collection
with a microsite dedicated to the handbags and a short video exploring its creation. The short
video further detailing the creation of the bags is located at the bottom of the page. This might
appear difficult for consumers to find it, because it is not readily available on the e-commerce
site.
The “Serpenti” collection is comprised of a number of different models, all of which are featured
on the new microsite where consumers can discover more about them and view different styles
and colors.
There are promotional, customers engaging videos focused on the creation of a “Serpenti”
handbag and the labor that goes into the process, giving customers a behind-the-scenes look at
the collection.
The microsite features three models from the “Serpenti” collection, including the “Serpenti
Forever”, the “Serpenti Scaglie”, and the “Serpenti Hypnotic”. Each of these models has its own
image that consumers can click on to view more styles and colors and discover additional
information.
  37	
  
Other promotional product videos, displayed online: Diagono Magnesium watch
This first proposal for an intelligent luxury watch – the concept of which was presented at
Baselworld 2015 – is the result of a major technological and completely new transformation of
the interaction between the individual and the watch. While preserving the values and codes of
the luxury watch, this is the key that unlocks the door to the functionalities of the age of digital
technology and the physical life of the 21st century.
Diagono Magnesium has a cryptographic chip and invisible antenna which, using NFC
technology (Near Field Communication) enables the watch to transmit a digital certificate to the
Bvlgari Vault application that is already downloaded and set up on the telephone (iOS and
Android systems). The watch simply has to be placed near the smartphone which itself is
equipped with an NFC chip for the application to be activated. Only the owner of the watch has
access to the confidential content that is recorded here with banking level security. To date,
NFC technology is the most secure in the realm of data transmission to the extent that it
requires that the two devices be very close together in order for them to connect, in contrast to
Bluetooth or other wireless technologies.
http://bulgari.wis.watch/
The e-commerce site contains a lot of promotional videos, not only for product promotions but
this is a way to connect effectively with customers, inspire and engage them with the brand,
keep their loyalty and they are very much likely to share the content through social medias. This
has been integrated in the brand’s digital strategy in the recent years.
  38	
  
The e-commerce site menu contains a section as well of Bulgari Hotels. It’s a link to another
website of Bulgari Hotels and Resorts around the world.
c. Customer care
Bulgari provides a customer care by phone and e-mail. The contact service by telephone is
available only for USA and Japanese customers at the moment of purchase.
There’s no live chat option unlike Burberry’s e-store.
The customer service is very standard, there’re only two key e-store with a telephone service.
The customer care does not appear to be main driver for the brand e-commerce and their
expansion.
The customers cannot feel special and there’s no service dedicated to help them and reply their
requests and questions in real time.
“Frequently asked questions” section is missing as well on the e-commerce site.
Free shipping service is available only for USA customers. Express delivery is 2 days and same
day delivery if orders are placed before 12 am, next day delivery if orders are placed after 12
am. Saturday delivery is available only for limited Zip codes.
Customers cannot pick up in-store orders but they can make products returns in stores in USA.
Upon opening the link to “Customer care” at the end of the page, a new pages opens with:
“Customer care Jewelry”, “Recommendation” and “Order information” – the last section about
shipping, payments, return policy is information available only in the USA e-store and the same
section is not accessible or exist upon changing country online from the menu bar.
	
  
Applicable for USA customers: Products purchased online (excluding customized items) may be
returned in their original packaging with the payent receipt within 30 days from the date of
delivery for a refund or exchange. The online purchases may also be returned to any of the
retail boutiques of Bulgari in USA for exchange or boutique credit only.
All items must be shipped pre-paid and insured. Bulgari is not responsible for loss or damage of
returned shipments. All returns and exchanges are subject to a quality assurance inspection
process before they are accepted. Any item with signs of wear, damage, or alteration (e.g. re-
sized by a jeweler other than Bulgari) cannot be accepted.
Gift recipients are entitled to an exchange of equal or greater value only.
2. Mobile-commerce channel
a. Reach
The menu bar is on the top left of the mobile page with links to product categories, the Maison,
Bulgari Hotels, Stores (store locator). There’s a “Join us” section inviting customers to create
their own account.
Links to “About Bulgari”, “Heritage”, “Press Lounge” are placed at the end of the page. The
language bar is at the end of page as well, as customers may choose a country and a language
from the link that opens and is needed by “OK” confirmation.
Bulgari reaches customers through the same social medias as on the website (the e-commerce
channel): Facebook, Twitter, YouTube and Instagram.
The languages available are the same as on the e-commerce site and purchase of some
products are available for USA and Japan. Compared to competitors Bulgari mobile commerce
expansion at present is careful and focused on two most important markets, especially USA.
The brand is using the mobile channel and digital social medias not especially looking to
generate fast digital sales but a long term sales period through making customers “Discover” the
  39	
  
brand and to research the products, know them and purchase limited products online or make
them visit the store. In this sense the brand strategy is consistent with the essence of luxury for
inaccessibility and keeping high customers demand. On the other hand maybe Bulgari is
missing to reach more potential customers and organic growth opportunities, because the main
channel of purchase remains the physical store.
Customers are reached mainly through entertaining and very engaging product videos and
innovations, spreading the voice and the popularity of the brand, increasing brand awareness
and desire for something very unique, special and very exclusive.
b. Product
Browsing product categories is accessible through the main menu on the top left of the page.
The customer is invited to “Discover” new products through engaging promotional videos as the
new Diva jewelry collection, “Eau Parfumée” for men and women.
The products are displayed with qualitative images and product description, options to share the
content on main social medias as Fb, Twitter and Pinterest.
The product presentation is a lot about emotional experience, it’s a very much product focused
site through narrative, appealing and educating customers videos. The customer is invited to
visit the store and download the product card, add the products on the Wishlist than purchasing
online. Bulgari is a brand about high craftsmanship, traditions and exclusivity and these remain
its main strategic drivers.
There’s a “News” section available through the menu, displaying information for new launches
of product collections and it has filters option by month and themes.
The “Maison” section contains information about Heritage, Philantrophy, Know-How, etc.
c. Customer service
The Customer care service on the mobile version of the Site is the same as the e-commerce
one. It has sections: “Customer Care Jewelry” with all the after-sale services available:
Cleaning, Ultrasonic cleaning, Refurbishing, Engraving, Resizing, Earing service, Repairs. Then
follows “Recommendations” sections with tips to customers for protecting and keeping the
jewels.
“Order information” section is available again only for the USA mobile store, including: Placing
orders time; Payment methods (American Express, MasterCard, Visa and JCB; Sales Tax
(charging state, country and local tax where applicable); Packaging, Gift message service,
Modifying or Cancelling orders, Delivery and Returns.
Free shipping is not provided. The express delivery service and Return policy for USA
customers is the same as on the e-commerce site.
USA customers may contact the brand and boutiques by telephone and email enquiry form. The
rest of customers by country may contact the physical stores only, using the Store locator
service.
Browsing the product categories the customers (excluding USA and Japan) may contact the
customer service by e-mail form only.
Yet the Customer Care is very basic, not dedicated to serve customer, compared to other
brands.
Summary
Bulgari is applying a carefully crafted digital strategy of exclusivity, with focus on strong
interaction with customers through the social media channels, encouraging customers loyalty
through engaging promotional videos and links. Customers are guided and inspired to discover
  40	
  
the products and new designer’s pieces, using brand ambassadors, celebrities, new collection
videos, in order to provoke high interest and desire to purchase but shopping online is almost
unavailable, these are inaccessible luxurious products and the customer may add them on the
Wishlist but is invited to find a physical store and purchase there.
There are two key markets for the brand: USA and Japan. The U.S. e-store and the mobile
store are integrated with the in-store as exchanges are allowed in any retail boutique.
Product collection microsites are aesthetically very pleasing, but maybe need simplifying the
navigation.
Bulgari often seeks to provide consumers with plenty of information to aid them in the decision-
making process.
For example, the Italian jeweler aimed to expand consumer knowledge with a promotion that
explored its men’s fragrance range in 2014. Bulgari developed a microsite for Aqua pour
Homme and a new addition to the jeweler’s fragrance offerings, Aqua Amara. The microsite
positioned the two fragrances as worldly elements to help consumers select which scent would
be best for their taste, style and personality.
Additionally, Bulgari works to expand consumers’ knowledge of its heritage, helping them forge
a closer relationship with the brand. In 2014, the Italian jeweler continued to spread awareness
for its ongoing 130th anniversary celebrations with a video series exploring different aspects of
its identity.
On YouTube, rather than a microsite or its primary Web page, Bulgari shared six videos ranging
from its passion for leather goods to the grand opening of a boutique in Rome. Given affluent
consumers’ rushed schedules, Bulgari relied on short films rather than a full-length documentary
to share its message but not bog down its enthusiasts with heavy content.
Having microsites allowed Bulgari to share more information with consumers about the Diva and
Serpenti collections. They are designed to encourage users to follow the story of how the
product collections are conceptualized and made.
With all the above said, Bulgari is in the middle, on the digital competitive map according to
Exane BNP Paribas report 2014. In the category of jewelry luxury brands Cartier and Tiffany
digital engagement activities and online commerce expansion are many steps forward than
Bulgari. The Italian Jeweler seems that is applying more careful digital strategy of limited
product purchases by target markets, similar to that of Chopard in terms of digital sales.
The inaccessibility to purchase brand’s products at present and the lack of personalization
services online do not make the brand enough attractive for the new generation of affluent and
digital-savvy consumers, who prefer the comfort of the online store than the walk to the physical
boutique.
In terms of exclusiveness the brand has been trying to preserve its image, translating its
heritage and craftsmanship into customers educating and engaging videos with the brand story
and its creations, but in terms of new evolving technology the brand should manage to provide
unique customers experiences and integrate it in their marketing-mix strategy.
Digital strategies analysis of luxury brands
Digital strategies analysis of luxury brands
Digital strategies analysis of luxury brands
Digital strategies analysis of luxury brands

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Digital strategies analysis of luxury brands

  • 1.   1   Università  Cattolica  del  Sacro  Cuore  of  Milan   Executive  Master  in  Luxury  Goods  Management  (EMLUX)   Analysis  of  the  Digital  strategies  of  Luxury  Brands     in  terms  of  online  presence  on  different  media           by  Ava  Mihaylova  
  • 2.   2   CONTENTS INTRODUCTURY p. 3 LUXURY BRANDS DIGITAL STRATEGIES Hermès p. 5 Ferragamo p. 12 Prada p. 20 Burberry p. 26 Bulgari p. 34 CONCLUSION OF BRANDS DIGITAL ACTIVITY p. 41
  • 3.   3   INTRODUCTION OBJECTIVE This analysis is an individual project work - a part of EMLUX research, aiming to analyze luxury brands in terms of strategy on mobile devices and assess the differences – if any – with the online presence. All reports indicate the increasing relevance of the use by luxury and fashion brands of digital and the necessity to be coherent in offering an Omnichannel experience. As we have seen growing investments by luxury players in terms of online presence and ecommerce, are brands working across platforms with a consistent strategy? METHODOLOGY The participants in this research have to analyze luxury brands by product category: leather goods, jewellery, apparel, as each participant is assigned to analyze 5 luxury brands, monitoring the presence of these players on mobile devices and PC. The analysis entailed 4 dimensions: Reach, Product, Customer care and E-commerce / M- commerce. PROCESS PRELIMINARY Participants have to study the “Luxury goods – The Digital Frontier: Ready? Steady! Go!” By Exane Paribas dated and Contactlab (dated Sep. 2014), which has served as a basis for the elaboration of the report grid, in order to fully understand the elements that needed to be assessed in relation to the online presence. 1st PHASE Participants are assigned a pool / cluster of 21 luxury brands and they have to use a smartphone in order to navigate on the websites of the assigned brands. In doing so, they have to take notes on different aspects detailed and compared among brands, compiling an excel grid (quantitative report) and also taking additional notes for the final qualitative report. Participants have to fill in the same grid with regards to the online presence of the brands, navigating with a computer as well. Each participant has to analyze Burberry - the outstanding digital media pioneer, as it is the industry benchmark. 2nd PHASE Writing a qualitative report detailing their conclusions (based on the quantitative report), focusing on the specific strategy of the brands across platforms (mobile and pc) and of the clusters (if applicable). 3rd PHASE The data from all the brands will be compared, both among brands and within the clusters, to assess if there are comparable strategies and the overall direction of the sector in approaching this media.  
  • 4.   4   This project work analyzes the digital strategy of luxury brands in terms of online presence on different media, in particular a comparison between mobile and e-commerce channels as part of the omnichannel imperative for luxury brands. The project examines nowadays challenges faced by luxury brands in developing successful digital marketing strategies on the Internet. In this report are examined and clustered five main luxury brands by product category: Hermès, Ferragamo and Prada (with a core business – leather goods), Burberry (Apparel) and Bulgari (Jewelry). The luxury industry had undergone tremendous changes in the last decade. In particular, the new inclusive digital environment has made it difficult for exclusive luxury brands to continue to operate without giving consideration to the wants of the consumer. Specifically, a paradox exists over demands to be present in the very public growing digital space while maintaining the exclusive and unattainable image integral to a luxury brand. The luxury market is expanding rapidly and luxury products sales continue to grow by more than 5 % every year at constant exchange rate. However, in employing marketing tools and communication channels, such as the Internet, luxury brands face many challenges. One of the key challenges is bringing an effective translation of the brand identity online. Recently, luxury brands have considered mobile applications (apps) as an ultimate channel to connect to their existing and potential clients. However, luxury brands may face a similar challenge in bringing an effective translation of the brand identity when they employ smartphone applications. The expansion of the Internet, combined with the rapid penetration of mobile digital technology, has created an urgent need for marketers to rethink their branding strategies. One of the key challenges is delivering an effective translation of the brand’s identity through these applications. Within this context, the greatest challenge faced by the luxury industry is with employing mobile media branding strategies. Once known as exclusive to a niche market, luxury brands have now become available to a mass market as a result of the online environment. This occurrence raises significant problems for luxury brands with regard to their brand identity and how customers perceive their brand image. Another fact is that the distinction between “premium brand” and “luxury brand” has become blurry nowadays that for some brands is almost impossible to quantify. A question that arises is: will the luxury brands really qualify the “luxury category” turning more digital? That is because many luxury brands launch “teaser” products, at much more affordable prices, in order to attract the new younger clientele. The research has been undertaken to address the issue of how luxury brands maintain their niche positioning to appear exclusive, while using platforms designed for the masses and technology that relinquishes brand control to consumers.
  • 5.   5         Hermès was founded in 1837, originally as a purveyor of saddles. The company has a strong base in the leather goods product category. The Hermès corporate website, announced a 21% increase in revenue for the 1st quarter of 2015, with a turnover of €2.229 million, as the growth was sustained (22% at current exchange rates) in 2nd quarter (http://finance.hermes.com/var/finances/storage/original/application/a07213bd900da59f03bd1bb 86de9e29b.pdf) Leather goods account for almost half of the company’s revenue. At one time following a strategy of franchising for increased distribution the company has steadily taken steps to regain control over its distribution channels and “know-how”. Though publicly traded, the company is over 60% family-owned. Bloomberg, quotes 2014 revenue at €4.119 mil. with net income of 859 mil. (http://www.bloomberg.com/research/stocks/financials/financials.asp?ticker=RMS:FP). Currently the brand has 315 operating exclusive stores.     Corporate Website (E-commerce channel) http://www.Hermès.com (July 31st 2015)
  • 6.   6   a. Reach The home page of Hermès features an animated Duc carriage and a sun. Similar to competitors, Hermès pays homage to its heritage, one of the pillars of luxury branding. On the same home page visitors find a list of countries where Hermès is sold. Clicking on most of them yields a page which offers options to visit the online store or “Discover Hermès”. Most of the countries listed have online stores. Hermès does not have an online store in China, Korea, Russia, Brazil and Rest of Latin America, but visitors are instead directed to a store locator page to find a store. E-commerce is not developed in the countries of the Middle and Far East, Arabic language is not available either. A very recent announcement since July 2015 is the upcoming opening of e-commerce stores in Czech Republic and Portugal in 2015, with a link option for visitors to enter their email addresses for notification of the e-commerce launch. Portuguese language is not available. The aesthetic of the site is uncluttered and almost simplistic, with a plain background, small text, sketched figures and some titles that appear hand-written. The store locator map also appears to be hand-drawn and hand-coloured. The main menu is not visible from the first page of the website and may not be easy to be found for some customers, instead it’s accessible only if clicking on “Discover Hermès” and customers can find the menu bar on the left. Upon electing to “Discover Hermès” the page loads with a grid of thumbnail images, each representing different aspects of Hermès, from product collections, creativity and craftspeople to inspiration and interactive customer engaging videos. The menu has a section “languages” on the top right that directs to a page with list of countries. The menu bar includes sections such as “Cultural events” and “Know-how”, as well as “Surprises” and “Silk”. The site evokes a spirit of adventure and discovery, similar to the experience at Bulgari website for example. Concepts are presented with a refinement that is unique to websites for consumer product brands. The menu has a section “Boutique online” which leads back to the e-store. b. Product The online Hermès store maintains aesthetic, simple and clean background for the products, which are easy to browse and there’s a range of selected products (which changes from year to year), divided into different categories for women and men (RTW, leather, silk, jewelry, watches, fragrances, home, equestrian and Petit H - an ever-changing workshop where materials are collected and then given a new lease of life, it is a marvelous laboratory of ideas and experimentation where anything and everything can be imagined, tried and created). Unlike the other brands Hermès does not have eyewear in catalogue. Every product is provided with multiple images for customer’s ease, product code, price and good description. Payments could be done through credit and debit card (Visa, Mastercard, AmericanExpress). Purchases are made in the countries with available online commerce and/or added on the Wishlist marked as favourite as well. The website doesn’t provide information for any product category or characteristics, referring the countries with no online commerce, only the microsite “La Maison de Carrés” has products description and provides an option to print the product name and reference code and contact the physical store.
  • 7.   7   Visitors can choose to navigate to a store locator from any of the product pages in the online store should they prefer to shop in person. Upon purchasing online customers are offered delivery in an orange box, tied with a Bolduc ribbon and there’s a making a gift option with a personalized message and product exchange option. The products content could be shared on social medias as Fb, Pinterest, Twitter and Tumblr. It cannot be sent by e-mail to a friend unlike Burberry’s e-commerce site. There’s no Instagram sharing available. Neither products themselves, nor information about them, are presented in an obvious or overt way. Instead, the site encourages discovery about the inspiration and heritage of Hermès. For example, when clicking in the left menu bar on “Silk”, a grouping of thumbnail images appears, linking to interactive videos, one of which is “From Dusk Till Dawn” (http://lesailes.hermes.com/gb/en/soie_masquée), referring to the brand’s eponymous silk maxi-twillys scarves and a woman, wearing an eye mask and playing with her scarf in the city of Paris with a spirit of mystery and inspiration. Another video “Super H” (http://lesailes.hermes.com/gb/en/579-super-h), features the voyage of a Carré in vintage silk “Minuit Au Faubourg” – a tribute to Hermès’ birthplace, 24 Faubourg Saint Honoré in Paris and when clicking on a right play button, the scarf changes it colours. The message suggests both the artistry of the Hermès silk scarf and exploration, creating mystery and discovery of the many ways to enjoy one. Unlike Prada and Ferragamo, Hermès does not appear to post their collection “look books” or Ad campaigns on their website. The site shares a sense of refinement with the Bulgari website; it conveys a purpose of providing information, a sense of adventure and entertainment, and a place to shop, but nothing is too overt or “hard-sell”. The online store and the site in general set a somewhat light, whimsical atmosphere where visitors are invited to “Discover” different products. While Burberry is the digital pioneer, Hermès digital strategy focuses on creating desire and mystique with their digital interactive content, attributed to the exclusiveness of its famous, iconic products and what makes the difference with other competitors is the creative content that is pushed out across channels. Hermès regularly releases everything from quirky illustrated videos to pop-up e-stores, associated with the brand’s craftsmanship, setting it apart from many others. Such creativity is presented in the brand’s virtual pop-up store, the microsite http://www.lamaisondescarrés.com Lamaisondescarrés.com, dedicated to silk scarves, shawls, twillys and stoles. Illustrated in typical Hermès style by Pierre Marie the virtual pop-up store looks like a grand house with an intricate interior and a diverse series of characters and creatures all featured. The microsite begins with the house’s entrance and as one scrolls downward they are slowly introduced to the Hermès’ silk collections. There’s a postbox-helicopter, which opens and links to a newsletter subscription form for new arrivals, sunflowers twisting in the breeze and more. Room by room a new scarf is seen mixed in with different sized rooms featuring videos, demonstrations and themes of the scarves, all of which can be ordered and purchased.
  • 8.   8   La Maison des Carrés interactive microsite: Lamaisondescarrés.com Hermès has released a social video alongside the microsite that creates a three dimensional version of the house.   https://www.youtube.com/watch?list=UUmFOnqrNg-YHLXfdB3GexBg&v=UZ01zIRby8I This e-commerce site offers a unique ride. It is a store that has a new goal, to show the product as a work of art, a unique collector's item. It is a business decision according to the profile of Hermès, a traditional fashion brand that focuses on creativity when it comes to showcase their products. There’s no product personalization service available for customers to make them feel more engaged with the brand, due to Hermès conservative sale policy for inaccessibility, unlike more niche and innovative brand like Burberry or unlike a traditional brand Ferragamo, which since last year has been offering personalization / customization services (MTO projects) that have been changing periodically online. c. Customer care Hermès website provides contact service by telephone and e-mail but there’s no live chat service provided to engage with customers in real time unlike Burberry. There’s a section “Frequently asked questions” section in four categories: “Hermès products”, “Your order”, “About Hermès.com”, “About the House of Hermès” that reply to Customer’s main questions for purchased products and provide indications. Hermès does not have free shipping service unlike Prada, Ferragamo and Burberry. Customers are offered to pick up purchased products online only in selected stores within 2-3 working days (in stores outside France). Express delivery is available with Chronopost within 1-2 working days in France. Express delivery outside France is 2 business days for orders placed before 2 pm. Aftersale service includes complimentary product returns (or exchange), as the withdrawal must be done within 30 days of the delivery date. After doing the withdrawal, the customer must return the purchased products within 14 days of the notification of withdrawal. Once the return package is sent to Hermes.com, the refund is processed within 14 days. It may seem a bit long and not so comfortable procedure in terms of time.
  • 9.   9   Hermès store do not offer refunds on any Products purchased on the Site, unlike Bulgari (USA). This gives an idea that the physical and digital stores are two different channels that are not integrated. So, the customer care/assistance is not offered across channels, as may be expected for this range of products. Customer service offers standard purchase conditions that does not make the client feel the protagonist in the purchase process. M-commerce The mobile commerce of Hermès has a similar content as the e-commerce site. a. Reach The geographical coverage of the countries with m-commerce is the same as the brand’s e- commerce, as there’s the new announcement for the upcoming opening in 2015 of m- commerce in the Portugal and Czech Republic, and no content is translated yet to Czech language. Portuguese language is still not available. The menu bar is down on the left and there is the “Languages” section as customers may choose and change the languages available, which differs from the e-commerce site, where the section “language” directs customers to list of countries. M-commerce is not yet developed and available in Russia, Brazil, Korea, China, it is neither developed in UAE, the Far and Middle East countries. Also Arabic language is not available. Instead there’s a link “Discover Hermès”, linking to the menu bar content with videos, company’s history, “Know How”, “Silks” and etc. b. Product Most of the customer engaging and entertaining videos on the brand’s website are available on the mobile-site too. Products’ browsing is easy and videos, images and pages loading time is good. Product range offer and availability is different by countries. For example there’s no RTW m- commerce (as well e-commerce) in Japan and Australia. The delivery of some items may take longer by countries. To make the purchase and proceed with the orders, customers need to login or create an account. There’s no fast checkout service as offered by Ferragamo for example. Payments are available with credit and debit cards as the other brands do. No Pay Pal payment available. An announcement only on the USA m-site (as well on the USA website) says: “Enjoy complimentary Ground shipping on all orders placed from July 1-31”. Upon purchasing on mobile site customers are offered delivery in an orange box, tied with a Bolduc ribbon and there’s a making a gift option with a personalized message and product exchange available. Store credit issued by Hermès physical stores and gift cards cannot be used to purchase products online. Hermès maintains a mobile-site that looks like a charming old sketchbook, animated in a nice way. It is an elegant and nice site, but not enough appealing for the modern tech-savvy customer. Most of the videos uploaded on the mobile site load slowlier then on the e-commerce site. There are no high-definition photos sweeping, spinning or rocketing across the screen. Hermès does not hire celebrities for brand ambassadors, that’s why there are no testimonials online as do Burberry or Bulgari in their products promoting videos.
  • 10.   10   The inaccessible bags most closely identified with the brand’s history — the Birkin and the the Kelly aren’t even represented. Ready-to-wear isn’t displayed on models, but on drawings of models. There is no technology to give a shopper a sense of how the garment might move. Only the microsite “La Maison des Carrés” has integrated some technology, displaying the movements of the Silks and are provided customers educating videos with models how to wear the Silks. Hermès products, aside from its fragrances are not officially sold anywhere online aside from the brand’s own site. Smarth phone Apps There’s also a link to download two of the brand’s apps on App Store or Google Play. The first app, called Silk Knots, is a how-to guide on 24 different ways to tie your scarf through images and videos. There’s also “Maxi Twilly” video (educating the customer how to play with the silks and use them) and a new video release “New Knots” with a new content, referring the App, available on mobile site, also on the website. The second, the Tie Break app (To help you take a break from the harsh realities of office, airport or public transport, or even a dull date), is aimed at men to turn formal dressing into fun and includes a variety of GIFs, cartoons and animated tie designs, tie-tying tutorials. Customers can explore different tie looks, learn how to various tie knots, see how tie patterns look on their current shirt, play fun ‘tie breaks,’ and view the process through which Hermès ties are made, all this is far more interactive and immersive experience. c. Customer care Customer care service is the same as on the e-commerce site. Hermès mobilesite provides contact service to answer customer questions by telephone and e- mail form but there’s no live chat service available unlike Burberry. Below the menu with product categories, “Customer service” link is placed down on the left on the mobile page and leads to Hermès contact information, a menu with: “Contact us” form by email, “Frequently asked questions”, General Terms and Conditions of Sale”, “Privacy policy”, “International Warranty of Hermès watches” and etc. Customer service telephone number with orange font is visible and placed at the bottom of the page. No free shipping service is offered to customers unlike Prada, Ferragamo and Burberry. Customer order may be placed also by phone from Monday to Friday. Products purchased online may be picked up complimentary only in selected stores within 1-3 working days and
  • 11.   11   customer may designate a third party to come and collect the order. Customers have three weeks to collect their order in store after being informed by email for the delivery. Express delivery services are the same as on the e-commerce site. Return policy is the same as on the e-commerce site and may be a bit long in time as a procedure, and not so easy. In general customer assistance offered on the mobile site is quite standard and customer is not offered any special assistance or service. This does not make feel customer the most important in the purchase process. Summary   Hermès appears to be following a digital strategy, which mirrors many of the traditional tactics of luxury fashion brands. Hermès has official pages on Facebook, Google +, Youtube, Tumblr, Pinterest and Instagram. It has no Twitter followers because it’s not present on the social media, which is about personalities and celebrities and Hermès is not. The company does not encourage fans to engage on Fb, neither responds to comments. There’s no interaction between the brand and customers. Hermès clearly trades on the heritage and craftsmanship of the brand, and presents a very controlled, careful image in their digital efforts. Their products very much have an air of exclusivity and inaccessibility. Hermès have made investments within their marketing plans to demonstrate the heritage, fine craftsmanship and creativity of their products, in order to educate consumers on the value within their products and combat the barrage of counterfeit goods on the market. Hermès digital strategy for online sales is with a focus on more important for the brand markets, which is coherent with the brand’s corporate strategy for exclusivity and inaccessibility. The website and m-commerce have many interactive and entertaining videos (e.g. Rallye 24, Le Parfum de La Maison, Le Banquet – digital dinner party, etc.). Each video features an artisan such as a leather cutter, glass-maker, etc. and provides a sort of behind-the-scenes look at what goes into the products. The videos are posted on the company’s Youtube and Facebook pages. The company also has a microsite and film, Les Mains D‟Hermès (http://www.lesmainsdHermès.com), a compilation of the smaller video segments, shown at various screenings around the world. Hermès has successfully created a unique experience for visitors to www.Hermès.com through creativity and entertainment videos, mobile apps and microsites but in terms of customer digital experience and performance it’s still steps behind other brands like Burberry. Hermès is ranked in the middle of the digital competitors map in terms of experience and service, as competitors have innovated strategies through functionality, technology and unique engaging and emotional customer experience. With that said, with their digital and social media efforts clearly aimed at younger tech-savvy consumers it is clear that Hermès cannot look at the future relying solely on those who already know about the brand; and digital must be part of the strategy for cultivating the next generation of Hermès consumers.
  • 12.   12   Salvatore Ferragamo is a luxury brand founded in 1927 by Salvatore Ferragamo, the pioneer in the women’s shoe industry. Bloomberg quotes at the end of Dec 2014 revenues of 1331,8 mil. EUR and net income 156.6 mil. EUR. 1. E-commerce channel - website (31th July 2015)
  • 13.   13   The home page of http://www.ferragamo.com,  has a clean and simple design, with some appealing images, some of them with a touch of vintage – the first displayed photo that customer may see is a photo of men shoes on a vintage car – The new MTO project Driver Loafer (2015) that offers customization to customers. This is a way the brand to engage with their customers and make the e-commerce appealing to a younger audience and at the same time retaining Ferragamo’s heritage, history and craftsmanship. The overall website background is black with white text and top centered menu, with a mix of warm colours (red, brown, sand and orange) and cold ones (blue, green, purple). There are photographs from recent Ad campaigns of the new FW 2015, iconic products linking to products categories and animated Gifs images, targeting younger audience. The menu font is appropriate but too small that prevents customer from easily read. Items in the grid are not distributed properly – newsletter, products and store locator are not placed in a precise way. Sections aren’t well organized, “Store locator”, “Runway” and “Museum” are at the bottom of the page. “Museum” is like a microsite and it should be more visible to customers. There are interesting sections as “Special” which leads to “Buckle collection and “Ferragamo creations” (iconic and famous female and male shoes, and handbags) that customers may purchase. Another section of the main menu is “Legacy” that refers to brand’s history and heritage, and it contains also sections as “Events” and “News” which would be better for easy website browsing to be in the main menu bar as single sections. “Legacy” contains a section “Celebrities” as well, as the brand is known for providing fashion for the glamorous movie stars, the brand of Celebrities, who are also brand ambassadors. a. Reach All the countries listed on the website have online stores, excluding China and Rest of Latin America (instead customers are invited to shipping to Mexico’s online store). It’s interesting that Ferragamo has e-commerce developed in Ukraine and it does not exist in Russia. E-commerce is not developed neither in Brazil or the countries from the Middle and Far East. Russian, Arabic and Portuguese languages are not available on the website. Ferragamo e-commerce is present in Central Europe and in most of the Eastern European countries with available language only English. There is not a well visible link for changing the language on the website, instead in the up-right there is “Shipping to …” (relevant country). b. Product Website navigation is fast but surfing the menu might not be so easy if the movement of the mouse or the touch-pad are not precised, the drop-down menu disappears. In the product range displayed on the e-commerce site, RTW is not available for sale. Prices are shown with a mouse over and standard delivery service is free of charge, excluding the following countries: Turkey, Ukraine and Mexico. In the bags category, only some items have seasonal sales discounts (July 2015) like some Fiamma bags (discount of 20% discount) and belts (discount of 20-40%) for example. Products categories are easy to browse and are provided with multiple images, loading fast. Products for sale on the Site are in limited amounts.
  • 14.   14   There’s a short product description with item’s code and customer may choose product colour, size, width (applicable for shoes), it can be printed or shared on Fb and Twitter or added to Whishlist. To use the functionality of products Wishlist, customer must login or register. Prices are visible with a mouse over the product. There is no link to recommended products to complete the entire look unlike Burberry for example. Payments are made exclusively via credit card. If purchasing an item, customer changes “shipping to relevant country”, the purchase process starts from the beginning and the making of order is not remembered unlike Burberry e- commerce site. If customer wish to purchase in Korea, a membership registration is needed, the rest of countries with online stores have a login with password or New Customer & Guests do not need to register but are provided with a a fast checkout, entering just their email. The e-commerce site offers customization service to customers for some products, which is available for a certain period of time and changes over time. In 2014 the e-commerce site started offering female customers customization – Vara & Varina MTO project that was first available in Asia, later in Europe for a very brief period of time. Customers could choose shoe color, material, iconic ribbon color, heels color (for Vara), shoe- plate, size and width, and at the end customer’s initials could be placed on the sole. Customize your own VARA or VARINA – MTO project At present customization projects available online are “Personalize your own Fiamma Bag”, “Customize your own Driver” and “Customize your own Tie”:
  • 15.   15   “Personalize your own Fiamma Bag” http://www.ferragamo.com/shop/en/uk//-596385--1 “Customize Your Own Driver” http://www.ferragamo.com/shop/en/ConfiguratorDriverView?storeId=30151&catalogId=37 055&langId=-1 - /en/uk/driver/62469015050 Clicking on the photo, male customers are leaded to a page, where they can customize their own Driver Loafer and below on the same page the customer is engaged with the creation of the shoe through storytelling videos uploaded about the craftsmanship, materials and related to the final product. “Customize your own tie” – at the moment available only in-store.
  • 16.   16   http://www.ferragamo.com/shop/en/uk/mto-ties-uk The service is only promoted online but making an order is not possible, instead customer is advised to find the nearest store and is displayed a list of stores in the world, providing the MTO service. c. Customer care Brand contacts are at the bottom of the page, they do not stand out and are not clearly visible unlike Burberry for example. There’s only customer care telephone number visible in the up-right on the website. Customer’s order status may be monitored by calling the Customer care phone number. Customer questions may be answered by telephone or email from Monday to Friday, there’s no live chat service available like Hermès, Prada and Bulgari. Ferragamo has a different delivery policy, terms and conditions by countries. Orders and Withdrawals Each confirmed order in Europe is processed within 24 working days in Europe starting on the working day following the day in which the Client transmitted the Order, which is quite long in comparison with the same service in USA & Canada. Information about standard and express delivery is missing online about Ferragamo Europe. The Standard delivery in USA & Canada is approximately 5-7 business days after shipped, the expedited delivery – 2 business days, while the overnight delivery is within next day. Standard delivery service is free of charge (excluding Turkey, Ukraine, Mexico, Malta and Cyprus). “Express Saver” delivery in Europe is available only in Western Europe and Croatia. Customer in Europe can withdraw the order within 14 days from the date of delivery. In USA & Canada within 30 days, (the returned products must be in their original state and packaging together with the return form). Shipment costs for returning the products are borne by Ferragamo if is used UPS courier. Returns of Sale or Clearance Product(s) and Timepieces must be received by Ferragamo within ten (10) days from date of delivery. Timepiece returns must be accompanied with their original warranty booklet. Custom or made-to-order items, Fine Jewelry, and opened Fragrances are Final Sale and cannot be returned.
  • 17.   17   When the right of withdrawal is exercised and the products ordered are returned, Ferragamo reimburses the amounts charged (net of shipment costs) within 14 days of the date of the returned products in Europe, while in USA & Canada Ferragamo refunds Customer within 30 days. Ordered products via the Site cannot be returned to any physical shop of Ferragamo, except the requests referring to watch repair. Exchanges are accepted only via direct contact with Ferragamo’s Customer care phone number. Ferragamo delivery service is not the same worldwide and customer service does not appear enough fast and comfortable to customers by countries. The E-commerce channel appears not integrated with the in-store sales channel, as orders cannot be returned to the stores, unlike some of Prada’s e-stores for example (USA and Canada). 2. M-commerce channel a. Reach The m-site has a desktop version, “Change Country” could be found down on the left, as users are directed to another page “Change Store” and there’s a “Save” button to confirm, which makes the browsing not so comfortable. There is not a button or a separate section to choose a language. The countries with a mobile commerce and available languages bar are the same as on the e-commerce channel. The m-commerce channel is not developed in the countries of the Far and Middle East, neither in Asia Pacific region. b. Product Internal search engine works only with predefined words, not with every word. On the mobile version of the site, the top menu sections are “Women”, “Men” and “Girl”, “Special” and “Legacy” are not visible. There is an option to change the mobile version of the Site with a Desktop version, which is placed down on the page. Products range is the same as offered on the e-commerce site. RTW is not available for sale similar to Prada’s online store. Only some products have seasonal discounts. Prices are visible and customer can make also a purchase with a fast checkout. Payments are accepted only via a credit card unlike the other brands. Mobile site navigation is fast and products browsing easy. The “Wishlist” option is visible only if the user change to “Desktop version of the site”. Products could be shared to Facebook and Twitter. “Customize Your Own Driver” and “Personalize Your Own Fiamma Bag” are available on the mobile site, while “Customize Your Own Tie” does not exist and it’s not even mentioned as a service available in-store like on the e-commerce site. The brand is using testimonials to promote the new MTO project “Customize Your Own Driver”. There’s no integrated special technology in the Site, displaying the products or making the customer experience more appealing for the younger audience. c. Customer care “Assistance” section is placed down on the left of the mobile page where the client may require help by clicking on the link where is provided a telephone number or make an inquiry via email form, choosing a topic. There’s no chat service available on the mobile site. The delivery service and return policy are the same like for the e-store.
  • 18.   18   Summary M-commerce site functionality is a bit old-fashioned, it needs improvement for customer’s ease to navigate better and the uploaded content, should give customers more emotional unique experience. Different necessities of customers are not taken into consideration, as they isn’t guided in the discovery of the Ferragamo world, there’s not enough emotional experience and cannot feel the protagonist in the purchase process. The current customization services are not all available online. “Customize Your Own Tie” is with a Gif animated photo that creates interest and mystery but the is only promoted, and the service is not available through the e-commerce site. Ferragamo’s digital strategy tools and content on both e-commerce and mobile commerce channels are focused on the brand’s heritage, history and traditions. The Italian footwear and accessories label Salvatore Ferragamo is telling the story of the brand’s eponymous founder through a fantastical short film showing the designer as a child. “A Ferragamo Fairy Tale: White Shoe” is a microsite, based on the first shoe that late Mr Salvatore Ferragamo created, a white shoe for his sister to wear for her first communion, which he constructed by candlelight. With this 24-minute film, Ferragamo is able to weave a more intricate story and tell its fans a dramatic version of the label’s early history. http://whiteshoe.ferragamo.com/ - /homepage Many brands use microsites to engage consumers in campaigns that tell stories and require additional content. The brand’s Ad campaigns in the recent years have been trying to rejuvenate the brand image with new video campaigns and online customization services. The Italian footwear and apparel maker feted the 35th anniversary of the label’s iconic Vara shoes with its first custom offering and a digital photography campaign. Ferragamo’s L’Icona digital project featured 21 modern women who each wore a custom pair of Vara or Varina shoes in pictures taken by fine art photographer Claiborne Swanson Frank. The campaign marked the first time that the two shoe styles were available for custom order. Another campaign ‘Love Letter to Fiamma’ video to share about Fiamma Ferragamo. The campaign shows a more personal side to the brand. It gives you a deep sense of the family commitment to craftsmanship, quality, and to continuing Fiamma’s innate sense of style and chic. http://www.nytimes.com/video/t-magazine/100000002859300/a-love-letter-to-fiamma- ferragamo.html Ferragamo’s Walking Stories digital campaign in 2013 – social video series, promoted on ad banner on the New York Times’ mobile website. Featuring the brand’s shoes which was not the main focus or a tool to increase digital sales but engagement with the brand, narrating a love story, showing the “soul” of the brand, the long walk of Ferragamo, the brand’s elegant and classy style. http://www.luxurydaily.com/ferragamo-uses-mobile-ad-to-engage-consumers-through-social- video/ Ferragamo is ranked in the middle or below in the competitive digital map. The brand is grounded in tradition, classic luxury and elegance. Being a traditional luxury brand, similar to Hermès, the brand is careful in applying digital strategy and tools, trying to preserve its core
  • 19.   19   values, even it’s been trying to rejuvenate the brand image through new personalization services and digital video campaigns. Digital media tools Facebook page – it’s a channel with mix of contents: from showing new products to views of Florence, adv campaigns, celebrities, wearing brand products and backstages. The posts are with HD images and videos, sometimes there’re pics made with smartphone. The level of engagement with followers is with poor descriptions – linking Ferragamo.com, “Discover the collection”. They share with followers pictures of celebrities, who have chosen Ferragamo for a premiere event. Celebrities and models are the most effective way to attract people, therefore all the most liked posts and sharing is about them. There isn’t interaction between the brand and the customer similar to Hermès Fb page. Ferragamo’s Twitter posts are to show new products usually and share photos of celebrities. For the brand models and celebrities are the most effective instruments to involve followers and customers. Posts are with HD pics but sometimes with aseptic pics from the e-commerce site. The tweets are together with images to increase likes and reposting. YouTube channel is used to advertise mainly products, the brand is trying to create user’s interest through interviews and backstages, but receives a few comments from users and “likes” are not much, and there’s almost no video sharing by users. There isn’t interaction between the brand and the customer. Instagram account – the brand spirit is truly showed through this social media, thanks to the “moodboard”, all HD pictures give Ferragamo mood and identity. The content is editorials, campaigns, catwalks, lifestyle, celebrities. Descriptions of the posts are the same, with the designer’s name, the collections, products features, but usually the website is not linked. Instaggram is usually the social media with the highest number of comments, around 40, with a top of 250. Via Instagram the brand is trying to show its identity and products, posts are frequent but there isn’t interaction between the brand and the customer. Pintetest channel is to show mainly new products from campaigns to catwalks. The content is showcases with brand identity, history and values. Google + channel is used to show new products, with a focus on menswear trough Ferragamo YouTube videos There’s no interaction between the brand and the customer. Last November 2014 there were some attempts to engage customers with the customization of the Vara & Varina pumps. E-commerce and m-commerce channels do not display the whole products range for sale. There’s no digital fitting room for example or modern technology integrated to showcase the products or virtual experience to make the customer travel within Ferragamo’s world. Customer’s engagement is absent on average. Compared to other innovative brands like Burberry, Ferragamo customers virtual experience and engagement needs improvement and offering more appealing online page and Site content to the tech-savvy consumer. The e-commerce and mobile commerce sites need redesign based on geometry, equilibrium, founder’s myth, simple and clean lines, pop of red should be present (part of Ferragamo brand identity). Every window linked to the Site should have the same layout and allow the customer going back to the previous page. Contacts should be highlighted in the layout and must be present and visible (easy to find) from the beginning of the purchase to payment. Customer experience – push and create interesting content in a non-intrusive way (omni channel experience). Aspect to emphasize: Ferragamo is known for different women and men identity, wide range and differentiation of products to reach a wide range of customers and preferences.
  • 20.   20   The company was started in 1913 by Mario Prada and his brother Martino as a leathergoods shop –Fratelli Prada. Bloomberg quotes revenues of 3,551.7 mil. EUR and operating income 450.7 mil. EUR. 1. E-commerce channel - website (31st July 2015) a. Reach The homepage of Prada http://www.prada.com/ has a minimalistic design and the imagery is nice and appealing. The menu bar is on the top right, though there are also links on the left of the screen to the e- store, campaigns, Prada Journal, etc. Inside the menu below the link to e-store, there’s a language bar as user/ customer may choose among five main languages: English, Italian, German, Spanish or French. Opposite the language bar is a list of countries with online e-stores customer may choose. Chinese, Japanese and Portuguese languages are missing.
  • 21.   21   Asia Pacific e-store does not have “buy online” service, products images are visible with a short description, product’s code and a link to find a store or share the item on Fb, Twitter, Tumblr or Pinterest, and a “print” option does not exist. Prada’s e-store expansion is not developed in Australia and New Zealand, Brazil or elsewhere in Latin America, Middle and Far East countries, neither in Russia. Arabic and Russian languages are not available as well, since Prada e-store does not exist in the relevant countries. b. Product E-store is divided in three main categories: Woman, Men, Travel. “Eyewear” and “Fragrance” are placed separately as sections in the main menu, instead within the e-store, as they are present as more complex product collections, customer is guided to explore inside the product ranges, special projects, product film making and backstage, the story creation of the product lines. The product category “Bags”, contains “New arrivals”. Products browsing is fast. RTW is not available for online sale, similar to Ferragamo and unlike Hermès and Burberry. RTW is not available for sale online but customers may see links to new FW campaigns. If we look at the FW 2015 Women’s Show for example, the content is presented on a long scrollable page with the various images and videos opening up in full screen. It’s all hi-res, looks very nice, and has prominent social sharing buttons, but there’s little information about the items other than the imagery. Within the menu users can access content relating to all of Prada’s previous ranges and ad campaigns. It follows the same basic navigation template, with swipeable pages giving access to additional images and videos via text links on the left of the screen. The products pages are easy to browse and are consistent with the minimalist design throughout the site. Products are easy to browse and are provided with multiple high quality images, loading fast. There’s no description, just a list of product features with the items code. This might be a missed opportunity for upselling the values of the items. Prices are visible with a mouse over. Products cannot be printed and cannot be added on a Wishlist, they can be only shared on Fb, Twitter, Pinterest and Tumblr. There is no link to recommended products to match styles and different types of items or accessories and complete the entire look unlike Burberry. If purchasing an item, customer changes the shipping to relevant country, the purchase is remembered and does not start from the beginning of the process, unlike Ferragamo’s e-store. Prada accepts credit cards payments only. Prada’s checkout is very simple. The shopping cart is an image of the product, the price and “proceed to purchase” link. The checkout is displayed on a single page, without asking a registration of account or login for customers. The customers need only to fill in their personal details and credit card information. The search engine may be missed as a function and is not easy to find as it’s not placed on the general e-commerce site page. Search tools are very important for fashion ecommerce sites, but Prada’s is a bit difficult to find. However when you click the small text link it opens up into a search box. Prada doesn’t offer predictive search or spelling corrections. And even when you eventually find what you’re looking for, there are no filter options to narrow the list down. Store locator is accessible through the main menu. In terms of content layout and navigation is easy to explore the different content sections of the e-commerce site.
  • 22.   22   Product filters are limited, with only two or three options for each category. For example, handbags can be filtered based on type, material and color. There’s no product personalization offered online. In the menu bar, there’s a section “A future archive” that allows customers to immerse themselves in Prada’s world between past and future, it contains links to Prada Universe, Special Projects (The Postman’s dreams, Iconoclasts, short movies, etc). “The Postman’s dream” is a movie project about brand’s Galleria bag and shows how glorious is to own Prada’s bag and how a bag may be much more than an accessory : http://www.prada.com/en/a-future-archive/projects/the-postman-dreams.html The Iconoclast campaign, hosted on its own subdomain, is different from the rest of the site. http://www.prada.com/en/a-future-archive/projects/specials/iconoclast-2015.html
  • 23.   23   Prada gave various designers the chance to create an artistic installation in its stores to reinterpret the brand’s image. There were four such events hosted in Paris, London, New York and Beijing during February-April 2015. For each one Prada has created a series of videos and photo galleries showing the inspiration behind the installation, how it was set up, and then the celebrity-filled launch parties. The menu contains also sections as “Fondazione Prada”, “Prada Group”, “Lunarossa”. Again the content is extremely high quality and built for touchscreens, as it all renders in full screen and the navigation is all swipeable. c. Customer care Customer care and assistance is difficult to find on the website. It does not exist as a single section of the menu bar. The service is available upon checking out a purchase. The only contact with the brand is filling out an inquiry form, which is very basic as a customer service for a luxury brand. There is no telephone number provided unlike Hermès, Ferragamo and Burberry. No chat service is available as well. Customer assistance is below the average for the industry. Prada e-store doesn’t have a free shipping service. It’s available only for USA and Canada for orders more than 3,000 EUR. The express delivery is usually 2 days (it may take from 2 to 4 days). And same /next day delivery is overnight. Saturday delivery is available for USA, Canada, EU. Deliveries to Japan are made within 3 to 6 working days. Orders cannot be picked up in store. Withdrawals, returns, reimbursements: - Europe: The right of withdrawal must be exercised by the Customer within 14 working days of the date of delivery of the products to the Customer or to a third party, other than the courier responsible for delivery, who has been designated by the Customer, filling out a special “return form”, incl. in the delivery package or other declaration, stating the intent to withdraw. Price reimbursement of returned products, in accord. with Article 56 of the Italian Consumer Code, without undue delay and in all cases are done within 14 days of the date on which PRADA has been informed of the exercise of the right of withdrawal by the Customer and only if Prada has received the returned product. - USA & Canada: Customers can cancel their order until the date of shipping for any reason free of charge. Cancellations made on or after the date of shipping cannot be made and customers will be charged the full amount for their order, subject to the following exception: Excluding pre-order items, if the actual shipment date of their order is delayed by more than 30 calendar days Products purchased through the Site can only be returned (in their original conditions) within thirty (30) days from the date of the shipping confirmation, filling out a “return card”, incl. in the delivery package. Alternatively customers may return the item/s to any of Prada’s free-standing retail stores in the United States or Toronto, Ontario Canada for a store credit or exchange your item for another item in any of our free-standing retail stores in the United States, within thirty (30) days of the shipping confirmation. Items exchanges (paying the difference for an item exchange with a higher value or getting a refund for the difference of an item with a lower value). A return for refund is not available in store. Store credits are valid for 1 year from the date of issuance and store credits received for returns originally purchased through the Site are not redeemable for future purchases through the Site.
  • 24.   24   The refunds are made by Prada, depending on the credit card policy of the Client, it may be one or two billing cycles. A specific refund period of time is not indicated on the e-store (it might be 30 or 60 days?). - Japan: Claims concerning returns must be made within 15 days from the shipped date of the products to the customer by means of request to be sent to: client.service.jp@prada.com. Customers must fill out the special “return form”, incl. in the delivery package and return products must be in theur original conditions and packaging. The “Customer service” will contact the Client for further instructions on the return products procedure. Prada covers the shipment costs for return products if the client does not choose other courier different than Prada’s carrier (shipping partner). Prada has different return policy by continents, because of national laws (as The Italian Consumer Code), shipment agreements and procedure. The USA and Canadian customers may benefit from some better conditions like returning and exchanging products in retail stores. 2. M-commerce channel a. Reach Prada’s mobile store geographical coverage by countries is the same as the on the e-store. The m-store does not exist in Australia, New Zealand, Brazil, Latin America, Far and Middle East countries. The mobile store version provides five main languages (English, French, Italian, Spanish and German as on the e-commerce site, Chinese, Japanese, Korean, Portuguese languages are not provided to reach more potential customers, despite the m-store purchases are available in these countries. The menu bar is on the top left and the customer may easily navigate, change country and choose from the available languages list. Store locator’s link is inside the menu bar. The mobile version of the online shopping is similar to the e-store version. On the main page are displayed some appealing images to new FW 2015 campaigns, Prada Journal. b. Product Product ranges available for mobile shopping are the same as what provides the e-store version. RTW is not available for sale like in Ferragamo m-store, customers may see new collections promoted from the links with new FW 2015 campaigns, which contain very appealing HD photographs but they have no specific description. Terms of purchase are available in more than one language by country and are provided also in German, Dutch, Greek, Portuguese, Japanese languages. In the moment of purchase there’s no link to the terms of purchase and shipping & returns unlike Burberry. Not all “New arrivals” items are available for sale in Japan. The “Jewels” section is not available for online sale in the Canada’s m-store (as well in the e-store). Products have filter options by type, material and color. The prices are visible with a mouse over, the products have their own code, size-guide (where applicable), high quality multiple images and description of some of their features that might not appear enough as information in the purchase-decision process. The products could be share on Facebook, Twitter, Tumblr or Pinterest. c. Customer care The main menu does not have “customer care or service” option, below the main menu bar, on the same line for brand’s social media channels, there’s an email icon to subscribe for
  • 25.   25   newsletter. The only contact provided for customer service is by email. There’s no telephone number to serve customers during the purchase, unlike Burberry or Hermès online store that has also a section with “frequently asked questions” information, referring “Your Order” (products, online shopping, delivery, returns and refunds). The Customer care is very basic, it might be considered as non-existing online, there’s no client support during the purchase for possible problems that may occur or giving customers indications. Free shipping is offered only to customers in USA and Canada (Toronto) for 1-6 business days. The express delivery takes 2 business days. Overnight delivery is available in USA and Canada, such information for Europe is not indicated on the mobile site for example or in the moment of purchase, there’s no option to choose method of delivery. It’s written that the delivery takes from 2 to 4 working days. The delivery in the Japanese m-store may take from 3 to 6 working days. Terms of withdrawals, returns and reimbursements are the same in the e-store and with a different return policy by continents. Summary Prada’s digital strategy is definitely aiming for a simple, stylish website and online store rather than one that delivers an exciting user experience. The brand is associated with art, innovation, creativity and modernity and only a few aspects of the artistic side are presented online in a way to be discovered by the user/ the consumers but they are not guided and inspired within this experience. Products on offer have a very basic description, only a few product features. The digital store seems to be targeted to the modern traditional customer, who knows the brand is renowned and for Prada may be this customer is not necessary to be convinced with more exciting experience online, instead super high quality photographs and the product details are supplied in a straightforward, easy to consume way. This luxury costumer prefers the convenience of purchasing online, and saving the unnecessary trip to the store. Therefore Prada does not offer standard multi-channel service “click & collect in store”, that might be a great opportunity for upselling but it’s a service not so typical for the high-end brands (Hermès offers similar service but only in a few selected stores). Prada’s e-stores are with a focus on well-developed markets (Europe, UK, USA, Canada, Japan). The available languages online are only five and the geographical coverage with a shopping online is not developed in many countries with physical shops and important target markets. In this way Prada is missing an opportunity to reach more potential tech-savvy customers. Sections as “Future archive”, “Inside the bag”, “Fragrance” and “Eyewear” projects are presented online in a non-intrusive way and not enough appealing to engage customers to travel within Prada’s world. The mobile store’s content is organized in a good way and easy to browse but many products are only promoted and with no description, this is a way to create mystique about the products and provoke desire and it’s consistent with the idea about luxury items’ inaccessibility and keep high demand on one hand but on the other hand the only way to receive information and access to a certain product is maybe the physical store. Prada uses digital social medias like Facebook, Twitter, Instagram and YouTube but customer’s engagement and interaction is not high. There are posts with the new Eyewear projects, new FW Ad campaigns by Steven Meisel, photographic campaigns, a creative strategy that helped gain and double the followers, on Facebook and Twitter but the brand does not interact with customers, replying to questions. The lack of digital innovation and experience are a missed opportunity for organic growth. Prada should match its holistic approach to fashion with its digital strategy and brand image.
  • 26.   26   Founded in 1856 by Thomas Burberry, the company’s claim to fame was developing the trench coat, used by WWI British officers. Bloomberg quotes revenues of 2,523 million GBP and net income of 336 million GBP at the end of 31.03.2015. 1. E-commerce channel (website - 31.07.2015)
  • 27.   27   a. Reach On the brand’s e-commerce site are available main Western European languages, Chinese, Japanese, Korean and Russian languages as well. Arabic language is not provided. Among the brands analyzed in this report, Burberry is the brand with the highest number of e-stores available in 44 countries (it covers Western Europe and most of the Eastern European countries, Middle East most important target markets, Asia Pacific most important markets, Brazil, USA and Canada. Similar to the other brands, visitors to http://www.burberry.com are asked to choose their location and directed to the appropriate site for their country. The website aesthetic is very appealing, with high quality images from new Ad campaigns, links to iconic products – signature bags and the trench coat and monogrammed scarves, “New Arrivals”, easy to find on first page “Free Shipping & Returns” link, “My Burberry” fragrance. It’s clear that the target is on the young, urban consumer, moving up the career ladder, modern and digital-savvy, with a keen eye for new trends. The e-store menu bar is on the top left and very easy to navigate. The “language” bar and “country” are on the down left part of the menu, and customers may choose easily the e-store by country, every e-store commerce of which is available in 11 different languages (including Simplified and Traditional Chinese languages). There is also a Site Map for a quick view of the Site. Store locator is visible and easy to find on the top of the page, next to “Customer service”, “My account” and “Search engine”. The site seems more intuitive and is more product and customer experience driven than Hermès, Ferragamo and Prada sites, although it is executed with a very high-end, classy aesthetic like its competitors. Burberry site caters to experiential vs. strictly transactional interaction. b. Product Product categories are organized for customer’s ease by women, men, children, beauty, the Trench coat, Scarves. “The Trench Coat” section includes also “Art of the trench” a link to a social media campaign – celebrating the street style of the trench coat, photos of women and men in any colour, any style trench coats shot in all weather; there’s an option to “add your trench” by uploading a photo. http://www.artofthetrench.com/ Launched in 2009, the initiative has been much lauded in by marketing and social media experts as a good example of how to engage the audience by personalizing the experience and creating a sense of participation with the brand. For instance Hermès’ “J’aime Mon Carre” campaign in 2010 was widely speculated by blog marketers to be inspired by the “Art of the Trench”, yet was seen by many as a failed social media initiative due to lack of interactivity - the site offered neither visitor uploads, nor comments. There’s also a Bespoke section, featuring the personalization of the Trench coat. The function was launched first in 2011 and customers used to be able to select the cut, style and colour of the coat and choose details such as bronze-studded sleeves, bridle leather cuff straps, mink linings and shearling collars. The finished product was then displayed on the screen, providing an overall image of what the coat will look like.
  • 28.   28   In 2013 Burberry Prorsum launched Runway Made-to-order coats and accessories with smart personalization. https://www.youtube.com/watch?v=gUD_ZPwiAvk Burberry Runway MTO with smart personalization At present the site also features a section entitled “Gifts”, where consumers are able to personalize scarves, fragrances by adding their initials. “Shows & Events” with last Runway collections Ad campaigns with video coverage. The products for sale online are provided with an item’s code, prices displayed, characteristics as “description” and “details” (unlike Prada) and there is a link to “recommended products”. The items have “Add to favourites” option which is enabled through login or registration, a “Add to Wishlist” does not exist. “Acoustic”, featuring music videos of British talents. With Acoustic, Burberry created a direct link between itself and the entertainment industry, promoting the notion of a relationship with the brand, which goes beyond that of purchasing goods, but rather an experience or sort of entertainment. A project of Christopher Bailey, Burberry Acoustic features up-and-coming British musical talent in music videos exclusively filmed for Burberry, often set in iconic British locales, on a special section of the company website, Facebook page and YouTube. Burberry Acoustic material is used as a soundtrack for Burberry runway shows. “My Burberry” – the new Eau de toilet for women digital campaign, engaging customers by encouraging them to “Create Your Story”, a personalized “My Burberry” with customer’s initials. https://uk.burberry.com/my-burberry/
  • 29.   29   All brand’s product lines are available for sale, unlike Ferragamo and Prada’s e-stores. Orders might be picked up in store but this service is not available in all countries. During the purchase process, a section with “Customer service” is displayed with options “call me back” and “live chat”, which is very functional and it’s the only brand that provides customer’s assistance in real time and the moment of buying an item. The items may be shared via Fb, Twitter, Pinterest, Google + and Burberry is the only brand that has an option “email to a friend”. c. Customer care Upon making a purchase, there’s a “Customer service” link on the right of the page with options: “Call me back” and “Live chat”. On the top of the page, there’s a section “Customer service” menu sections. Burberry could be contacted via: - live chat, “call me back” (customers may leave their numbers and will be called free of charge immediately or at preferred time), telephone, email (two emails are provided for general enquiries and tailoring enquiries), Twitter @BurberryService; it contains also “General enquiries” and “Bespoke enquires” sections with specific emails and telephone numbers for both services; there’s also “Locating a store” link. The customer service menu includes sections as: Payment; Shipping; Returns; Frequently asked questions; Appointments; Live chat and Call me back. “Appointments” including also tailoring and email and telephone customer service. The Burberry Tailoring Service allows customer to choose from a range of hand-finished suits, fitted in store by customer’s personal tailoring specialist and delivered to customer within one week. The customer service includes also a section “Returns” with all the information about cancelation of product orders, returned and exchanged items, gift returns, Burberry runway made-to-order returns and cancelation. Customer may register his own account online to track his orders and have access to other services on the e-commerce site. All the customer service online seems dedicated to assist customer in the best way. Customer is provided free shipping service like Ferragamo delivery service. The express delivery is 1-2 days in Europe. The overnight delivery is next day. Saturday delivery is not provided Burberry applies a return policy with conditions which are standard and the same in every of their e-stores in worldwide, similar to Hermès and unlike Ferragamo and Prada. For orders cancellation, customer is required to contact Burberry by phone as soon as possible after placing the order. Product returns are complimentary for all full price items within 30 days of shipping and all sale items within 14 days of receipt with the original “Returns form” and in their original unused conditions. Cannot be returned personalized and bespoke items, fragrance and nail polish as well. Refunds are made by the provider of customer’s payment method within 7-10 working days. Currently orders cannot be exchanged online. Gift returns (excluding personalized and bespoke items) are refunded to the original purchaser via the original method of payment, as they must be returned within the terms indicated above. Burberry applies one and the same standard delivery and return policies worldwide, which is easy, very comfortable for consumers, compared to other brands’ customer care.
  • 30.   30   “Customer service” policy is completely developed with attention to customer, the customer experience online is not just buying a product and making a transaction, but engaging and associating with the brand, feeling a part of it. It’s the only brand that provides customer care with such a high number of different services available 24 hours, 7 days/week. Mobile-commerce channel a. Reach Burberry’s mobile site has very appealing Ad banners and images, and consumer is invited to discover new FW collections and personalized products (like “My Burberry”). This is a way to connect with customers and encourage engagement and new immersive experience. The menu is on the left and very easy to navigate. Mobile commerce is developed in the countries with e-stores. Customers may easily change language and country preferences from the menu bar. Choosing a specific e-store by country, 9 different languages + 2 different Chinese languages (traditional and simplified) are provided to ease customer and reach more potential ones, it’s a similar to Prada’s online store function (with the only difference that Prada provides five languages only). The mobile version of the online store has very attractive Ad campaigns images, which may inspire customers to shop suits or scarves, bags, coats and jackets from the autumn/winter 2015 collection and visit the e-store too and spur conversation, in this way more customers may be reached and engaged with the brand. It does not give an idea of a simply mobile site to purchase but it’s about involving emotional customer’s experience through new product promotions and personalization services, social media microsites. Store locator finder is accessible through the main menu. b. Product The mobile site is optimized, with a very functional menu and links to information. It provides a fast navigation, high quality images and links to new runway collection with a detailed product description, used materials, product code, size guide, options to choose colors, size and most of apparel suits, ponchos, shoes, accessories have a “Made in Italy” label. The products are provided with a high quality multiple images. At the moment of purchase, there is a link to recommended products as well to complete the total look; link to “shipping and returns”; option to share the items on the different social medias, this is a way to be created “buzz” and more customers to be engaged and inspired to visit the online store; “Need a help” link at the end of the page leads to a menu list with terms of payment, shipping, sizes & care, customization (as selective scarves and ponchos), links to different contacts options. There’s a link to “More on Bespoke” service with an explanation about payment, shipping and average delivery time of bespoke items (4-8 weeks). Bespoke items cannot be ordered for shipment to Russia or China. Customers can track their orders, order online and collect their order from selected stores only, as a link to such a service is provided “find a store”. Some products as fragrance and nail polish, exotic skins and furs cannot be shipped to specific countries like Australia for example due to national trading restrictions and agreements. Customers are offered a “Gift packaging” and an option to leave a personalized message like Hermès does. Search engine is placed up left on the page. At the end of the page there’s “Need help” option with links to contact Burberry.
  • 31.   31   c. Customer care It’s very nice and engaging to browse Burberry’s products and site is very functional, provided with all kind of information and on every page there’s a link to ask help and assistance. Burberry’s mobile site offers customers service available 24h/day, 7 days/week like no other of the rest of the brands, analyzed in this report. Burberry may be contacted by telephone number, email: customerservice@burberry.com, tweet @burberryService, find a store link. Customer service menu is similar to the e-commerce site, as other available sections are: “Runway and Events; Sizes and Guide; Customization. Delivery service and return policy conditions are the same as offered by the e-store. The mobile site appears designed to engage customers and inspire them to travel within Burberry’s world, to desire and dream through fast in real time service and engaging and immersive experience. The customer appears to be the total protagonist and at the center of attention with all that is provided on this digital platform. Summary Digital is clearly a large part of Burberry’s marketing mix. Burberry’s website is very functional, optimized and dynamic. The brand seems to fully understand the digital arena and has integrated it seamlessly into their overall marketing strategy. Cited by Altagama it’s the brand with the highest digital customer awareness. In 2013, L2 ranked Burberry top in class 1st in the luxury apparel category with a digital IQ of 142, followed by Gucci, both were ranked by their digital competence in the category of “Genius” brands. Internet searches of keyword strings such as luxury, apparel, social media, online yield several articles touting the brand as a standout example in the world of luxury apparel. Only now according to luxurydaily.com, citing L2 report in Dec 2014, Burberry has lost its first place to Gucci and Coach since its omni-channel efforts could not make up for an outdated website infrastructure. Burberry is notably active in the digital arena. Their Facebook page, http://www.facebook.com/burberry, boasts almost 16 million followers with over. This is comparable to the Facebook following of a giant brand like Louis Vuitton, (with 17 million followers) and several hundred percent ahead of Hermès (2.2 million followers). The company also has pages on Twitter, http://www.twitter.com/burberry, and YouTube, http://www.youtube.com/burberry. On Twitter, Burberry had 4,37 million followers as of July 31, 2015. The brand’s YouTube page has over 178, 598 subscribers (July 31 2015) and contains videos of runway shows, product collections, makeup and beauty tips and tutorials and the Acoustic series of music videos. Burberry uses Twitter to tweet about celebrities wearing Burberry products at public occasions, new product launches, store events and YouTube videos, including the Acoustic series. The company has Twitter accounts for the different countries in which it operates as well as the primary account. The corporate website, http://www.burberryplc.com, lists marketing innovation as a key part of corporate strategy and mission. The four points listed under marketing innovation all have a digital element, with the first being the new launch of Burberry.com, described as “a place to engage, entertain and interact”,the second being leadership in social media, the third point
  • 32.   32   referring to innovation of fashion shows via digital technology and the final point is further digitization of the brand. Clearly the company has embraced the online world as an opportunity to excite and engage consumers with the lifestyle of the brand. Many luxury brands are concerned with digital marketing as something they must participate in, and have seen the opportunity with e-commerce and mobile commerce, yet many brands have not determined how to make digital a meaningful part of their strategy. The question is how luxury brands can navigate the digital world successfully without appearing too accessible or common to maintain the luxury image? Burberry appears to have successfully crafted a strategy, which speaks to this concern, and yet what remains exclusive to measure is the true perception of “luxury”. In other words, can Burberry, prolific as it is online, still be considered a luxury brand? Burberry’s Facebook page like Hermès does not directly engage with followers on the page. Posts are primarily invitations to view/purchase products or view videos, as well as postings of additional photos to the company’s albums. Announcements of new ad campaigns are posted with details on names of the models, in addition to some behind-the-scenes info. The page has tabs for both photo and video albums, as well as a page for the Acoustic music videos. Burberry’s digital leadership is also evident in their runway shows. The brand set itself apart by streaming for the first time their fall 2010 collection live at Burberry.com and at Burberry stores. The company took the personalized experience one step further also for spring 2011 by enabling viewers to click on items as they came down the runway to create a personalized “look book”. Burberry also added a feature enabling viewers to discuss the show via Twitter and Facebook. Viewers were able to purchase selected items from the collection within 72 hours of the show for delivery within eight weeks, while the full collection would not be available in stores for another six months. Burberry let consumers purchase pieces from its runway show SS 2015 collection online immediately after the live stream in September 2014. Consumers were able to use Twitter for the first time to purchase special nail polish collection from the brand as well (http://www.luxurydaily.com/burberry-makes-fashion-show-livestream-interactive-with- commerce/). This move provided a digital experience of exclusivity for digital brand loyalists, since the products were available for a limited time, while also providing Burberry with the opportunity for advance consumer feedback prior to product release within the broader marketplace. One of the recent initiatives of the brand alongside Google Chrome, whereby users could send customized virtual kisses in Burberry lip colours via a desktop camera or touchscreen device. The journey of kiss is then “brought to life” via a 3D animation using Google Earth and Streetview products to chart its progress which was then displayed to the recipient. This journey then was possible to be shared via Google +. https://www.thinkwithgoogle.com/campaigns/burberry-kisses.html
  • 33.   33   A new YouTube functionality at the S/S15 Womenswear show enabled audiences to move across multiple interlinking videos and pieces of content. · Burberry partnered with LINE App offering Japanese users access to the first-ever live stream on the platform, which allowed them to watch Burberry’s A/W15 Womenswear runway show in real time. Burberry also partnered with Twitter to offer users the chance to capture pictures of the A/W15 Womenswear show, live from the runway, from anywhere in the world through Tweetcam. Music remained central to the expression of the brand, with live performances at Burberry shows by British talent, including artists featured on the Burberry Acoustic online platform. The live tracks from the runway shows are available to download on iTunes. Beauty, the Group’s fifth product division, was an integral feature of the Womenswear shows with the introduction of exclusive runway looks and the latest nail collections available immediately following the show through the ‘Runway Made To Order’ service. This was evolved at the S/S15 show where Burberry was the first brand to sell Beauty products to consumers in the USA via Twitter’s ‘Buy Now’ functionality. All Burberry digital campaigns, products and experiences are exclusive, narrative, very emotional, and immersive and evoke feeling of belonging in the customer and make him feel special. On Burberryplc.com (http://www.burberryplc.com/) the firm reports revenue underlying growth of 11% for the year ended March 2014. Digital innovation would not appear to be hindering company performance, but the essence of a luxury brand is to be for the privileged few, not the masses. The brand image does not appear cheapened in any of the digital venues where it is represented. The taste level and aesthetic is comparable to a Burberry brick and mortar boutique with everything executed at a high level.
  • 34.   34   Bulgari - Italian jewelry and luxury goods brand was found in 1884 in Rome by Sotirios Bulgari. 1. E-commerce channel - website (31.07.2015)
  • 35.   35   a. Reach Bulgari’s website aesthetic is nice, clean, elegant and visually very appealing, in black and white colors. There are very appealing photographs with links to new jewelry’s collections as the new “Diva” collection, Carla Bruni’s photographs as a brand ambassador, and the customer is invited to find out more on the product designs and guided to travel within the brand’s world. The menu bar is on the top of the page, and easy to browse. The language bar link is at the end of page and may appear not so easy to find. Upon clicking on the link, customer may select an e-store by countries and language. Burberry’s e-store has several languages available online, including Chinese, Russian, Portuguese and it’s the only among the five brands (analyzed in this report), that has Arabic language available. At present the e-commerce is developed only in USA and Japan. The e-store in the rest of countries as Europe, Brazil, Korea, China, Hong Kong, Taiwan, Singapore, Qatar, Australia contains information for products, promotions, new product lines and links to find a store but the purchases are not available online. Upon clicking on “Stores” on the top of the page, the customer is directed to a map supported by Google with the location of all Bulgari stores worldwide and since it’s using cookies, identifying customer’s location a list with all Bulgari boutiques and authorized retailers by country is displayed with their addresses, telephone numbers and working hours. There is not a “go back” option on the e-commerce page that may not appear so comfortable, browsing different pages. At the end of the main page, there’re links to “About Bulgari”, “Heritage” and “Press lounge”. The brand connects to customers through principal social medias like Facebook, Twitter, YouTube and Instagram. The brand has a lot of interactions with customers, posting and promoting new product collections, design pieces, sharing photos of celebrities, promoting the brad or celebrities who have chosen the brand for a premier events. Bulgari used Facebook to engage customers, giving them a unique opportunity to buy products on Facebook for a some period of time. Bulgari is very active also on Twitter and Instagram, posting photos and engaging videos connects with customers to enhance the shopping experience and create loyalty to the brand. b. Product The customer can browse, and purchase a range of items, from jewels to luxury hotel accommodation alongside Bulgari stores around the world. The customer can find, compare and purchase products as well as register for gifts and pre- order products, the e-store is designed to make automated and dynamic recommendations to customers, based on their behaviour and the buying habits. Products are organized by categories and emblematic and new collections. On the top right of the page there are sections : “Join us”, “Wishlist” and “Shopping cart”. Bulgari was one of the first brands to provide the option for the Wishlist. Every product displayed is described, the collection to which belongs and an item code. Products can be filtered by new launches, materials and colour. The product prices are not indicated, only some of the products in the USA and Japanese e- stores have their prices visible and can be purchased online.
  • 36.   36   Instead of prices, upon clicking on the product’s link, customers are invited to visit a store by a link “find a store” or to download the “product card” description or call the customer service. The products links may be shared on Facebook, Pinterest and Twitter. The products are provided with a high quality images, loading fast. Diva collection - Bulgari is highlighting their product collection with kind of microsite via links to “Discover” more about the products, with the link displayed on the main page of the Site. The product line may be filtered by category, colour, gemstones and diamonds. The Diva collection was inspired by movie stars who wore Bulgari jewels during the glamorous 50s and 60s, including Ava Gardener, Elizabeth Taylor and Italy's most honoured actress Sophia Loren. The jewels, including decadent necklaces and bracelets, feature a combination of the rarest coloured gems - a trademark of the renowned Italian jeweler. http://www.bulgari.com/en-us/diva_video/ The Serpenti collection - At present Bulgari is highlighting their popular “Serpenti” collection with a microsite dedicated to the handbags and a short video exploring its creation. The short video further detailing the creation of the bags is located at the bottom of the page. This might appear difficult for consumers to find it, because it is not readily available on the e-commerce site. The “Serpenti” collection is comprised of a number of different models, all of which are featured on the new microsite where consumers can discover more about them and view different styles and colors. There are promotional, customers engaging videos focused on the creation of a “Serpenti” handbag and the labor that goes into the process, giving customers a behind-the-scenes look at the collection. The microsite features three models from the “Serpenti” collection, including the “Serpenti Forever”, the “Serpenti Scaglie”, and the “Serpenti Hypnotic”. Each of these models has its own image that consumers can click on to view more styles and colors and discover additional information.
  • 37.   37   Other promotional product videos, displayed online: Diagono Magnesium watch This first proposal for an intelligent luxury watch – the concept of which was presented at Baselworld 2015 – is the result of a major technological and completely new transformation of the interaction between the individual and the watch. While preserving the values and codes of the luxury watch, this is the key that unlocks the door to the functionalities of the age of digital technology and the physical life of the 21st century. Diagono Magnesium has a cryptographic chip and invisible antenna which, using NFC technology (Near Field Communication) enables the watch to transmit a digital certificate to the Bvlgari Vault application that is already downloaded and set up on the telephone (iOS and Android systems). The watch simply has to be placed near the smartphone which itself is equipped with an NFC chip for the application to be activated. Only the owner of the watch has access to the confidential content that is recorded here with banking level security. To date, NFC technology is the most secure in the realm of data transmission to the extent that it requires that the two devices be very close together in order for them to connect, in contrast to Bluetooth or other wireless technologies. http://bulgari.wis.watch/ The e-commerce site contains a lot of promotional videos, not only for product promotions but this is a way to connect effectively with customers, inspire and engage them with the brand, keep their loyalty and they are very much likely to share the content through social medias. This has been integrated in the brand’s digital strategy in the recent years.
  • 38.   38   The e-commerce site menu contains a section as well of Bulgari Hotels. It’s a link to another website of Bulgari Hotels and Resorts around the world. c. Customer care Bulgari provides a customer care by phone and e-mail. The contact service by telephone is available only for USA and Japanese customers at the moment of purchase. There’s no live chat option unlike Burberry’s e-store. The customer service is very standard, there’re only two key e-store with a telephone service. The customer care does not appear to be main driver for the brand e-commerce and their expansion. The customers cannot feel special and there’s no service dedicated to help them and reply their requests and questions in real time. “Frequently asked questions” section is missing as well on the e-commerce site. Free shipping service is available only for USA customers. Express delivery is 2 days and same day delivery if orders are placed before 12 am, next day delivery if orders are placed after 12 am. Saturday delivery is available only for limited Zip codes. Customers cannot pick up in-store orders but they can make products returns in stores in USA. Upon opening the link to “Customer care” at the end of the page, a new pages opens with: “Customer care Jewelry”, “Recommendation” and “Order information” – the last section about shipping, payments, return policy is information available only in the USA e-store and the same section is not accessible or exist upon changing country online from the menu bar.   Applicable for USA customers: Products purchased online (excluding customized items) may be returned in their original packaging with the payent receipt within 30 days from the date of delivery for a refund or exchange. The online purchases may also be returned to any of the retail boutiques of Bulgari in USA for exchange or boutique credit only. All items must be shipped pre-paid and insured. Bulgari is not responsible for loss or damage of returned shipments. All returns and exchanges are subject to a quality assurance inspection process before they are accepted. Any item with signs of wear, damage, or alteration (e.g. re- sized by a jeweler other than Bulgari) cannot be accepted. Gift recipients are entitled to an exchange of equal or greater value only. 2. Mobile-commerce channel a. Reach The menu bar is on the top left of the mobile page with links to product categories, the Maison, Bulgari Hotels, Stores (store locator). There’s a “Join us” section inviting customers to create their own account. Links to “About Bulgari”, “Heritage”, “Press Lounge” are placed at the end of the page. The language bar is at the end of page as well, as customers may choose a country and a language from the link that opens and is needed by “OK” confirmation. Bulgari reaches customers through the same social medias as on the website (the e-commerce channel): Facebook, Twitter, YouTube and Instagram. The languages available are the same as on the e-commerce site and purchase of some products are available for USA and Japan. Compared to competitors Bulgari mobile commerce expansion at present is careful and focused on two most important markets, especially USA. The brand is using the mobile channel and digital social medias not especially looking to generate fast digital sales but a long term sales period through making customers “Discover” the
  • 39.   39   brand and to research the products, know them and purchase limited products online or make them visit the store. In this sense the brand strategy is consistent with the essence of luxury for inaccessibility and keeping high customers demand. On the other hand maybe Bulgari is missing to reach more potential customers and organic growth opportunities, because the main channel of purchase remains the physical store. Customers are reached mainly through entertaining and very engaging product videos and innovations, spreading the voice and the popularity of the brand, increasing brand awareness and desire for something very unique, special and very exclusive. b. Product Browsing product categories is accessible through the main menu on the top left of the page. The customer is invited to “Discover” new products through engaging promotional videos as the new Diva jewelry collection, “Eau Parfumée” for men and women. The products are displayed with qualitative images and product description, options to share the content on main social medias as Fb, Twitter and Pinterest. The product presentation is a lot about emotional experience, it’s a very much product focused site through narrative, appealing and educating customers videos. The customer is invited to visit the store and download the product card, add the products on the Wishlist than purchasing online. Bulgari is a brand about high craftsmanship, traditions and exclusivity and these remain its main strategic drivers. There’s a “News” section available through the menu, displaying information for new launches of product collections and it has filters option by month and themes. The “Maison” section contains information about Heritage, Philantrophy, Know-How, etc. c. Customer service The Customer care service on the mobile version of the Site is the same as the e-commerce one. It has sections: “Customer Care Jewelry” with all the after-sale services available: Cleaning, Ultrasonic cleaning, Refurbishing, Engraving, Resizing, Earing service, Repairs. Then follows “Recommendations” sections with tips to customers for protecting and keeping the jewels. “Order information” section is available again only for the USA mobile store, including: Placing orders time; Payment methods (American Express, MasterCard, Visa and JCB; Sales Tax (charging state, country and local tax where applicable); Packaging, Gift message service, Modifying or Cancelling orders, Delivery and Returns. Free shipping is not provided. The express delivery service and Return policy for USA customers is the same as on the e-commerce site. USA customers may contact the brand and boutiques by telephone and email enquiry form. The rest of customers by country may contact the physical stores only, using the Store locator service. Browsing the product categories the customers (excluding USA and Japan) may contact the customer service by e-mail form only. Yet the Customer Care is very basic, not dedicated to serve customer, compared to other brands. Summary Bulgari is applying a carefully crafted digital strategy of exclusivity, with focus on strong interaction with customers through the social media channels, encouraging customers loyalty through engaging promotional videos and links. Customers are guided and inspired to discover
  • 40.   40   the products and new designer’s pieces, using brand ambassadors, celebrities, new collection videos, in order to provoke high interest and desire to purchase but shopping online is almost unavailable, these are inaccessible luxurious products and the customer may add them on the Wishlist but is invited to find a physical store and purchase there. There are two key markets for the brand: USA and Japan. The U.S. e-store and the mobile store are integrated with the in-store as exchanges are allowed in any retail boutique. Product collection microsites are aesthetically very pleasing, but maybe need simplifying the navigation. Bulgari often seeks to provide consumers with plenty of information to aid them in the decision- making process. For example, the Italian jeweler aimed to expand consumer knowledge with a promotion that explored its men’s fragrance range in 2014. Bulgari developed a microsite for Aqua pour Homme and a new addition to the jeweler’s fragrance offerings, Aqua Amara. The microsite positioned the two fragrances as worldly elements to help consumers select which scent would be best for their taste, style and personality. Additionally, Bulgari works to expand consumers’ knowledge of its heritage, helping them forge a closer relationship with the brand. In 2014, the Italian jeweler continued to spread awareness for its ongoing 130th anniversary celebrations with a video series exploring different aspects of its identity. On YouTube, rather than a microsite or its primary Web page, Bulgari shared six videos ranging from its passion for leather goods to the grand opening of a boutique in Rome. Given affluent consumers’ rushed schedules, Bulgari relied on short films rather than a full-length documentary to share its message but not bog down its enthusiasts with heavy content. Having microsites allowed Bulgari to share more information with consumers about the Diva and Serpenti collections. They are designed to encourage users to follow the story of how the product collections are conceptualized and made. With all the above said, Bulgari is in the middle, on the digital competitive map according to Exane BNP Paribas report 2014. In the category of jewelry luxury brands Cartier and Tiffany digital engagement activities and online commerce expansion are many steps forward than Bulgari. The Italian Jeweler seems that is applying more careful digital strategy of limited product purchases by target markets, similar to that of Chopard in terms of digital sales. The inaccessibility to purchase brand’s products at present and the lack of personalization services online do not make the brand enough attractive for the new generation of affluent and digital-savvy consumers, who prefer the comfort of the online store than the walk to the physical boutique. In terms of exclusiveness the brand has been trying to preserve its image, translating its heritage and craftsmanship into customers educating and engaging videos with the brand story and its creations, but in terms of new evolving technology the brand should manage to provide unique customers experiences and integrate it in their marketing-mix strategy.