Affluent Shopper Wants ‘Steak, Not Sizzle’

Affluent consumers are looking for information that makes
them better shoppers, advised Pam Danziger, founder of Unity Marketing, at a
speech in New York City Tuesday night presented by the Luxury Marketing
Council.

“You have to start thinking like Consumer Reports, not
Vogue,” she says. “Give your consumers advice. Your marketing messages and
advertising need to give consumers the information to make them better
shoppers. Sell the steak, not the sizzle.”

She also warned: “Today’s consumers get power by how smart
they are as consumers. Affluents will no longer spend 10 times more for a
product that is only three times better.”

Luxury brands typically offer “good-better-best,” she noted,
but customers are increasingly selecting the “better” option.

“Look at ways to reduce costs and give your customer a
‘better’ product at a ‘better’ price,” she advised.

She noted that affluent shoppers are increasingly drifting
towards what are typically considered “middle-range” brands.

“Banana Republic, Ann Taylor, and Ann Taylor Loft are all
doing well with ultra-affluent consumers,” she said. “Don’t think these
companies are not going after your consumer.”