When it comes to brands that supply luxury goods, a superior, high-end customer experience at every touchpoint matched with lavish product lines sets fashion house names such as Chanel, Yves Saint Laurent, and Burberry apart from more affordable, entry-level brands like H&M and Debenhams.
As online retail continues to grow, premium delivery services are emerging as a crucial tool to bridge the gap between in-store and online shopping, and no more so than in luxury fashion markets. With online luxury retail continuing to grow fast year-on-year – according to Statista, the ecommerce fashion industry’s compound annual growth rate (CAGR) is tipped to grow 14.2% between 2017 and 2025, with the industry hitting a $1 trillion valuation by 2024.
It has never been more important for luxury brands to transfer their exclusive in-store experience to online shoppers by distinguishing themselves through their delivery experience. By offering exclusive and personalised delivery options, luxury brands can maintain their hallmark of exclusivity and elevate the overall customer journey, turning delivery into a brand experience that resonates with the customer and retains their custom beyond the first purchase and their first delivery day exposure to the brand.
“When shopping for luxury goods online, customers demand exceptional end-to-end experiences. From opening the website to opening their front door, they crave and expect exclusivity every step of the way. The delivery process is an extension of a brand’s identity, especially for luxury brands.” – DHL in DHL’s “Luxury at your doorstep: Bringing the in-boutique experience home” report.
The importance of premium delivery
Brand experience and exceeding customer expectations remain two key areas of priority for luxury brands on delivery day, which is achieved through a number of core product and service offerings, including boutique handover options and sustainable delivery practices, which align with the modern consumer in their industry.
The delivery process is an extension of a brand’s identity. For luxury brands, it’s essential to ensure that the delivery experience aligns with the prestige and exclusivity of their products.
Luxury customers demand exceptional experiences that merits the higher price points. Premium delivery services can help meet these expectations by offering features like flexible delivery windows, personalised handover, and sustainable practices that are in-tune with the modern consumer and their eco-friendly demands.
‘To meet the exacting standards of their clientele, luxury brands need a premium delivery service that lives up to their products. That means effectively elevating the delivery process to the luxury level so customers feel like VIPs after they click the BUY button as well. Based on our work with luxury brand leaders, we’ve identified the four features of this distinct tier of service that can enable luxury brands to leverage their brand experience to grow e-commerce sales.’ – DHL in DHL’s “Luxury at your doorstep: Bringing the in-boutique experience home” report
What makes premium delivery ‘premium’?
There are four key areas that luxury brands are prioritising in order to distinguish themselves from the competition, particularly through boutique handovers:
- Timing: Flexibility is crucial, with options like same-day, weekend, and two-hour delivery windows offering the customer the choice of convenience.
- Boutique handover: Personalised delivery by uniformed couriers in luxury-branded packaging creates a special unboxing experience, adding long-term value and a tactile experience that creates a sense of opulence.
- Sustainability: Eco-friendly practices, such as the use of eco-friendly vehicle types and smart packaging that can be recycled, continue to be of importance to environmentally conscious consumers.
- Effortless returns: Streamlined return processes, including labelless and immediate return options, simplify the customer experience and support the circular economy. Having an easy returns policy is an important purchase factor for consumers.
How can luxury brands leverage premium delivery for growth?
It’s crucial for brands to understand the specific needs and expectations of different customer segments and identify customer trends to help brands tailor their premium delivery offerings in-line with their expectations.
Utilising technology can create a seamless customer experience, from real-time tracking to personalised delivery notifications to engage the customer throughout the final mile. Such technologies can be used in tandem with specialised logistics providers that can help develop brand-specific premium delivery solutions and offer boutique handovers, engaging the customer from the buy button to the final touchpoint.
Conclusion
To luxury brands premium delivery isn’t just a logistical upgrade; it’s a strategic investment in maintaining brand image, as well as customer loyalty beyond the buy button, distinguishing fashion houses in particular from other, more entry-level fashion brands. By offering exceptional delivery experiences, brands can strengthen their connection with customers and drive long-term growth in the competitive industries where market saturation can occur.
Read DHL’s “Luxury at your doorstep: Bringing the in-boutique experience home” report here.
