The new study is based on a poll of 400 agency marketers who serve luxury brands. Among the marketers surveyed, roughly one-half (48%) expect their luxury clients to boost digital spending some 10% or more, and 18% anticipate growth of 20% or more.
Though luxury marketers have been lagging behind their mass marketing counter parts in terms of digital spending, they are gaining momentum in 2012.
Some 43% of agency marketers say their luxury clients are moving into digital advertising more quickly than mass market brands, and another 34% say they are moving into digital at the same pace.
Below, additional findings from the report titled “Engaging The Affluent Online: How Luxury Brands Are Leveraging Digital Marketing To Connect With Customers,” by Martini Media.
Top Online Channels
Video (69%), mobile (68%), and social media (48%) are the hottest growth areas, whereas search (29%) and standard display advertising (18%) lag behind:
Benefits of Digital Marketing
Digital media is perceived as effective at driving favorability, and both online and in-store purchases, often more so than TV:
- 85% say digital is more effective than TV to drive traffic to online stores.
- 44% say digital is more effective than TV in driving traffic to brick and mortar stores.
- 35% say digital is more effective than TV at driving brand favorability.
Other key findings among surveyed agency marketers:
- 36% ranked context as most vital component for digital campaigns.
- 71% agree high-impact ad units are as effective as print or TV ads.
- 83% agree that it’s worth paying premium CPMs to reach luxury consumers, given the importance of targeting.