Would you like a cocktail with your handbag?
When the going gets tough, the tough get going. Or, in the case of luxury retailers, they plan cocktail parties.
As it turns out, the opening of a temporary Hermes Hamptons store that we told you about a few days ago is not an isolated incident; instead, it’s a high-profile part of a larger trend. With fewer people able to afford their products, and some of those that can balking at the idea of conspicuous consumption, stores are having to do more to attract customers than they ever have in past memory.
The most obvious way to increase purchases would be to cut prices, but when a huge part of a brand’s image is their prohibitive price points and exclusive reputation, doing this that a big-box retailer like Best Buy would do to to attract customers isn’t what’s on their mind. Keeping the brand’s mystique intact is essential in order for them to keep doing business when the economy picks back up, and destroying their image of exclusivity now would probably be the luxury retail equivalent of throwing the baby out with the bathwater. In order to survive long-term, people like Saks need you to be willing to still pay full price when things are back to normal and we’re not all afraid of losing our jobs.


I’d seriously doubt that there is anyone reading this that has not felt some effect of the economic circumstances that most of the world is currently facing. If you don’t know what we’re talking about, then you’ve probably been living in a hut on an island somewhere. If that’s the case, then your tan looks nice and you probably want to turn around and head back before we delve in to the rest of this post. Trust me, you don’t want to know.











