how luxury fashion brands and mass market retailers use...
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How Luxury Fashion Brands and Mass Market Retailers Use Twitter Differently in Order to Achieve Marketing Objectives
By Melanie Richtman
Fall 2013
University of Minnesota
Introduction
Kaplan describes social networking sites as “applications that enable users to connect
by creating personal information profiles and inviting friends and colleagues to have access to
those profiles. These personal profiles can include any type of information, including photos,
video, audio files, and blogs” (Kaplan 2010). Social networking sites have changed the way
many brands think about their marketing strategies. Brands are no longer able to control what
information and news the public receives through a strategically written press release or a
strong public relations team. With the internet being a huge part of our daily lives, brands
have had to adapt and incorporate social media into their public relations and marketing
strategies. Social media can be used for a variety of different purposes, and each brand must
choose a strategy to best fulfill its marketing and sales goals.
This new means of communication works better for some brands than others. Since
social media sites are made for individuals, it is much more difficult for a business-to-
business company to leverage social media to increase sales. Business-to-consumer
companies, however, have the advantage of being able to provide relevant content to and
directly interact with their target market, potential customers, and fans of the brand. Some
common goals for brands on social media include cultivating brand awareness, promoting
products or sales, interacting with potential customers, positioning themselves as thought
leaders, sharing interesting content, linking to great reviews, and showcasing different events,
products, and ideas through multimedia elements.
Fashion brands have a particular advantage when it comes to social media since their
product sales rely heavily on word-of-mouth buzz, visual appeal, and online sales, all of
which can be easily optimized on social networking sites. However, there are different types
of fashion brands, and each type will use social media in different capacities in order to
achieve their goals. For this paper, I focused on luxury fashion brands and mass market
retailers, since I believe they will have the most distinct strategies.
For the purpose of this study, luxury fashion brands are defined as brands “whose ratio
of functional utility to price is low while the ratio of intangible and situational utility to price
is high. Luxury brands compete on the ability to evoke exclusivity, a well-known brand
identity, brand awareness and perceived quality” (Radon 2012). Luxury brands intentionally
try to create a distinction between those who are consumers and those who are not. This is
achieved through having high prices and exclusive distribution. This will keep the brand from
being consumed by the masses. Marketing a luxury fashion brand focuses on perceived
exclusivity (Radon 2012).
Whereas luxury brands focus on selling limited quantities to exclusive customers,
mass market retailers focus on selling affordable products to a wide variety of customers.
Mass market retailers sell reasonably priced goods that meet the customers’ needs. These
brands thrive on high sales volumes and low priced items. Mass market retailers’ marketing
efforts are going to be centered on maximizing sales and constantly offering products that are
in demand.
For my research, I chose to analyze the social media strategy, specifically on Twitter,
for ten different fashion brands — five luxury fashion brands and five mass market retail
brands. The five luxury brands I analyzed are Louis Vuitton (@LouisVuitton), Dior (@Dior),
Chanel (@Chanel), Fendi (@Fendi), and Burberry (@Burberry). The five mass market
retailers I chose to analyze are Forever 21 (@Forever21), H&M (@hm), Target
(@TargetStyle), Urban Outfitters (@UrbanOutfitters), and Victoria’s Secret
(@VictoriasSecret). I selected these ten brands based on their active presences on Twitter.
Based on my preliminary research, I predict that luxury fashion brands will use
Twitter to fulfill different objectives than those of mass market retailers. I believe luxury
fashion brands will use social media in order to create and maintain brand awareness, evoke a
feeling of exclusivity by posting behind-the-scenes content that a typical consumer would not
be able to see, position themselves as thought leaders through owned content, create the
perception of being unattainable by showing the elite — wealthy individuals and celebrities
— interacting with the brand, and by making the executive decision not to interact with
followers on Twitter.
On the other hand, mass market retailers will use social media in order to increase
sales through product promotion, create a feeling of inclusivity by interacting with customers
by responding to complaints and retweeting positive mentions of the brand from followers,
and encourage interactions through contests and promotions. The strategy of mass market
retailers differs from the strategy of luxury fashion brands because mass market retailers want
to increase their customer base, whereas luxury brands want to keep their customer base small
and exclusive. Because of their differing goals, each type of brand will use Twitter in a
different way. There will be some overlap, but I believe that the majority of luxury brands’
posts will be categorized as brand awareness, owned media and self promotion, and behind-
the-scenes. On the other hand, I think mass market retailers’ posts will mainly be categorized
as product promotion, customer relations, and content curation.
Methodology
After preliminary research about luxury fashion brands, mass market retailers and
their social media usage, I monitored each brands’ Twitter accounts from October 1, 2013
through October 31, 2013 and classified each tweet according to seven different categories.
The seven different categories were brand awareness, product promotion, customer relations,
owned content and self promotion, behind-the-scenes, content curation, and multimedia. Each
post could be placed into more than one category, but posts typically did not overlap with
each other, the exception being multimedia. In most cases, multimedia elements were used in
order to fulfill the original purpose of the tweet. Each category will be explained in detail
below.
Brand Awareness
Posts placed in the brand awareness category are the most difficult to define. Brand awareness
is when a company posts something that is not relevant to sales, but is more about creating a
brand identity – values, personality, interests, et cetera. Typically brand awareness posts are
positive towards the brand and they are supposed to be inspirational.
Product Promotion
The product promotion category involves any efforts to directly sell a specific product,
product line, or sales promotion. In most cases, product promotion posts have a link included
that pushes users directly to the website in order to encourage them to make a purchase. This
is the most upfront type of promotion on a brands’ Twitter account. One indication that a
brand is trying to promote a product is when the specific product is displayed as a flat-lay
image, rather than a model wearing an item. Product promotion is promoting a product, rather
than a lifestyle, unlike brand awareness. (Figure 2)
Customer Relations
The customer relations category refers to any effort from a brand to directly interact with a
potential customer on the social media platform. This includes responding to followers on
Twitter, retweeting tweets in which the brand has been mentioned by a consumer, a post that
encourages fan interaction — including contests or questions — and promoted hashtags (that
the company intends for followers to use when interacting with the brand). The ultimate goal
of customer relations is to build a relationship with a potential customer. (Figure 3)
Owned Content & Self Promotion
This category consists of tweets that promote the brand as a thought leader in its respective
ecosystem and any efforts that promote the company — rather than a specific product —
through traditional public relations tactics. This would occur when a brand tweets links to its
own blog, posts pictures of celebrities or public figures who are supporting the brand (either
by wearing the brand or attending an event), or when a brand promotes its own
communication platforms, such as other social media accounts. (Figure 4)
Behind-the-scenes
Behind-the-scenes posts can be classified by any material that the general public would not
have seen if it were not for the brands Twitter account. Behind-the-scenes posts typically
include images, videos, or quotes from an exclusive event, such as backstage at the brands
fashion week show or photo shoot. These exclusive sneak peeks are typically posted in real
time, rather than being scheduled. (Figure 5)
Content Curation
This category involves any content that the brand did not create itself, but rather it curated
content from different sources. Typical curated content includes press mentions, blogs about
the brand, retweeting tweets from media outlets discussing the brand, and any other relevant
outside news about the brand. This is earned media. (Figure 6)
Multimedia
The multimedia category includes any post that features a photo or video. This is the most
straight forward category and also the most common category. (Figure 7)
Figure 1: This tweet from H&M is an example of a “brand awareness” tweet. It is focused on a lifestyle, rather than the brand itself.
Figure 2: This tweet from Chanel is an example of Product Promotion.
Figure 3: This tweet in which Victoria's Secret has responded to a follower is an example of Customer Relations.
Figure 4: This is an example of Self Promotion since Forever 21 is promoting its own Pinterest account.
Figure 5: This is a good example of behind-the-scenes from Dior's Ready-to-Wear Fashion show.
Figure 6: This is an example of Content Curation. Victoria's Secret is tweeting Allure Magazine's review of its new perfume.
Figure 7: This tweet from Chanel is a good example of multimedia since it features a video.
Company Information
The following table compares various facts about the brands whose tweets I analyzed.
I recorded the number of followers each brands’ Twitter account has, the number of Twitter
accounts each brand is following, the year each company was founded, the country in which
each company was founded, and the category (luxury or mass market) for each company.
There are several interesting items to note about the comparison between the luxury brands
and the mass market retailers, especially when it comes to the number of accounts each brand
is following, the year each company was founded and the country in which each brand was
founded. Luxury brands followed fewer Twitter accounts than mass market retailers. In fact,
Chanel does not follow anyone on Twitter. My assumption is that Chanel intentionally does
not follow anyone in order to maintain distance between its symbolic audience and its real
audience who can afford its products.
It is also important to note that luxury brands are significantly older than the mass
market retailers (with the exception of H&M, which was founded in 1947, only one year after
Dior). Luxury brands often use their history and age as a way to differentiate themselves from
non-luxury brands. The fact that they have been around for decades gives them an added
element of credibility and helps consumers rationalize their high prices. Similarly, it is
interesting to point out that all of the luxury brands are from European countries, whereas all
of the mass market retailers are from the United States, other than H&M. From this
information, it can be gathered that luxury brands and mass market retailers differ in ways
other than their pricing, production and sales strategies, and that their different backgrounds
will influence the ways they use Twitter as a marketing tool.
Table 1: This table shows the differences between luxury brands and mass market retailers
Company Followers Following Year Founded Country of Origin
Category
Chanel 3,642,365 0 1908 France Luxury Dior 3,727,940 101 1946 France Luxury Fendi 17,421 124 1925 Italy Luxury Burberry 2,449,458 160 1856 England Luxury Louis Vuitton 2,170,497 189 1854 France Luxury H&M 2,972,021 209 1947 Sweden Mass Market Forever 21 1,307,686 545 1984 USA Mass Market Victoria’s Secret 3,106,739 1,123 1977 USA Mass Market Target Style 114,681 1,827 1962 USA Mass Market Urban Outfitters 803,301 2,048 1970 USA Mass Market
Data Analysis
From October 1, 2013 until October 31, 2013, I analyzed 852 tweets — 524 tweets
from five mass market retailers (Forever 21, H&M, Target, Urban Outfitters, and Victoria’s
Secret) and 328 tweets from five luxury brands (Chanel, Dior, Fendi, Louis Vuitton, and
Burberry). Tweets that did not fit into a defined category were discarded. Due to the relatively
small sample size, I chose to forgo a statistical analysis because the margin of error could be
significant. Instead, I directly compared the number of tweets from luxury brands and mass
market retailers for each category, in addition to comparing the quantity in relation to the
sample size (based on percentages). Tweets that were coded twice were coded for multimedia
as well as an additional category. The three post categorizations that had sizable differences
between mass market retailers and luxury brands were customer relations, multimedia and
behind-the-scenes. The other four categories — brand awareness, product promotion, owned
content and self promotion, and content curation — were comparable in frequency among
luxury brands and mass market retailers.
Among the 328 tweets from luxury brands, there were 62 tweets categorized as brand
awareness, 103 tweets categorized as product promotion, six tweets categorized as customer
relations, 57 tweets categorized as owned content and self promotion, 79 tweets categorized
as behind-the-scenes, 40 tweets categorized as content curation, and 260 tweets that contained
multimedia elements. From the 524 tweets from mass market retailers, there were 79 tweets
categorized as brand awareness, 185 tweets categorized as product promotion, 85 tweets
categorized as customer relations, 113 tweets categorized as owned content and self
promotion, 31 tweets categorized as behind-the-scenes, 58 tweets categorized as content
curation, and 244 tweets that contained multimedia elements.
Table 2 displays the total number of tweets per category for mass market retailers and luxury brands.
Total Number of Tweets Post Category Mass Market Retailers Luxury Brands
Brand Awareness 79 62 Product Promotion 185 103 Customer Relations 85 6 Self Promotion/PR 113 57
Multimedia 244 260 Behind-the-scenes 31 79 Content Curation 58 40
Based on percentages for a more accurate comparison, 19 percent of tweets from
luxury brands were categorized as brand awareness, compared to 15 percent of tweets from
mass market retailers. 31 percent of tweets from the luxury brands fit into the product
promotion category and 35 percent of tweets from the mass market retailers were classified as
product promotion. Only two percent of luxury brands’ tweets were focused on customer
relations, whereas 16 percent of mass market retailers’ tweets were categorized as customer
relations. 17 percent of luxury brands’ tweets were classified as owned content and self
promotion, compared to 21 percent of mass market retailers’ tweets. 24 percent of luxury
brand tweets were labeled as behind-the-scenes, whereas only six percent of mass market
retailers’ tweets were labeled behind-the-scenes. 12 percent of tweets from luxury brands
were categorized as content curation, compared to 11 percent of tweets from mass market
retailers. 79 percent of luxury brands’ tweets had multimedia elements and 46 percent of
tweets from mass market retailers had multimedia elements.
Table 3 displays percentages of tweets per category for mass market retailers and luxury brands.
Percentage Comparisons Post Category Mass Market Retailers Luxury Brands Predicted Leader
Brand Awareness 15% 19% Luxury Product Promotion 35% 31% Mass Market Customer Relations 16% 2% Mass Market Self Promotion/PR 21% 17% Luxury
Multimedia 46% 79% No prediction Behind-the-scenes 6% 24% Luxury Content Curation 11% 12% Mass Market
Figure 8 compares the percentage of tweets per category for mass market retailers and luxury brands.
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Percentage Comparisons
Mass Market
Luxury
Results
I predicted that luxury brands would have more tweets categorized as brand awareness
than mass market retailers because “luxury brands compete on the ability to evoke
exclusivity, a well-known brand identity, brand awareness and perceived quality” (Radon
2012). Therefore, I predicted that they would use brand awareness as a way to evoke brand
identity. However, the data shows that luxury brands do not put as much emphasis on brand
awareness as I previously thought. 19 percent of luxury brands’ tweets were classified as
brand awareness and 15 percent of mass market retailers’ tweets were classified as brand
awareness. The difference between the two is not very large when you look at the percentage
comparison. This supports my original hypothesis that luxury brands would focus on brand
awareness more than mass market retailers, but I thought the difference would be much
greater than four percent.
A similar phenomenon occurred with the product promotion category. I predicted that
luxury brands would focus less on product promotion in general, because their audiences on
Twitter are mostly a symbolic audience, or individuals who cannot actually afford the brand’s
product offerings but aspire to become a part of the real audience. However, luxury brands
spent almost as much time promoting products as mass market retailers. Luxury brands’
tweets were categorized as product promotion 31 percent of the time and mass market
retailers’ tweets were categorized as product promotion 35 percent of the time. I am very
surprised that the percentages were so similar, differing by only four percent.
Mass market retailers and luxury brands also had very similar percentages when it
came to the owned content and self promotion category and the content curation category. 21
percent of tweets from mass market retailers were owned content and self promotion,
comparatively 17 percent of tweets from luxury brands were owned content and self
promotion. I expected that luxury brands would have a percentage slightly higher than 17, but
I’m not surprised that the numbers were similar for mass market retailers and luxury brands.
Self promotion is important, regardless of your audience. Content curation was even more
similar for the two, with 12 percent of tweets for luxury brands being classified as content
curation and 11 percent of tweets for mass market retailers being classified as content
curation.
The categories with the most significant differences between mass market retailers and
luxury brands were customer relations, behind-the-scenes and multimedia. I predicted that
mass market retailers would focus more on customer relations than luxury brands. The data
shows that 16 percent of tweets from mass market retailers are intended for customer
relations, whereas only 2 percent of tweets from luxury brands are considered customer
relations. I predicted this difference because “luxury brands intentionally try to create a
distinction between those who are consumers and those who are not” (Radon 2012).
Therefore, luxury brands are not going to respond and interact with their following, since
most of their Twitter audiences are symbolic, whereas mass market retailers’ Twitter
audiences are real consumers, so interacting with customers is a realistic way to increase
sales.
Behind-the-scenes is a great way for luxury brands to show the symbolic audience
what it is like to be a part of the exclusive real audience. Mass market retailers lack
exclusivity since their products are available for almost everyone in mass quantities. Since
“marketing a luxury fashion brand focuses on perceived exclusivity,” behind-the-scenes
tweets can separate the symbolic audience from the real audience (Radon 2012). 24 percent of
tweets from luxury brands offered a behind-the-scenes look at the activities of the brand,
compared to only six percent of tweets from mass market retailers.
The percentage of tweets with multimedia elements greatly differed between mass
market retailers and luxury brands. 79 percent — an overwhelming majority — of luxury
brands’ tweets had a multimedia element (video or image), whereas 46 percent of tweets from
mass market retailers had a multimedia element included. According to Brafton, a content
marketing agency, “data from Buffer shows pictures garner 18 percent more clicks on Twitter
than text-only tweets” (Griwert 2013). This data suggests that multimedia is an important part
of social media strategy for both mass market retailers and luxury brands. Images and videos
are especially important for product promotion and behind-the-scenes.
Discussion & Conclusion
Overall, luxury brands and mass market retailers used Twitter in a similar capacity and
had fewer differences than predicted. With the exception of the customer relations,
multimedia, and behind-the-scenes categories where the numbers reflected my original
predictions, all of the other categories had very similar percentages between luxury brands
and mass market retailers. However, in the case of brand awareness and product promotion,
the data supports my hypothesis, but in a much smaller margin than I would have originally
predicted. The category that was the most surprising was product promotion. I initially
thought that luxury brands would have focused less of their efforts on product promotion than
they actually did. In fact, luxury brands spent the most time on product promotion compared
to the other categories (with the exception of multimedia). Although luxury brands had more
tweets categorized as brand awareness (19%), mass market retailers had a similar percentage
(15%) of tweets categorized as brand awareness, so the difference is not significant enough to
conclusively determine that it supports my hypothesis. Similarly, luxury brands had a lower
percentage of tweets (31%) categorized as product promotion than mass market retailers, but
the difference was not significant enough (since 35 percent of mass market retailers tweets
were categorized as product promotion) to conclude that it supports my hypothesis. However,
in conclusion, my hypothesis was fully supported by the data for the customer relations and
behind-the-scenes categories.
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