Ged Carroll

Category: luxury | 奢華 | 사치 | 贅沢

Over the space of 20 years, luxury changed enormously. The Japanese had been a set of new consumers for luxury, but in terms of numbers they hadn’t eclipsed the US as the biggest market for luxury.

China’s ascent into the WTO (World Trade Organisation) made a lot of business people and politicians a lot richer. China challenged the US in terms of luxury market size. On their rise, Chinese consumers changed a lot in their sophistication as they educated themselves on luxury consumption.

These new consumers picked up new traits such as wine drinking. This also meant that luxury goods became new asset classes as Chinese money looked to acquire only the best. Chinese culture in turn impacted luxury design. Chinese new year became more important than Christmas.

Then there was the second generation money. Young rather than old consumers. Consumers who were looking for something less formal, either because they didn’t wear anything but streetwear or they worked in the creative classes rather than the traditional professions and high finance.

The industry had traditionally avoided rap artists and R&B singers, now Jay Z and Beyonce are the face of Tiffanys and Fendi had collaborated with Rihanna.

They no longer wanted to have to wear a jacket and tie to have afternoon tea at the Mandarin. They took an eclectic look more attuned to the Buffalo Collective than Vogue Italia.

You had hybridisation with the street to create a new category of luxe streetwear in a way that also owes a debt to football casual terrace wear and the pain.

Now you have Zegna badge engineering approach shoes from alpine brand La Sportiva and Prada has done a similar thing with adidas’ iconic Stan Smith tennis shoes. Balenciaga with their Speed Sock looks like a mix between Nike’s flyknit football boots and the Nike Footscape sole.

As I have written elsewhere on this blog:

Luxury has traditionally reflected status. Goods of a superior nature that the ‘wrong sort’ of people would never be able to afford. Luxury then became a symbol that you’d made it. In Asian markets, particularly China, luxury became a tool. People gifted luxury products to make relationships work better. It also signified that you are the kind of successful business person that partners could trust. You started to see factory managers with Gucci man bags and premium golfwear to signal their success. Then when the scions of these business people and figures in authority were adults, luxury has become about premium self expression.

  • 2018 Brand Action Library & things from last week

    The 2018 Brand Action Library by Planning Dirty has been published. I contributed one of the sections. You can view it and download it here. The 2018 Brand Action Library is a collection of campaign case studies for inspiration sorted by vertical market. it was collaborative efforts with planners and strategists from around the world, coordinated by Australian strategist Julian Cole. 

    Here’s the things that made my day this week –

    The Nonetheless podcast is looking to inspire female students to take up careers in STEM subject areas; as way of broadening and deepening STEM skills throughout America. As part of this, they’ve created great posters to download.  Find out more about the podcast here. You can find out more about Cynthia Breazeal’s work on her personal MIT website.

    01 Cynthia Breazeal

    Salvador Dalí & Walt Disney’s Short Animated Film, Destino, Set to the Music of Pink Floyd | Open Culture – it is worthwhile reading Open Culture’s bit on the backstory of this animation. They’re right, this does fit really well with Time off Pink Floyd’s Dark Side Of The Moon album

    I have been listening to a vintage concert by Hijack in Montreux. The Montreux Jazz Festival played host to the South London rap group. The film captures them at their height. While the Britcore scene faded away into history, it left an enormous influence on the next generation of turntablists. The britcore sound of which Hijack was an exemplar is rougher, faster and harder than US productions. The closest America had to offer was Public Enemy’s wall of sound, which still lacked the energy and pace of Hijack. It feed into the breakbeat culture of rave and drum and bass music scenes. Smooth, nice and groovy it isn’t. 

    Great brand film by Mercedes-Benz; presumably aimed at reframing the whole debate around women drivers. The film was made by R/GA, New York.

    Finally Miu Miu’s autumn winter collection film is really nicely done.

    More luxury related content here.

  • KAWS + more news

    KAWS’s Dark Take on Mickey Mouse | Anatomy of an Artwork | Sotheby’s – I have been a big fan of KAWS work – in particular the stuff by KAWS done under the OriginalFake name. KAWS OriginalFake was where art and streetwear met. KAWS did some great collaborations under the OriginalFake name. I wore my Porter Tokyo x OriginalFake wallet to death in the end. KAWS has abandoned the label and is now focusing on his art pieces. Great collection of stuff here going on auction in Hong Kong. More luxury related content here.

    “Become the leader in our industry” is not a strategy | Quartz – how many times have I seen this on briefs….

    New Balance is finding trendsetters with AI and giving them shoes | Fast Company – interesting seeding campaign

    The economy is booming, your salary is not: Blame the decline of unions | FastCompany – interesting that this appearing in Fast Company whereas in the past these ideas would have been considered the work of a left wing crank

    US airlines are struggling to make money from China’s travel boom-Sino-US – looks like an ideal opportunity for Trump’s trade war

    Don’t Pretend Facebook and Twitter’s CEOs Can’t Fix This Mess | WIRED – the interesting this is that this is written by Ellen Pao; who went through hell when she did this at Reddit. Good read. It could be a slippery slope however, what happens when whats fine in the US isn’t fine in Europe, or the middle east or Asia?

    Saudi Arabia banned from advertising reform agenda on British TV | World news | The Guardian – how would this affect other country ads. Could Mexican Tourism Board ads be seen to be masking the issue of narco-violence? This feels like a slippery slope in many respects

    If you have a Yahoo account your emails have probably been scanned to figure out what you buy — and they may have been read by employees of the company – so lots of viagra and other spam email products in the vast majority of seldom opened accounts

    Luxury’s Unofficial Poster Boys | The Daily | Gartner L2 – You don’t need a brand ambassador to reap the rewards of influencers. In China, TFBoys’ wholesome act has become a cultural and marketing juggernaut, though not always via official partnerships.

    The ugly truth about why I left BBDO China after just a year | Advertising | Campaign Asia – not terribly surprised, even in a tier one city like Beijing

    The convergence of AI and nanotechnology — Nano Magazine – machine learning work on image processing has improved microscopy. Machine learning is also being used in chemical modelling which is an important part of modern chemistry

    Facebook, Twitter and violence are linked | The Japan Times – correlation certainly, though less convinced about causality. Technology certainly facilitates, communication and organisation but there are other substitute real world comms platforms like BBM, email etc

    One yen camera: we bought an extremely cheap camera off Yahoo! Auctions and tested it out【Pics】 | SoraNews24 – really interesting article on his experiences, particularly how the smartphone camera metaphor threw him off on his first shots

    FACT CHECK: Did Vladimir Putin Rescue an Injured Donald Trump from the Viet Cong During the Vietnam War? – No. But its hilarious to think that this even got on to the internet

    Vietnamese website taunts Chinese drama fans with South China Sea quiz | Reuters – clever trolling, though it does remind me of the way Saudis were trying to undermine Qatari sports channels through rampant piracy

    The truth about ‘Snapchat dysmorphia’ | Dazed – is Snapchat really driving cosmetic surgery?

    Norte :: Itaú – Kidsbook Collection – great use of Canvas mobile content format

  • Family funeral & things from last week

    I spent the weekend travelling back to Ireland for a family funeral. Despite the fact that it was a family funeral it was good to see some members of the family whom I haven’t seen since I was a teenager. It also cause me to reflect on some things, it inspired my post ‘Ramblings on consumption‘ and you might see similarly inspired future posts. I thought back to my childhood playing cards with my uncle and I have been been getting online practice of the card game Twenty Five. Twenty five had the same impact in rural Irish society that mahjong has for Chinese communities. If any of you want a game let me know.

    I came across an interesting case study on Chevrolet’s celebration of Children’s Day in China. I have put the video below so that you  can see the project, its a nice piece of work. Secondly it is worth reflecting on how this project fits into the changing media landscape. This exemplifies the cross over between brand advertising and corporate communications work that is now happening around the world. Brand advertising is leading this charge into PR’s heartland and taking some of PR’s largest budgets. In a separate note The Holmes Report found that the industry’s top inhouse PR leaders have had their budgets halved over the past six years.

    Enjoy the case study

    Winston Sterzel on shooting with China Central Television (CCTV) – think of it as PBS or the domestic BBC television service with Chinese characteristics.

    Heathrow Express’ advert featuring The Krankies was an interesting choice of creative. It’s very consistent with their brand and mildly subversive.

    GUCCI – Why are you scared of me WeChat campaign features a robot built by Hiroshi Ishiguro, director of the Intelligent Robotics Laboratory at Osaka University clad from head to toe in Gucci. When is the last time you saw a Chanel talking about:

    • What it means to be human
    • Ray Kurzweil’s concept of the singularity, where machine intelligence exceeds human intelligence?

    It then reflects on the benefits that technology have brought to date:

    Because of technology, we have turned fairy tales into animations and created memories of countless human childhoods.Because of technology, home entertainment equipment brings joy to the family, which has inspired many children’s future dreams and aspirations. Even two strangers, when they talk about the common memories they used to have because of the popularity of technology, can seem to understand each other in an instant.

    The implication being that new forms of shared memories may bond robotics in spite of negative factors like the ‘uncanny valley’.

  • China technology transfer + more

    China’s Technology Transfer Strategy: How Chinese Investments in Emerging Technology Enable A Strategic Competitor to Access the Crown Jewels of U.S. Innovation Michael Brown and Pavneet Singh – China is executing a multi-decade plan to transfer technology to increase the size and value-add of its economy from its base as the world’s 2nd largest economy. By 2050, China will be 150% the size of the U.S.2​ (with the goal of being double the US economy by that time and decrease U.S.’ relevance globally)​.  This technology transfer to China occurs in part through increasing levels of investment and acquisitions of U.S. companies which are at record levels today. ​China participated in about 10% of all venture deals in 2015 up from a 5% average participation rate during 2010-2016. China is investing in the critical future technologies that will be foundational for future innovations across technology both for commercial and military applications: artificial intelligence, robotics, autonomous vehicles, augmented and virtual reality, financial technology and gene editing. ​The line demarcating products designed for commercial vs. military purposes is blurring in these new technologies. Investments are only one means of technology transfer which also occurs through the following licit and illicit vehicles ​where the cost of stolen intellectual property has been estimated at $300 billion per year. (PDF) – China technology transfer is like the piracy or opium trading of past centuries. China technology transfer is war by other means. More related content here.

    PwC hangs up on landlines in shift to ‘mobile first’ culture | Business | The Guardian – makes sense given the amount of under-used IP telephones that lie around in offices now

    WhatsApp groups can now be restricted so only admins can send messages | VentureBeat – which could take out a lot of SMS gateway offerings for marketers, enterprises etc

    M&C Saatchi beefs up presence in ‘influencer marketing’ | Financial Times – The rise of influencer marketing, which Mr Kershaw calls “performance marketing” because recommendations can have a direct and measurable impact on scales, complements traditional advertising (paywall)

    Luxury Car Buys Want to Declutter & Human-Centric Design | auto connected car news – This online survey is not based on a probability sample and therefore no esti­mate of theoretical sampling error can be calculated.

  • PornHub VPN & other things this week

    PornHub are one of the more interesting brands out there at the moment. Yes I did just write that last sentence. They’ve been hosting content that might be considered transgressive but isn’t porn, they have their own clothing range and a collaboration with New York streetwear brand Richardson. Their Asa Akira t-shirt is well tasteful and office-friendly. Seriously.

    They’ve now launched their own VPN service, which makes sense given what they know about getting streaming to work across networks.

    2B-Alert Web – is US department of defence funded research on optimising your caffeine intake. They are looking to have personalisation options and apps in the future.

    Liquid crystals can be trippy to look at through a microscope. I remember seeing something similar to this eons ago when I spent a bit of time in a Corning lab in North Wales. The lab is now a grass field next to a Toyota engine factory.

    Audi is in the process of launching its new Q8 SUV. They’ve taken a leaf out of BMW’s book; creating an online-only mini-series that initially reminded me of BMW’s The Hire. Good on Audi for signing off on a project like this.  I was a bit disappointed in the execution, it needs work: Q8 Unleashed.

    I’ve talked here before about the market dynamics driving streetwear upmarket to the point that it resembles the eco-system around Hermes’ Birkin bags – part luxury good, part financial investment. This Google talk from Stock X riffs on the theme. Stock X aren’t alone; there are a number of competitors as well as traditional online auctions eBay and Yahoo! Japan.

    https://www.youtube.com/watch?v=3hd8lpHIIEc