How To Effectively Market To High-Net-Worth Clients

by ​Jasmine Williams, Guest Contributor

If you are in the business of selling high-end, luxury goods, you must understand the driving force or motivation behind your customer's’ buying behavior.
​
It is unique from the motivation behind a typical consumer's actions. Many people purchase luxury items because of the belief that they have superior quality or more innovative features. Some make a luxury product purchase because they want to enjoy the best things in life or because they enjoy the clout that comes with buying exceptional products.

When you understand the motivation behind your customers’ actions, you can create a better marketing strategy that drives sales.

Know Your Consumer Well
For many standard products, consumers act rationally. They usually focus on finding a product that offers true quality, and they may compare different brands to find a great deal in terms of price and features.

Luxury consumers, however, may make an emotional decision to buy a product, and they may even do so impulsively without taking the time to comparison shop. Their purchase may be based on boosting their own self-esteem, rewarding themselves for a special achievement or something else.

In some cases, individuals who had a negative experience with lower priced items may believe that a higher price means improved quality. These individuals may adopt the mentality of getting what you pay for, and they are willing to pay more for what they perceive as being the best option in the marketplace.

Another driving force behind consumers of luxury products is the fear of missing out, which is sometimes called FOMO. These individuals want to buy products that their friends and neighbors may have already purchased, and they often want to buy something that is even better than what their friends have. FOMO can cause individuals to feel vulnerable and insecure, and these individuals are therefore easy to market and sell luxury products to.

Tell a Story About How Unique You Are
An exceptional marketing technique to utilize when appealing to luxury goods buyers is storytelling. While people have been telling stories for countless generations, this marketing technique has only recently started to blossom.

Through storytelling, you can speak directly to the consumer to humanize the need or desire for your product. This technique can have a profound impact on a luxury consumer.

When preparing your storytelling marketing material, focus on the demographics of your target audience or on a set of demographic criteria that is relatable for your audience.

One idea for a story told to a luxury consumer relates to the founding of your company or behind-the-scenes efforts that your company takes to produce exceptional products. You can incorporate everything from emotionally-based music and education to humor and more to evoke nostalgia or other emotions in a luxury consumer.

Storytelling is also an exceptional way for businesses to foster consumer loyalty and to drive sales. When family businesses, such as antique stores, use this technique, they utilize the fact that the business is focusing on creating strong bonds with customers and that it has longevity in the marketplace even in the digital era.

Another thing to remember is that the uniqueness of luxury brands revolves around exclusivity and value. These are products that people are willing to pay more for because of their quality. To preserve that exclusivity, high-end brands rarely or never go on sale, as it indicates that the products may not be as valuable as the consumer originally thought. Hence why your marketing material should focus on quality rather than value or competing with discount prices.

Embrace Digital Marketing
Digital marketing is an excellent way to reach out to high-end consumers. Social media marketing is used across a wide range of niches, and it provides you with a direct way to reach your consumers.

Through social media, you can provide images and videos of your marketing material. These can tell a story, demonstrate features or link to blog posts. Remember to focus on SEO-rich marketing material so that it is easier for your consumers to find through an online search.

In addition to free social media marketing techniques, you can also use paid ads. Consumers can click the ad to directly link to your website. Remember that your content should be unique and eye-catching to your target audience. More than that, at least some of it should be sharable.

While some people fear that using social media marketing will decrease the brand image of a luxury brand, this is not the case. Social media is simply a direct tool that your business can use to reach your niche audience and build a brand image.

Final Thoughts
Because the driving force behind a luxury consumer’s actions is significantly different than that of a typical consumer, the marketing message must be customized to address the consumer in an emotional way. Even though the end customers are unique in their buying power and attitudes, the marketing channels and techniques are very much like those in non-luxury brands.
​