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nurun Stratégie Digitale

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nurun Stratégie Digitale

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  1. Cartier L’Audace selon Cartier: A disruptive way to sell luxury on the internet November 2006 nurun.com Stratégie Digitale Cartier

  2. Nurun Cartier

  3. Context • Threefold objective • To expand our distribution network and generate additional business • To create a relationship tool and a high -quality customer service-oriented website • To convey brand image and values • Two markets, two approaches, two brand cultures • Be more aggressive on the US market, acquire new clients • Be more service-oriented on the Japanese market How to address these different issues with an Efficient Interactive Strategy? How can Cartier leverage this Interactive Experience in its Global Strategy? Cartier

  4. Nurun’s immersive and collaborative approachInteractive Strategic Workplan Corinne Delattre Interview « Chez Cartier, je m’offre le frisson.  Il faut ramener de l’audace et de l’innovation.  On achète Cartier pour faire partie de ce monde, pour avoir ce plus. » Eric Lefaix Interview « Aujourd’hui on va sur le site avant d’aller en boutique parce que ce n’est qu’un catalogue ; mais demain, si le site vend, on ira aussi après être passé en boutique pour s’assurer du bon choix et acheter ». Cultural Sushi & Nurun New York Discussions Cartier

  5. Nurun’s immersive and collaborative approachInteractive Strategic Workplan Multicultural team Brainstorming What would be the best luxury experience on the Internet for you? « L’interface, la richesse de la navigation. Prendre le temps de tout voir, être sûr de choisir ce qui me convient le mieux  » « Pouvoir se perdre. Etre surpris dans l’expérience sensorielle. » « Qu’on s’occupe de moi  » Cartier

  6. Strategy Cartier

  7. Cartier : 3 guidelines structuring our reflexion • How to create exclusivity on a widely accessible media? • How to meet creative and service expectations for a luxury brand on the Internet ? • How to define an online luxury boutique? Cartier

  8. The dilution of luxury: new values, access modes and targets Cartier

  9. Luxury: brand positioning or reality? • A growing number of brands are self-proclaimed luxury brands • Luxury is diluted into marketing and becomes a positioning gimmick for some brands • Both high-end fashion brands and mass-market brands seeking to establish this up-market repositioning claim to be part of the luxury universe • This usurpation of luxury codes erodes the very notion of luxury • Luxury brands caught in the crossfire • 2 options : leveraging inaccessibility to create seduction and desirability… • …or getting closer to fashion-inspired high-end universe to be more accessible • Impossibility for a luxury brand to reconcile both approaches Cartier must emphasize its unique and referential brand value Cartier

  10. Facilitated access to luxury items • The incursion into mass retail circuits • Product vs. retail exclusivity : e.g. Karl Lagerfeld collaborating with H&M • Growth of private shopping portals, both online (e.g. Vente-Privée.com) and off • Parallel sales channels short-circuit brands • Resell of luxury brand items bought abroad with multi-channel ordering is particularly developed in Japan • The Internet facilitates the industrialization of these phenomena, through sales on popular transactional sites (e.g. eBay), be they for certified or counterfeit items • The Internet celebrates over-accessibility to luxury creation • Products are available 24/7 to anyone online… • …while most luxury brands sustain rituals and codes reserved to an elite and an exclusivity that almost amounts to exclusion Cartier must redirect their customers to Cartier points of sale, wholesalers included Cartier

  11. Luxury: an attraction point for multiple targets • Diversified customers with various relationships to luxury • Subsistance of a pool of initiated customers, attached to traditional luxury and to "excellence, exigence et extraordinaire" • Growth of a customer segment valuing « ostentatious »luxury. • New targets spur new expectations • A more personal and emotional relationship to luxury, different for each individual • Less gift-oriented purchases : customers buy luxury items for their own pleasure, to "experience the thrill, have that thing" that makes the difference • Country specifics : luxury as a matter of status in the US ; a more iconic presence of luxury in Japan, along with strong emphasis on service Cartier must respect the diversity of purchase behaviors to improve sales rituals and efficiency Cartier

  12. The Internet sets high standards in terms of creativity and service Cartier

  13. Immersive, demonstrative and spectacular media creativity NikeWomen : the user at the heart of the product demo Brawny : sell-o-tainment dresses up advertising message Mercedes Benz : rich media gives life to sensoriality Ikea : immersive displays as footbridges to product pages Cartier

  14. Initiated by online mass retailers, thoughtful services target specific user needs Amazon : collaborative filtering for product recommandation Avon : a specific advisor for each user NikeID : mass customization online L'Oréal Paris : accompany product use Cartier

  15. The public, a driving force for innovative services and content Coke : participative brand portal Verizon : UX demonstrates power of broadband Wilkinson : branded virtual community La Roche-Posay : user panel as product post-test …an approach incompatible with Cartier's brand position Cartier

  16. Luxury and e-commerce, the confrontation of two realities Cartier

  17. What motivates online luxury purchases? • Convenience can justify an exclusive relationship to a website • Price is often an essentiel element (special offers, private shopping and discount) • Distance, lack of time and crowded stores remain influential motives • Exclusivity is a rare but determining factor • An accentuated phenomenon for the ultrawealthy • 93% of individuals worth $10 million or more made online luxury purchases within the past 12 months • vs. 55% of all wealthy consumers • Actual contact with products remains essential • Make a purchase for a previously identified item : 38% of the ultrawealthy prefer to purchase luxury goods online, vs. 33% who favor face-to-face transactions * • Conversely, prepare a purchase from the site : in luxury goods, nearly 80% of consumers turn first to the Internet to learn about companies and the products they sell * Online purchase is driven by benefits of use, offer or services * Source : Luxury Institute, July 2006 Cartier

  18. "Luxury goods are not commodities" 1. 2. 3. 4. Luxury must drive the evolution of e-commerce standards Cartier

  19. Online presence of luxury becoming more premium Bulgari : evocative power of creation Piaget : sensorial website and reassurance within reach Tiffany : a retailer-like approach to e-commerce Chanel : product scenography and innovative navigation Luxury's trickiest duty : ponder on means of efficient yet qualitative sales drive Cartier

  20. What is the mission of the Internet for Cartier ? Cartier

  21. Enhance quality of service from the brand • Integrate new purchase behaviors and targets • Optimize cross-channel circulation • Seduce and develop brand attachment • Maintain competitive lead in terms of creativity and boldness Cartier

  22. Which promise for Cartier online ? Cartier

  23. Whatever my relationship to luxury, the Cartier.com boutique accompanies me and respects my way of browsing, discovering or purchasing creations… • … in doing so, Cartier.com helps me establish a personal relationship to the brand. Cartier

  24. How to bring the promise of Cartier.com to life ? The site as a stage, with Cartier creations at the center Maintain restricted-access zones, sure sign of exclusivity Cartier.com, a full-fledged brand experience "On request" : a personalized relationship to Cartier 1. 2. 3. 4. Cartier

  25. The site as a stage, with Cartier creations at the center 1. • Cartier.com as a stage for creations, to promote them as a demonstrative element of the brand's expertise and seduction power Cartier

  26. Maintain restricted-access zones, sure sign of exclusivity 2. • Within a site accessible to virtually anyone online, Cartier offers multiple levels of service introducing exclusive areas reserved for registered users, customers and VIP clients Cartier

  27. Cartier.com, a full-fledged brand experience 3. 'Luxury is now about collecting experiences' • Position Cartier.com in a creative and service universe that best represents the brand's signature, and where the personal and emotional relationship to Cartier finds its place Cartier

  28. "On request" : a personalized relationship to Cartier 4. • A non-linear experience which adapts at any moment to specifics and needs of each user, be they seeking inspiration, guidance or just results Cartier

  29. Bringing the vision to life Cartier

  30. Identifying different user motivations Guide me With expert advice, education and interactive tools Show me The complete range of Cartier designs Inspire me With legendary jewels and exceptional creations Cartier

  31. Dispatch page Inspire me Show me Guide me • Meet our Experts • Interactive Guides • Gift Finder • More Cartier Guides • Questions? • Glossary • Collections • Jewelry • Timepieces • Leather Goods • Accessories • Fragrances • Bridal • Corporate Gifts • Only from Cartier • Icons & Inspirations • Legendary Designs • Art & Artists • POV… Creation Inspire me Creation Show me Creation Guide me The potential for different navigation paths Cartier

  32. The concept behind the interface Cartier

  33. A multi-dimensional user experience dedicated to your clients • Diversity of customers • Cultural specificities / geographic location • Socio-demographic characteristics • Different Internet uses • Personal relationship to luxury … • … and to the Cartier brand • Different needs… • …and contact points How can we best guide them through their interactive experience ? Cartier

  34. More details about the recommended user experience Cartier

  35. Dispatch Sitemap Existing web sites Japan e-commerce website US e-commerce website Sitemap Homepage Search Guide me Show me Inspire me Your Shopping Bag My Cartier La Maison Cartier Customer Care • Meet our Experts • Interactive Guide to Fine Jewelry • Interactive Guide to Timepieces • Gift Finder • More Cartier Guides • Questions? • Glossary • Collections • Jewelry • Timepieces • Leather Goods • Accessories • Fragrances • Bridal • Corporate Gifts • Only from Cartier • Icons & Inspirations • Legendary Designs • Art & Artists • P.O.V.… Patron of the Arts Login / Inscription Inscription form Heritage Shopping Online Login History • Security & Privacy • Shipping information • Returns & exchanges • Order cancellation • Merchandise & availability • Your online account • Credit card use • Sales tax • Recommended viewing configuration • Legal notice Art magazine + subscription Shipping Address Your Profile The Cartier Collection Artist profiles Gift Card The Cartier Foundation Emblematic Pieces Your Selection Billing Information Expertise Events Quick access Your current purchases Confirmation Caring for Your Purchases Craftsmanship Your past purchases Cartier Boutiques Excellence Product Page After-sales Service Discover the Experience Newsletter subscription Responsible Practices Store Events Store Finder Customer satisfaction Store Finder Store Finder Details & Purchase Options Contact Us Make an appointment Questions? Cartier

  36. Online Content: Digital is different Nurun’s approach: • Online content is interactive. It enables site visitors to engage in a direct exchange with your brand • Editorial strategies that perform well in print do not necessarily succeed online, where readers become users/interlocutors and words are integrated into a functional, multimedia interface Cartier

  37. Content Strategy: Communicate Style + Substance • Content is key for www.cartier.com – Focus on the relationship • Brand communications: Express the emotional rewards of the relationship between Cartier and the online customer • A tone, a manner, a style that are identifiably Cartier • Expertise and service: Convey the functional benefits of engaging with Cartier • Convert offline editorial assets into relevant, valuable interactive content • Corporate content: Enrich the perception of Maison Cartier • Relay history, legacy, connections with art & artists in ways that resonate with users and deepen the relationship • Content that reflects brand attributes • Quality • Perfection • Exclusivity Cartier

  38. Conclusion for the user experience Cartier

  39. L’audace selon Cartier: A disruptive way to sell luxury on the Internet • Better price guarantee • Brand, service & security reassurance • Collaborative filtering helps people discover products • Social commerce (product reviews) • Discovery of brand values, product catalogue and purchase can occur in the same time & space on the site • 3 clicks to the product • The site is composed of product lists, filtering tools and product pages • Standardized log out with cross & upsale bargains • Strictly efficient information E-commerce standards Cartier specifics • Better value guarantee • Brand, service & security made obvious • Products & customers are unique • Value-added advice provided by expert sales people • The site is a part of a complex multichannel puzzle • Who cares about clicks in a fluid broadband world ? • The site is a multimedia interactive experience • Service-oriented log out built to help customers rather than push sales • Seduction first, information as a service Cartier

  40. Interactive media strategy How to solve a potential paradox : communicate the Cartier brand image AND support e-commerce’s business plan Cartier

  41. To solve this paradox: creative, targeted actions • Make Cartier communication must-see events • With ambitious launch plans, innovative media formats… • Support e-commerce objectives with animations through the year • Define a media mix that corresponds to the business objectives • Based on target acquisition cost and target number of sales • Ensure a defensive strategy in search engines for brand visibility • Mix natural indexing and paid search to be present on all requests linked to the brands • Customize media plans according to country specificities • Include mobile supports in Japanese media plans • Take into account the supports’ coverage • Google, leader in US vs. Yahoo, leader in Japan Cartier

  42. Optimize site to deploy web-based campaign components and facilitate SEO. • The site is designed to host any brand event • Vs. a dedicated events micro-site strategy • The separation between the layout in Flash and the content in XML to bring full natural indexing compliancy • Visible HTML pages will be automatically generated from the XML content for the product description pages • Those optimized pages will be indexed on relevant searches (ie. Cartier love bracelet) to lead contacts to the Flash version of the site • Indexing of the new site will allow a better presence in search engines • Because visible pages are totally Google compliant as opposed to hidden content like on the present site • Thanks to a better distribution of the right PR (page rank or popularity) of the site on all the product pages Cartier

  43. The global online presence and the campaigns are built to use every lever of interactivity to drive registration and sales both online and offline Cartier

  44. Strategic sites Search marketing Targeted marketing E-mail Offline Many interactive scenarios can be built to sustain the global business Cartier

  45. But each scenario must be built with clear KPIs in mind Cartier

  46. Strategic sites Search marketing Targeted marketing E-mail Offline Display Visit Registration Sale Profiling x x x x 1 2 3 4 Media optimization according to ROMS Cost per lead (registration, sales appointment) Cost per visit including post click and view ROMS : return on media spending Acquisition cost (cost per sale) Client’s value (ex: RFM analysis) Cartier

  47. Conclusion: the media strategy, first step of the global contact strategy • Media optimization will be included in the overall contact cost strategy • The contact cost strategy includes all online and offline contacts before, during and after the purchase • It takes into account the value of the client • based on his media origin, his reactions to Cartier communication and his purchase behavior • It helps define segmentation rules for more targeted communication • The contact cost optimization will become more precise over time • First step: only online acquisition costs will be assessed • Second step: dedicated studies will bring together on and off-line data • Requirement: gather a significant number of contacts in the database and analyze over several months • The final goal: a 360° view of the consumer’s value whatever his points of contact • Which means an integration between on and off line data Cartier

  48. International Organization Cartier

  49. Our philosophy Our experience in international project management has taught us that the key to success is to adapt the team and the project organization to the client organization. What have we understood about your organization? • A highly centralized international project management team based in Paris • Need to involve all local teams and obtain a consensus, especially owing to the sensitive issue of introducing a new distribution channel… • ...which will be controversial owing to the specificities of each market These issues will be treated in different ways at different stages of the project... Cartier

  50. 1- Definition - global An international strategy that must take into account specific market needs • The global definition will be centralized by Cartier & Nurun International teams in Paris • To optimize the involvement of your subsidiaries, we suggest that you: • Assign local Nurun representatives for both US and Japan, who will be part of the master definition process in Paris and who will report to local Cartier representatives. • Arrange formal meetings with the local teams at each strategic step during the definition process: • At the beginning: Each country will provide local requirements via a questionnaire (products, legal, marketing…) • Half-way: Have them to come to Paris for a week to participate in workshops • At the end: the outcome of the definition process will be presented to the teams (and boards?) of each country in the US and in Japan Cartier