What have we learned about marketing premium products digitally?

Premium Product – Outlines of Its Image

With over 10 years of experience in website development and digital marketing, we have learned a thing or two. One of the important conclusions we came to very quickly is to never market a premium product with standard product tactics. We have collected for you some tools, principles and thoughts on marketing premium products digitally, successfully, elegantly and most importantly – leading to results.

The best definition of a premium product is product + premium. That is, when we purchase or consume a regular product, that’s where it ends. A product and that’s it. When it comes to a premium product, something else is added, added value. The added value of a brand or product can be expressed in visibility, design, materials, specifications, branding, taste and especially in the feeling it gives you as the owner or consumer of that product. Buying a premium product is a statement and a statement, it can associate me with a certain tribe, class and lifestyle.

In our opinion, successful marketing of a premium product, both digitally and offline, is one that puts the product at the forefront. Our favorite approach is called: “Product first, price later”

A good premium product usually knows how to tell a story. One that directly or indirectly details the premium and the added value. We consumers are willing to buy shoes, a car and even a bag of coffee beans, at a price significantly higher than the market price if they come with the right story.
Of course, the price tag of a premium product will be higher than a standard product, but that is not the main thing, and we will talk about the price later (Product first, remember?).

Who are the audiences and how do you target them?

Classical thinking holds that wealthy and affluent audiences are the audiences for the premium products we want to market, with the idea that those who have it will want to purchase more expensive products that demonstrate this wealth. A logical idea, overall, and also feasible. We make sure to target affluent audiences using a variety of techniques, such as by place of residence, or targeting audiences who fly abroad more than X times a year.

But even though this is the obvious plot line, we have discovered more than once that an affluent audience in an affluent locality is not a necessary condition for purchase. Very affluent audiences do not waste money without recognition – they will not buy an expensive brand only if they desire it and choose it. Affluent audiences tend to choose specific and reputable brands to which they have already established loyalty (Louis Vuitton, for example), and completely ignore any other brand.

We very quickly came to the conclusion that our main goal in successful digital marketing in the premium world is to sell to the right people, those who will be happy to invest in the product and become its next owners. They can be affluent and have a lot of means, and to the same extent they may prefer a purchase in installments or as an informed expense for an event Special.

The reason lies in the very definition of a premium product – we believe that you need to tell the brand’s story, present its premium in a refined way, and from there target and advertise to audiences who have expressed involvement and interest in the subject – and only then offer that audience to purchase.

Affordable Premium

We are currently living in a fascinating era of Low Cost that has been replaced and washed away by the Ultra Low Cost trend. Market prices have been undergoing extreme changes in recent years, and as a result, the high-end product market has also undergone a certain adaptation. Many brands have started to market Affordable Premium products, that is, an affordable premium brand. Its price will be slightly more solid (not cheap, but within reach) and its marketing and positioning will be very similar to a luxury product, with a certain accessibility to the wider audience.

Another way to market premium products to a wider audience is of course discounts – even though they completely contradict the The basic essence of a good and expensive product. And yet, even the strongest luxury brands offer discounts at specified and agreed times of the year. It is important to remember that expensive brands become affordable in an instant during a sale, and there you can create impressive box office results. Especially in digital – many surfers will mark a product, save it to favorites and wait many months for the discount day, because that is the day when the product becomes affordable for them. Of course, we would not want to wear out a premium product with multiple discounts, but smart discounts are undoubtedly part of the game.

Branding, design, positioning and perceived value

Branding is like breathing air in the world of premium. Good design has weight and meaning. For example, good design and the right UX can be the difference between an apartment that sells for a million and a half, and an apartment that sells for 6 million. Premium brands live on high-quality and accurate design for the target audience. We know for sure that we do not have to invest huge amounts of money We’ve talked a lot about branding, and we’ve seen for ourselves how our clients’ more basic branding processes have led to the creation of winning brands that sell at incredible volumes. The design must stand the test of time, and suit the palate and taste of the end customer. Good design will make the customer want to take part in the product, and consume it.

Beyond the initial branding and the packaging and marketing process of the brand – there is internet branding, which is no less important. Working properly with bloggers and opinion leaders who are accurate to your brand can make a significant difference. The right people, the right and precise words, the right images – can all affect your branding and perception online. The initial branding is an important step, of course. In our view, it is no less important to invest in ongoing branding and maintain the required standard.

One unsuccessful post can shatter a high-level positioning, and therefore in marketing premium products You have to be twice as careful with every word. We always explain that a premium brand is wrapped in a kind of fragile and delicate glass cover that protects the high branding, and one word out of place can break everything to pieces.
When the perceived value of our product is high, we can price it high enough to look acceptable and agreed upon on the customer’s face. One of our ambitions is that the surfer will see the product, be interested in it, and not be surprised or shocked when they discover the price. In marketing premium products, we don’t always want to reveal the price in the first stage. If your product is sold exclusively in sales, its perceived value is probably lower than its real value.

On prices and the number of charms we discovered

Everything has a price. If even a crime can be priced with an appropriate fine, then of course you can also price a car, shoes, a diamond or a coffee machine. The right pricing can have a significant impact on the surfer, for better or for worse: pricing that is too low can lead to a low And deter, just as pricing that is too high and inappropriate for the target audience may alienate potential customers.

From working with a wide range of brands and clients, we discovered that the pricing of products sold digitally has a significant impact. For example, products priced below 399 NIS are sold more easily, and pricing over 400 NIS delays the sales process (which, by the way, is also completely possible). We have also sold products online for thousands of shekels, and there are certain areas such as electrical products. There, the considerations are completely different. Still, in many consumer products, there is a significant advantage to pricing below 399 NIS.

Surprise, it is actually possible to be a hard sale

You can say a sale, you can call the surfer to leave details, you can offer to buy. We encountered quite a few customers who were simply afraid to market, and that’s a shame. A campaign that has no marketing message comes out bland and unproductive. Also Premium audiences knew how to appreciate assertiveness and direct appeal. But (!) only after implementing the marketing funnel (FUNNEL), the brand story and creating interest.

How do we market a premium product digitally?

So we made sure to give a suitable design, a suitable price, build the story
The brand and tell about the additional premium. And this is where additional secrets come in: you need to build a marketing funnel that starts with the brand story and why it is worth it, telling the surfer exactly what the premium is that they are receiving, using text, images, video and other means. From here, the surfer should be encouraged to leave details, and from there the sale can continue by phone. In many cases, leaving details – starting the transaction – online and ending it offline puts an end to this problem.

Another tactic is to be a little inaccessible, intentionally narrowing the window of opportunity to purchase or obtain, and to make the premium consumer make a little effort to buy our brand. Such a tactic is entirely possible, as long as you make sure to do it smartly and correctly.

If you have a premium brand that you would like to market in an elegant, smart and effective way – We would be happy to talk, get to know you and tell you more.