"The internet is a powerhouse for commerce - just not so much when it comes to the luxury category. Although that's hardly surprising. Over the past several years, fast-fashion and discount-driven marketplaces like Temu, Shein and Amazon have put relentless downward pressure on the cost of luxury items. Now, major retailers are trying hard to change that narrative by looking for ways to make certain products premium in order to attract a higher-earning segment of the population while also better competing with Amazon."
"Walmart, for example, finally secured the right to sell Nespresso's nearly $1,700 espresso machine, The Wall Street Journal reports. And AdExchanger also recently wrote about Walmart's expansion up-market into more humble categories, toothbrushes. The tension here comes down to perception. Selling on Amazon or Walmart inevitably erodes a brand's aura of exclusivity - especially when these platforms penalize sellers that offer different prices elsewhere."
Discount-driven marketplaces such as Temu, Shein and Amazon have driven down prices, pressuring luxury categories online. Major retailers are attempting to make certain products feel premium to attract higher-earning customers and better compete with Amazon. Walmart secured rights to sell Nespresso's nearly $1,700 espresso machine and is expanding up-market into everyday categories like toothbrushes. Selling on Walmart or Amazon can erode brand exclusivity because platform pricing policies and broad reach cheapen brand perception. Independent agency Tombras acquired Opinionated to gain West Coast presence and creative talent, signaling indie consolidations as agencies scale and expand into new regions.
Read at AdExchanger
Unable to calculate read time
Collection
[
|
...
]