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2014 Luxury Interactive 
Benchmarking Study
2 
TABLE OF CONTENTS 
Introduction ..................................................2 
Research Findings ..............................3-11 
About Luxury Interactive .....................12 
About WBR Digital ..................................12 
Introduction 
2014 Luxury Interactive Benchmarking Study 
Creating digital brand awareness, and adapting to consumers’ preferences continues to be 
at the forefront of marketing campaigns for luxury brands. The C-suite at luxury brands is 
fi nally acknowledging it is imperative to survive by offering more product online to compete 
in the global eCommerce space. Luxury brands must connect digitally with their consumer via 
personal touch as the consumer continues to turn to their “online” peers for opinions. 
As such, now more than ever, dollars are being poured into technology to cater to—and 
target—the online consumer. 
Luxury Interactive has created the 2013 Benchmarking Study to further evaluate current 
online retail and digital opportunities for luxury brands and professionals. This report 
contains evaluations and insights of the 150 participants from the annual Luxury Interactive 
conference held in September 2013. Professionals from companies such as Saks Fifth 
Avenue, David Yurman, Viceroy Hotel, and more contributed to the survey’s results. 
To Your Success, 
Megan Kessler 
Event Director, Luxury Interactive 
@LuxInteractive
88% 
3 
QUESTION 1: 
83% said 
<50 
million 
What are your online revenues annually? 
3% >150 million annual online revenue 
14% 50-150 million annual online revenue 
83% <50 million annual online revenue 
QUESTION 2: 
Looking at my online business in 2012-2013... 
Conversion rates: 
84% Increased 
12% Decreased 
4% Stayed the same 
Customer repeat visits: 
73% Increased 
15% Decreased 
12% Stayed the same 
Average order value: 
88% Increased 
0% Decreased 
12% Stayed the same 
0 20 40 60 80 100 
84% 
12% 
4% 
73% 
0% 
15% 
12% 
12% 
0 20 40 60 80 100
83% 
83% 
4 
QUESTION 3: 
Please pick all the areas where you plan 
to invest in ecommerce tech within the 
next 12-18 months: 
QUESTION 4: 
What percent of the marketing budget 
at your company is spent on eCommerce, 
online and digital? 
77% 
63% 
63% 
47% 
60% 
SEM 
SEO 
Display Advertising 
Personalization/Website 
Email 
Mobile (apps) 
Mobile (site design) 
Global Solutions 
33% 
Social Engagement 
Online Video 
Multi-Channel Initiatives 
Content Management/eCommerce Platform 
Merchandising and Visualization 
Web Analytics/Data Management 
Usability/Testing/User Experience 
CRM Systems 
57% 
63% 
53% 
50% 
53% 
60% 
50% 
63% 
0 20 40 60 80 100 
“With luxury brands’ interest in building seamless, correlating 
CRM touchpoints, it is evident brands want to take CRM 
data and build a targeted approach with e-mail and SEM 
communications.” 
– Megan Kessler, Event Director, Luxury Interactive 
*Percentages not meant to add up to 100%. Respondents may select more than one option. 
46% said 
More 
than 
10% 
0 20 40 60 80 100 
27% 0- 5 % 
19% 5-10% 
46% More than 10% 
8% We are an eCommerce only retailer
5 
QUESTION 5: 
Has your investment in digital initiatives 
increased or decreased in the last 
12 months? 
100 
QUESTION 6: 
For you mobile strategy, which of the following do 
you have in place (or plan to have in place this year)? 
97% said 
Investment 
in digital 
initiatives 
increased. 
100 
80 
60 
40 
20 
0 
97% Investment in digital initiatives increased 
3% Investment in digital initiatives decreased 
82% Mobile Optimized Website 
46% Mobile Application 
50% Mobile Optimized Email 
80 
60 
40 
20 
0 
82% 
46% 50% 
Renaud Dutreil, former chairman of LVMH, recently said he sees a desire among 
the wealthy to be seen as “billionaire nomads.” If luxury brands are mobile-ready, 
they are able to be in the hands of the consumer anywhere, at anytime. 
*Percentages not meant to add up to 100%. Respondents may select 
more than one option
6 
QUESTION 7: 
Are you satis ed with the results of your 
mobile initiatives (to date)? 
54% Yes, they are satisfi ed with the results of their mobile initiatives 
42% No, they are not satisfi ed with the results of their mobile initiatives 
4% Not Sure, if they are satisfi ed with the results of their mobile initiatives 
QUESTION 8: 
How are you using social media? 
54% said 
YES 
100 
93% Engagement 
80 
87% PR 
53% Customer Service 
60 
40 
20 
0 
100 93% 
80 
60 
40 
20 
0 
87% 
53% 50% 
60% 
“[Social Media] bring benefi ts because we are speaking directly to our customers in real 
time. People believe they’re talking to the [Tommy Hilfi ger] persona, not the brand.” 
– Tommy Hilfi ger, Principal and Founder, Tommy Hilfi ger Group (Financo, 2014) 
*Percentages not meant to add up to 100%. Respondents may select 
more than one option 
50% Sales 
60% Advertising
74% 
7 
QUESTION 9: 
Has your spend on social media 
marketing increased or decreased? 
Increased Decreased 
QUESTION 10: 
Does your company have a CMO that 
oversees both online and o ine marketing 
initiatives/spend/investment? 
67% 
56% 
59% 
48% 
52% 
22% 
19% 
15% 
19% 
11% 
15% 
0 10 20 30 40 50 60 70 80 
Overall 
*Percentages equal number of times each category was 
selected in total, divided by the number of respondents 
total, eg. 74% of all of the respondents have increased 
their overall social media marketing spend whereas 22% 
of respondents have decreased their overall social media 
marketing spend 
71% said 
NO 
0 10 20 30 40 50 60 70 80 
29% Yes, their company has a CMO that oversees both online and 
offl ine marketing initiatives/spend investment 
71% No, their company does not have a CMO that oversees both 
online and offl ine marketing initiatives/spend investment
8 
QUESTION 11: 
Do you have a VP of eCommerce? 
QUESTION 12: 
What percent of your overall sales is done 
through digital channels? (check only one) 
53% said 
NO 
74% said 
0-15% 
of overall sales 
is done through 
digital channels 
47% Yes, we have a VP of eCommerce 
53% No, we do not have a VP of eCommerce 
74% 0- 15% of overall sales through digital channels 
7% 15- 30% of overall sales through digital channels 
11% 30- 45% of overall sales through digital channels 
4% 45- 60% of overall sales through digital channels 
0% 60- 75% of overall sales through digital channels 
0% 75- 90% of overall sales through digital channels 
4% 90%+ of overall sales through digital channels
9 
40 
30 
QUESTION 13: 
As 20 
an organization, are you trying to adopt 
more strategies that mimic those of mass 
market retailers? 
10 
QUESTION 14: 
When evaluating new digital tech partners, 
how long does it take for your company to 
make a decision? 
50 
40 
30 
20 
10 
0 
42% 
8% 
50% 
42% Yes, they are trying to adopt more strategies that mimic those of mass 
market retailers 
8% Maybe, they are trying to adopt more strategies that mimic those of mass 
market retailers 
50% No, they are not trying to adopt more strategies that mimic those of mass 
market retailers 
41% Weeks to a couple of months 
48% 3- 6 months 
11% Longer than 6 months 
48% said 
3- 6 
months 
0
10 
QUESTION 15: 
What most a ects your speed of decision? 
(check only one) 
QUESTION 16: 
Are you currently hiring? 
44% said 
Measured 
ROI 
54% said 
NO 
44% Measured ROI 
28% Ease of Implementation 
28% Slow internal Management Process for Evaluation 
46% Yes, they are currently hiring 
54% No, they are not currently hiring
50% 
50% 
50% 
11 
QUESTION 17: 
If yes, areas are you hiring for? 
(check all that apply) 
Strategy/Leadership/Exec Team 
Marketing Analytics 
Paid Search 
Social Media 
CRM 
Email 
SEO 
Mobile 
40% 
20% 
40% 
30% 
0% 
*Percentages not meant to add up to 100%. Respondents may select more than one option. 
0 10 20 30 40 50 
The majority of participants are hiring 
for Marketing Analytics, CRM and 
Email positions. 
“At Luxury Interactive, we found that 
there was really rich information in terms 
of digital trends and what is going on in 
that space for luxury brands.” 
– Michelle Peranteau, Director, 
Marketing  Communications, Baume  Mercier 
“[Luxury Interactive] is a well-organized 
unique conference that presented 
insightful topics and good networking 
opportunities with an alluring cross 
section of retail brands.” 
- Stephen Carl, Director, eCommerce, Lafayette 148 New York
12 
About Luxury Interactive 
Luxury Interactive allows eBusiness and marketing 
executives to hear speakers openly illustrate risks taken 
and ideas tested with their brands that has ultimately 
shown a signifi cant payoff in both customers engaged 
and profi ts realized. Luxury Interactive invigorated those who attended 2013, leaving them wanting more, and 
excited for what 2014 will deliver. By being a part of the Luxury Interactive community, you are able network 
with your peers and identify strategies to successfully drive and achieve your brand’s objectives. 
Luxury Interactive is the premier—and only—luxury branding and digital conference. Now entering its 8th year, 
the annual conference brings together luxury brand marketing and eCommerce executives, innovators and 
thought leaders, who offer insights and solutions for the most pressing issues facing the industry. 
About WBR Digital 
WBR is the world’s biggest large-scale conference company and part of 
the PLS group, one of the world’s leading providers of strategic business 
intelligence with 16 offi ces worldwide. Our conference divisions 
consistently out-perform their industry sector competitors on the quality of the events we produce and the 
relationships we nurture with both attendees and sponsors. 
Every year over 10,000 senior executives from Fortune 1,000 companies attend over 100 of our annual 
conferences – a true “Who’s Who” of today’s corporate world. From Automotive events in Bucharest to 
Logistics conferences in Arizona to Luxury conferences in New York and Finance summits in Hong Kong, WBR is 
dedicated to exceeding the needs of its customers around the world. 
In addition to our industry leading conferences, our professional services marketing division, WBR Digital 
connects solution providers to their target audiences with year-round online branding and engagement lead 
generation campaigns. WBR’s marketers act as an extension of your team relieving strain on your internal 
resources while promoting your brand and solutions to your prospects. Solution providers can target identifi ed 
accounts or relevant industry/function segments of WBR’s entire global database of over 500K senior-level 
decision makers. 
We invite you to join 
us at the 2014 Luxury 
Interactive Conference 
in October in Manhattan. 
For more information, please 
visit www.LuxuryInt.com 
and follow us on Twitter at 
@LuxInteractive

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Luxury Interactive Benchmark 2014

  • 1. 2014 Luxury Interactive Benchmarking Study
  • 2. 2 TABLE OF CONTENTS Introduction ..................................................2 Research Findings ..............................3-11 About Luxury Interactive .....................12 About WBR Digital ..................................12 Introduction 2014 Luxury Interactive Benchmarking Study Creating digital brand awareness, and adapting to consumers’ preferences continues to be at the forefront of marketing campaigns for luxury brands. The C-suite at luxury brands is fi nally acknowledging it is imperative to survive by offering more product online to compete in the global eCommerce space. Luxury brands must connect digitally with their consumer via personal touch as the consumer continues to turn to their “online” peers for opinions. As such, now more than ever, dollars are being poured into technology to cater to—and target—the online consumer. Luxury Interactive has created the 2013 Benchmarking Study to further evaluate current online retail and digital opportunities for luxury brands and professionals. This report contains evaluations and insights of the 150 participants from the annual Luxury Interactive conference held in September 2013. Professionals from companies such as Saks Fifth Avenue, David Yurman, Viceroy Hotel, and more contributed to the survey’s results. To Your Success, Megan Kessler Event Director, Luxury Interactive @LuxInteractive
  • 3. 88% 3 QUESTION 1: 83% said <50 million What are your online revenues annually? 3% >150 million annual online revenue 14% 50-150 million annual online revenue 83% <50 million annual online revenue QUESTION 2: Looking at my online business in 2012-2013... Conversion rates: 84% Increased 12% Decreased 4% Stayed the same Customer repeat visits: 73% Increased 15% Decreased 12% Stayed the same Average order value: 88% Increased 0% Decreased 12% Stayed the same 0 20 40 60 80 100 84% 12% 4% 73% 0% 15% 12% 12% 0 20 40 60 80 100
  • 4. 83% 83% 4 QUESTION 3: Please pick all the areas where you plan to invest in ecommerce tech within the next 12-18 months: QUESTION 4: What percent of the marketing budget at your company is spent on eCommerce, online and digital? 77% 63% 63% 47% 60% SEM SEO Display Advertising Personalization/Website Email Mobile (apps) Mobile (site design) Global Solutions 33% Social Engagement Online Video Multi-Channel Initiatives Content Management/eCommerce Platform Merchandising and Visualization Web Analytics/Data Management Usability/Testing/User Experience CRM Systems 57% 63% 53% 50% 53% 60% 50% 63% 0 20 40 60 80 100 “With luxury brands’ interest in building seamless, correlating CRM touchpoints, it is evident brands want to take CRM data and build a targeted approach with e-mail and SEM communications.” – Megan Kessler, Event Director, Luxury Interactive *Percentages not meant to add up to 100%. Respondents may select more than one option. 46% said More than 10% 0 20 40 60 80 100 27% 0- 5 % 19% 5-10% 46% More than 10% 8% We are an eCommerce only retailer
  • 5. 5 QUESTION 5: Has your investment in digital initiatives increased or decreased in the last 12 months? 100 QUESTION 6: For you mobile strategy, which of the following do you have in place (or plan to have in place this year)? 97% said Investment in digital initiatives increased. 100 80 60 40 20 0 97% Investment in digital initiatives increased 3% Investment in digital initiatives decreased 82% Mobile Optimized Website 46% Mobile Application 50% Mobile Optimized Email 80 60 40 20 0 82% 46% 50% Renaud Dutreil, former chairman of LVMH, recently said he sees a desire among the wealthy to be seen as “billionaire nomads.” If luxury brands are mobile-ready, they are able to be in the hands of the consumer anywhere, at anytime. *Percentages not meant to add up to 100%. Respondents may select more than one option
  • 6. 6 QUESTION 7: Are you satis ed with the results of your mobile initiatives (to date)? 54% Yes, they are satisfi ed with the results of their mobile initiatives 42% No, they are not satisfi ed with the results of their mobile initiatives 4% Not Sure, if they are satisfi ed with the results of their mobile initiatives QUESTION 8: How are you using social media? 54% said YES 100 93% Engagement 80 87% PR 53% Customer Service 60 40 20 0 100 93% 80 60 40 20 0 87% 53% 50% 60% “[Social Media] bring benefi ts because we are speaking directly to our customers in real time. People believe they’re talking to the [Tommy Hilfi ger] persona, not the brand.” – Tommy Hilfi ger, Principal and Founder, Tommy Hilfi ger Group (Financo, 2014) *Percentages not meant to add up to 100%. Respondents may select more than one option 50% Sales 60% Advertising
  • 7. 74% 7 QUESTION 9: Has your spend on social media marketing increased or decreased? Increased Decreased QUESTION 10: Does your company have a CMO that oversees both online and o ine marketing initiatives/spend/investment? 67% 56% 59% 48% 52% 22% 19% 15% 19% 11% 15% 0 10 20 30 40 50 60 70 80 Overall *Percentages equal number of times each category was selected in total, divided by the number of respondents total, eg. 74% of all of the respondents have increased their overall social media marketing spend whereas 22% of respondents have decreased their overall social media marketing spend 71% said NO 0 10 20 30 40 50 60 70 80 29% Yes, their company has a CMO that oversees both online and offl ine marketing initiatives/spend investment 71% No, their company does not have a CMO that oversees both online and offl ine marketing initiatives/spend investment
  • 8. 8 QUESTION 11: Do you have a VP of eCommerce? QUESTION 12: What percent of your overall sales is done through digital channels? (check only one) 53% said NO 74% said 0-15% of overall sales is done through digital channels 47% Yes, we have a VP of eCommerce 53% No, we do not have a VP of eCommerce 74% 0- 15% of overall sales through digital channels 7% 15- 30% of overall sales through digital channels 11% 30- 45% of overall sales through digital channels 4% 45- 60% of overall sales through digital channels 0% 60- 75% of overall sales through digital channels 0% 75- 90% of overall sales through digital channels 4% 90%+ of overall sales through digital channels
  • 9. 9 40 30 QUESTION 13: As 20 an organization, are you trying to adopt more strategies that mimic those of mass market retailers? 10 QUESTION 14: When evaluating new digital tech partners, how long does it take for your company to make a decision? 50 40 30 20 10 0 42% 8% 50% 42% Yes, they are trying to adopt more strategies that mimic those of mass market retailers 8% Maybe, they are trying to adopt more strategies that mimic those of mass market retailers 50% No, they are not trying to adopt more strategies that mimic those of mass market retailers 41% Weeks to a couple of months 48% 3- 6 months 11% Longer than 6 months 48% said 3- 6 months 0
  • 10. 10 QUESTION 15: What most a ects your speed of decision? (check only one) QUESTION 16: Are you currently hiring? 44% said Measured ROI 54% said NO 44% Measured ROI 28% Ease of Implementation 28% Slow internal Management Process for Evaluation 46% Yes, they are currently hiring 54% No, they are not currently hiring
  • 11. 50% 50% 50% 11 QUESTION 17: If yes, areas are you hiring for? (check all that apply) Strategy/Leadership/Exec Team Marketing Analytics Paid Search Social Media CRM Email SEO Mobile 40% 20% 40% 30% 0% *Percentages not meant to add up to 100%. Respondents may select more than one option. 0 10 20 30 40 50 The majority of participants are hiring for Marketing Analytics, CRM and Email positions. “At Luxury Interactive, we found that there was really rich information in terms of digital trends and what is going on in that space for luxury brands.” – Michelle Peranteau, Director, Marketing Communications, Baume Mercier “[Luxury Interactive] is a well-organized unique conference that presented insightful topics and good networking opportunities with an alluring cross section of retail brands.” - Stephen Carl, Director, eCommerce, Lafayette 148 New York
  • 12. 12 About Luxury Interactive Luxury Interactive allows eBusiness and marketing executives to hear speakers openly illustrate risks taken and ideas tested with their brands that has ultimately shown a signifi cant payoff in both customers engaged and profi ts realized. Luxury Interactive invigorated those who attended 2013, leaving them wanting more, and excited for what 2014 will deliver. By being a part of the Luxury Interactive community, you are able network with your peers and identify strategies to successfully drive and achieve your brand’s objectives. Luxury Interactive is the premier—and only—luxury branding and digital conference. Now entering its 8th year, the annual conference brings together luxury brand marketing and eCommerce executives, innovators and thought leaders, who offer insights and solutions for the most pressing issues facing the industry. About WBR Digital WBR is the world’s biggest large-scale conference company and part of the PLS group, one of the world’s leading providers of strategic business intelligence with 16 offi ces worldwide. Our conference divisions consistently out-perform their industry sector competitors on the quality of the events we produce and the relationships we nurture with both attendees and sponsors. Every year over 10,000 senior executives from Fortune 1,000 companies attend over 100 of our annual conferences – a true “Who’s Who” of today’s corporate world. From Automotive events in Bucharest to Logistics conferences in Arizona to Luxury conferences in New York and Finance summits in Hong Kong, WBR is dedicated to exceeding the needs of its customers around the world. In addition to our industry leading conferences, our professional services marketing division, WBR Digital connects solution providers to their target audiences with year-round online branding and engagement lead generation campaigns. WBR’s marketers act as an extension of your team relieving strain on your internal resources while promoting your brand and solutions to your prospects. Solution providers can target identifi ed accounts or relevant industry/function segments of WBR’s entire global database of over 500K senior-level decision makers. We invite you to join us at the 2014 Luxury Interactive Conference in October in Manhattan. For more information, please visit www.LuxuryInt.com and follow us on Twitter at @LuxInteractive