New Clarivate Report Reveals Luxury Brands are Accelerating Digital Transformation to Meet Demands of Changing World

Brand IP and analytics from Clarivate shed new light on the luxury brands sector; brands are growing their presence in non-traditional sectors and adapting to a new generation of consumers

LONDON, Dec. 7, 2021 /PRNewswire/ -- Clarivate Plc (NYSE:CLVT), a global leader in providing trusted information and insights to accelerate the pace of innovation, today released a new report, Luxury brands: Re-calibrating brand strategies for a changing world. Luxury brands are re-calibrating and advancing their digital brand strategies as they respond to today's challenges and target new audiences and markets, according to the report.

Brands brave new sectors
Luxury brands are entering new sectors such as software, gaming and electronics, blurring previously clear lines between sectors. Computer, software, electrical and scientific products rank among the top five in terms of trademark filing activity for luxury conglomerate Moët Hennessy Louis Vuitton (LVMH), according to trademark research data in the report.¹ The diverse business interests of LVMH, which range from luxury hotel management and fashion to wine and spirits, means that it is a microcosm of the luxury sector and therefore, a bellwether of broader industry trends.

Gordon Samson, President, IP Group, Clarivate, said, "Organizations faced unprecedented uncertainty in the last two years. Luxury brands were no exception. Spurred by the changing world, they have evolved the way they operate, from boosting their digital presence and embracing e-commerce to revamping the in-store experience to an immersive or hybrid experience. It will be interesting to see how and when luxury brands, masters of the art of brand building, accelerate the science of IP intelligence to inform decision making."

Targeting Gen Z and millennial consumers
50% of luxury consumption globally is expected to come from young consumers by 2025.² Generation Z and millennial consumers are less settled in their purchasing preferences, more adventurous and digital savvier than the older demographic luxury consumer. Brands are turning to digital to engage with these young consumers, adopting augmented reality (AR) and virtual reality (VR) technologies to bring virtual fashion shows and virtual showrooms to consumers' living rooms. Trademarks filed by LVMH mentioning AR/VR in 2019 were more than double compared to the previous year, according to the report. Off-White, part of the LVMH family, registered marks for a VR headset, speaking to the brand's appeal to a younger demographic.