Maximizing profit is the key objective for many luxury brands.
Digital and new media are a crucial tool and, in a sort of a rat race for double digit growth, outstanding and provocative events are needed to keep the adrenaline high around the brand.
Unlikely products at crazy prices are launched giving the idea of a never ending waiting list.
This is the age of pop-up brands. They will last until they will last.
They are huge cash machines properly managed to give the sensation of the “phenomenon” of the moment. The coolest, the most sought after. A widely renown success.
The Queen brands of a Volatile Kingdom.
And then there are the Hermès, the Vuitton, the Chanel, the Cartier. Brands that are focusing on endorphins instead of adrenaline, on satisfaction instead of excitement, on managing power instead of being arrogant.
Pop-up brands and established brands run different races. They do not really compete for the same medals. The first ones prefer the sprint, the second ones the marathon.
Pop-up brands tend to maximize their success in quite of a short time (usually the 5-7 year span of a CEO management) and they create obsession around their products. They know it won’t last.
Even the Formula 1 Ferrari has to pit stop before winning.