When it comes to luxury retail, the shopping experience can matter as much as the product. Such influences are especially relevant for high-end stores, which have long sought to create distinctive experiences. The strategies they use to do so match real-world consumer behaviors, in the sense that consumers use luxury goods to signal the idea of wealth and present a desired image to others. By buying a high-end piece, customers are buying a part of the luxury world. And that world promises plenty of perks and concierge attention, which retail stores seek to establish from the very first interaction with each consumer. 

Complimentary water or soft drinks may be nice, but they also are sort of standard. To ensure its distinctiveness, Cartier offers free champagne to shoppers, alongside baked goods at some locations. Tiffany and Co. has recently introduced branded desserts, made to resemble the iconic robin’s egg blue jewelry boxes. Hermes has capitalized on its customers’ affection for their pets, by offering gourmet dog biscuits at one Manhattan location.

These offerings reflect a customer service model that some say originated in ancient Greece, where the concept of xenia, or ritualized hospitality and gift-giving, was a central part of the culture. In stores, leveraging such amenities and exhibitions of hospitality creates the added possibility that, in this comfortable environment, visitors are likely to spend more time, as well as more money.

Taking the hospitality notion even further, some stores offer complimentary parties, allowing customers to visit while the store is closed and invite friends to shop alongside them. Both Tory Burch and Gucci have been known to do so, for the right high-profile client or frequent shopper (and likely the right price).

Other brands reward loyal followers by sending gifts for special occasions, ranging from branded clothing and accessories to food and alcohol. Henri Bendel, offer free add-ons, including monogram printing. For the biggest spenders, invitations might be issued to private events, such as Manolo Blahnik’s Press Sale, an invitation reserved for only those consumers who spend more than five figures annually on the brand’s shoes.

Even if such marketing efforts by luxury retailers might seem excessive to regular consumers, experts claim that they are absolutely necessary for companies to distinguish themselves in an increasingly cluttered high-end market, especially among emerging customer segments. As the “old money aesthetic” trends on TikTok, once again, and younger generations begin to purchase luxury goods for the first time, these strategies will remain vital, and novel ways to create a truly luxury experience are likely to continue to emerge from creative luxury retailers.

Discussion Questions 

1. Some of the complimentary items mentioned are not especially expensive (e.g., monograms). How and why can they still incentivize customers to spend exponentially more?
2. How else might luxury stores convince shoppers to spend?

Sources: Alix Strauss, “Have a Scotch or Macaron While You Try on That Watch?” The New York Times, September 11, 2024; “The Perks of Shopping at High-End Stores,” Yahoo News, October 11, 2024