Are Experiences The New Indulgence?
Defining indulgence is not simple. The idea of what it means to be indulged is a rapidly changing one. It was once indulgent for ordinary, working class women to be able to walk into a shop and buy clothes off the rail, however this is now an everyday and common place activity. It was once indulgent to go out for dinner in a restaurant, this is also now nothing out of the ordinary. Having the privilege of an indoor toilet was once as indulgent as life could get, a rarity now that is no longer given a second thought, for most, in the western world. In a world that is becoming constantly more and more complacent, and the luxury market having seen and done everything, is there something new that can take people out of their everyday lives and remain indulgent? Indulgence does not mean the same to everyone. In a series of five interviews people were asked what they find indulgent, some of the responses included ‘holidays, spa days, massages’ and ‘success is indulgent’. (Appendix B) It is difficult to provide an indulgence to all. However, in a world of busy jobs and never ending tasks it is important that brands do so. Through a combination of surveys, interviews, focus groups and research into various fields such as the future of space travel, the logistical limitations of food in zero gravity, branding, current tourism travel, experiences and the luxury market; this report will investigate whether commercial space travel could be the next big indulgence. For the luxury market who have almost everything at their disposal, could they now want to turn to a truly unique experience instead of material goods? Target audience exploration Initially the target audience would be people in the high middle and upper classes. A seat on a Virgin Galactic ship, for example, is reported to cost $200,000 therefore targeting a specific consumer who can afford to spend this amount on a non-compulsory leisure experience.
Example Target Market Profile Age: 40+ Occupation: CEO of large company Free time: Unique experiences, extravagant dining, travelling.
Figure 1
Brands moving towards experiences ‘Experiences are referred to as a “perpetual novelty” which means that no two experiences are the same’ (Schmitt 2011). This makes experiential marketing an excellent way for companies to build relationships with consumers and make their experiences individually memorable. Boden for example, who have remained purely a catalogue brand for years have now opened a physical store due to recognising the need for the customer experience. (Chesters 2015) Maybe the meaning of ‘indulging yourself’ is evolving beyond the purchase of a service or item and is moving towards gaining a potentially life changing experience. Toms opened their first ‘community outposts’ three years ago in Los Angeles. Blake Mycoskie explained at the time that a generic store wouldn’t add any value to the brand but opening a communal area would fill a gap in the market. The communal space offers shoppers a chance to experience something new, in a retail environment. The outposts consist of a patio, yoga classes, movie nights and a Toms coffee shop, serving their own brand of coffee. Mycoskie said that this would make the Toms stores friendlier than most of their competitors. (Kurutz 2015)
Figure 2 Other brands have also begun to move towards providing a more memorable customer experience. BMW have revisited their in store touch points and looked into marketing techniques used in other fields. The company has introduced ‘Product Geniuses’, obviously taking inspiration from the success of the Apple store ‘Geniuses’. This role is to educate the potential customer about the products, not try and sell to them. For this role BMW did not want employees that have come from the car sales industry but more who have come from empathetic roles. The ‘Product Geniuses’ are there to help the customer from the beginning of their journey to the end. (Gallo 2014) This builds better customer loyalty as Alina Wheeler explains in ‘Designing Brand Identity’. Wheeler theorises ‘the branding team needs to see the world through the customer’s eyes…building loyalty and lifelong relationships at each point of contact’.
Figure 3
Making an experience luxurious TRULY is a London based brand that sells unique experiences. They tailor experiences exactly to the customers needs, ‘we will not rest until everything is perfect for you’. They specialise in providing experiences for people who have everything. For example, they offer a ‘near-space odyssey’ experience in which passengers choose to set off from a location of their choice. They then sit four to a pod in a hot air balloon style ship and fly just above the Earths atmosphere, this provides the passengers with amazing views. Countries such a Paris and Rome can be viewed from one window. This would cost the consumer £380,000 for 12 hours, therefore targeting the luxury consumer. TRULY also offer a ‘live spy espionage’ experience and a skincare regime based on the client’s DNA, known as Decode Beauty. (Trulyexperiences.com) LuxDeco is another example of a company that provides a luxury service to those clients looking for more than just good quality products. The furniture company realises that customers may not have time to sift through pages and pages of goods, therefore shoppers are given the option of a personal shopper who will do all the searching and organising for them from beginning to end, based on their needs. The service is followed up all the way through to the end when the products are delivered exactly when is convenient for the consumer, by a white glove service. (luxdeco.com)
Figure 4 Likewise, Amber is a specialist restaurant in Hong Kong. Besides excellent quality food, the restaurant is famous for its impressive interior. Added touches make the eatery even more unique, they offer a selection of over 3,000 bottles of vintage wine and a private wine tasting room. (amberhongkong.com)
Figure 5 These examples demonstrate that in order to appeal to a luxury market, personalisation and the feeling of exclusivity are key. For those who have everything, it would appear that they seek and expect a personalised service that is completely tailored to their needs.
Holistic Experiences A holistic experience, such as space travel, is about getting consumers to directly engage with the stimuli. This can be achieved in a variety of different ways by making the customer sense, feel, think, act and relate to their surroundings or a product. Depending on whether the experience is individual or shared will affect the customer’s reaction. This can be explained in the diagram below.
(Schmitt 2011) Change in consumer trends The luxury market is becoming less exclusive. More people are able to access products and services that would once have been limited to only bourgeoisie classes. For example, concierge and personal assistant services are now available online, on websites such as Pink Spaghetti and ‘YourPersonalConcierge.co.uk’. The expectations of shoppers on the high street have also changed. They now expect excellent, personal customer service. Market research revealed that many high street stores such as TopShop, Debenhams, River Island and Next offer a personal shopping service.
(Appendix C)
Consumer behaviour has also changed in terms of which messages and factors are most powerful in persuading them to purchase a product. For example in a case study of car manufacturer, Volvo, safety was found to not be enough to sell on its own, consumers deemed other manufacturers to be just as safe. Volvo therefore had to make their brand ‘sexier’ in order to stand out. (Schmitt 2011) According to sources such as WGSN, the worlds most trusted trend forecaster, more and more countries are experiencing a rise in the population of their middle classes. Therefore, creating a new demand for luxury products. High end brands are now targeting these new consumers in order to capture their loyalty before other companies do (WGSN.com). When commercial space travel becomes readily available this consumer trend might have changed and grown even more, this will be a factor that flight companies will have to consider when targeting their audience with marketing and promotions. Additionally, consumers might have concerns with such new technology. In a survey 61% of people asked said they would be concerned about the safety of the craft. (Appendix D). ‘Although new technologies can take us…...to places where we have never been, they also create the potential for human error’(Waterton 2014). To overcome this, potential companies could offer health and safety information before the trip, or even offer a simulated version of the journey to ticket holders so that they know what to expect. The survey found that 69% said that a simulation would make them more likely to go on the journey. Experience gained from space travel For those who can access anything they wish to, could commercial space travel be the answer to providing a lasting, impactful and indulgent experience? In a small survey 13 people were asked what they would hope to achieve if they were to go into space, the most popular answers were ‘for a once in a lifetime experience’ and ‘for an out of world experience’. (Appendix D) ‘The astronauts found themselves transformed by their journey’s’ (Hoffman, Apollo 8 Astronaut). This feeling that astronauts have experienced has been dubbed ‘the overview effect’ by author, Frank White, of the same titled book. White explains the theory through hypothetical moon settlements ‘anyone living in a space settlement would always have an overview of everyone living and being part of one system’. Astronauts such as those who have worked on the International Space Station have expressed how the experience changed their perception of life on Earth. They realise how fragile it is and how the only borders they can see are manmade. They refer to the planet as Spaceship Earth, meaning that we are all onboard together (vimeo.com). Taking time out of busy schedules to experience wonderment such as this could be the next necessary indulgence that people in the luxury market could need and enjoy.
Figure 6
Recent efforts and future recommendations Currently ‘Virgin’ are at the for front of the efforts to achieve commercial space travel. ‘The development will allow every country in the world to have their own astronauts rather than the privileged few’ Branson said along with many other reasons why commercial space travel is important.
Figure 7 Virgin planes are already synonymous with luxurious travel experiences. Currently, when travelling on a Virgin aero plane, passengers can expect a truly unique experience even before they embark on the aircraft when they are chauffer driven to the airport. They then go through a private security check before entering the ‘clubhouse’ where they can expect to be waited on before boarding the aircraft. During the flight passengers can choose to sleep by reclining their seat into a bed, watch over 300 hours of television and films, work utilising the in-seat plugs, or enjoy a gourmet meal suited to their individual body clock.
Figure 8 Taking the experience that regular Virgin travelers are used to into consideration, how will Virgin make their newest experience as luxurious? Obviously certain logistical elements will have to be revisited. For example, food and drink will be difficult to offer without providing training to the passengers. Food that can form crumbs can be dangerous in zero gravity due to crumbs floating into passenger’s eyes, also digestive systems would need to adjust to the lack of atmosphere. However, from beginning to end the passengers could still have the experience they are used to. For example, they could still expect to be chauffer driven to a terminal of their choice, taking personalisation inspiration from TRULY, wait in a modified ‘clubhouse’ with themed, futuristic décor. They could be served with food and drink that had been dyed to change the colour and look ‘otherworldly’ before watching a short film on space exploration. Then finally walk through the gate which could be decorated with televisions on the walls playing footage from past space missions. The walls could be dimly lit with blue and purple hues and recordings of astronaut’s communications with their base could play.
Conclusion Looking towards the future of commercial space travel, as a luxury commodity and the factors discussed above, personalisation is obviously paramount in making an experience indulgent. Therefore, a personal travel assistant that would organise all the passenger’s travel arrangements could make the experience more intimate for this type of consumer, with high expectations and limited free time. However, other added elements such as food or entertainment may not be so important to early, commercial, space tourism programmes as it is unlikely that when the first airline launches that they will have any, or much, competition. Normally in a crowded market, the company has to push to be better than the rest, as was the case in the Volvo example. Initially this might not be such a necessity for brands such as Virgin. Although looking far into the future, it is likely that commercial space travel will become a competitive market. While there may be some contestation into how companies could make an experience such as this indulgent, especially to a market with such little time, clearly there are ways to make it immersive, personal and indulgent. Companies that succeed in making commercial space flight a reality still have to appeal to the consumers who can realistically afford a seat, and this market expects the best.
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