Burberry: a digital strategy that is just getting started

This post was initially published written for The Wall (Brandrepublic): Burberry, a digital strategy that is just getting started.

The revolution, led by Christopher Bailey’s pervasive approach of creativity and marketing, is still at the very early stage of what the brand is going to be able to deliver.

Step 1 was about rejuvenating the brand, and cleaning up the organization. Burberry CEO AngelaAhrendts managed, with the help of Salesforce CEO MarcBenioff “to create a company where anyone who wanted to touch the brand could have access to it”. And it’s true: the contact strategy is on the edge; Burberry’s live shows are not a gimmick but truly drive consumers to purchasebuttons. The brand managed to become one of the leaders – withTopshop – to shake a sometimes conservative industry.

The Threats

Nonetheless, threats, coming from Asia, are already targeting the brand. It might be a provocation but L2 Think Tank did not even rank Burberry in the “Genius” category of their Digital IQ Index China whereas China ecommerce growth is expected to be multiplied by 3! Observers also fear that Burberry’s actions are just a fad, disconnected from the real value chain of the brand:

 

“Critics fret that [Ahrendts] obsession with bits and bytes is a distraction from Burberry’s core business of selling luxury clothes in shops where tourists feel comfortable unzipping their wallets,” according to the Economist. 

But let’s be honest: the Social Enterprise model is at least thought and ready within strategic departments. It’s alreadyhuge, and not so many brands can pretend to have a vision. Nonetheless, there are still massive margins of progression to actually root it within employees and customers’ minds. When you’re the best, you can always become better right?

Customer 360° or Customer Cultural Stories?

So yes, Burberry’s customers are literally surrounded by the brand, in all their digital and real properties. Screens, call to actions, experiences. It’s fine, but it’s not exactly how you shape a cultural collusion with your customers, and more importantly, your prospects. Moreover: it’s not Burberry can groworganically the reputational currency of the brand in the very long term.

Kenzo, for instance, managed to open its brand equity thanks to Open Ceremony amazing ideas; the brand is now able to let some of new communities “play” with the codes of the brands in their own playgrounds, which generates a massive spreading of engaging projects, which improves brand equity.

At the moment, Burberry knows very well how to shape triggers for customers already interested in the brand, or benefits from media curiosity for all the things “digital”. But between the diverse “campaigns”, there are some optimizations to be set up:

1. Community milestones aka reciprocity: what are the diverse rituals of Burberry with its diverse publics? Not sure it’s very different from competitors so far out of the products themselves. The strong commitment in music (ex: Kaiser Chiefs concert) generated very few “likes” on the official Fan Page, and the live experience was not really followed (only 36 RT on Twitter, more than 2,270 views on YouTube). It demonstrates that Burberry, if it masters the fashion ecosystem (media, digital influencers…), hasn’t earned the attention of other fashionable communities, or hasn’t set up clear habits with their followers.
2. Unexpected territories aka authority: Burberry knows how to entertain its loyal customers, fine. But Burberry hasn’t dared to explore more controversial and more adventurous territories, as Louis Vuitton does (the Sprouse collection is still a massive case study for any luxury brand).
3. Education aka scarcity: the reasons why we buy a luxury brand are very diverse, but education remains key, more precisely for young publics and emerging markets. The shop on Regent’s Street is more a Burberry exercise than an inclusive, comfortable area for doubtful customers.

I’m pretty sure that all these examples of optimization are already “work in progress”. Burberry created its ships on digital oceans. Now it’s time to dive into the depth of social customers.

Laurent François is MD of consultancy French Ideas.