Data Dependant?
[Op-ed]
To coin a Fed phrase, we look at the pros and cons of using big data to “forecast” and set fashion and lifestyle trends, and the impact this has on branding.
Are brands placing too great an emphasis on big data and analytics when formulating their business, marketing and brand strategy? Ditto for style editors. Could this be a factor in the rise of same-y content and demonstrably-absent real art direction?
In 2024, the time has come for companies to invest in their brand and build a new legacy.
It is good to see that a few brands are marching to their own beat (Phoebe Philo among them). Yet all too many appear overly reliant on using social media data and associated influencer campaigns to push trends, whilst taking a nap when it comes to true branding and value-add for their clients. At the same time, consumers are increasingly seeking brands that embody true character and substance, not to mention modernity.
Trends in consumer preferences suggest a move towards individualism, independence, and hence the growing desire for niche brands demonstrating new perspectives. For brands looking out at the landscape in 2024, we pose a few questions to consider-
Data is out of date
Relying on data to “create” trends and inform brand strategy is tricky, since by definition, those trends are already out there. Data is out of date. Fashion editors beware: trends are not worthy of the name unless they are pushing the envelope, and come out of left field. In other words, peddling existing aesthetics, moods and conscious shifts back at consumers in the name of progress is suboptimal. An example, was the idea of red, in 2023. Yet so 2022. For art directors and style watchers, this phenomena is becoming more and more transparent.
It doesn’t help that many brands are clumped together, owned by giant behemoths, and while economies of scale and all that, this can equate to uniform and decidedly soulless branding. And there is really no excuse. Profits at many luxury brands are up by a generous sum. Unfortunately, we have witnessed a steady decline in differentiation and much jumping on the band wagon in terms of look, feel and messaging.
The same can be said for mainstream print. When you read a magazine these days, content is playing catch up. There simply aren’t enough surprises to spark your imagination. We see the same celebrity-heavy, social media-driven promotional content, with a scant focus on the value, craft, mystery and the more interesting aspects of the fashion, beauty and lifestyle industries. This is a shame. The fun, mood, attraction and once visionary nature of fashion and beauty is all too often lost.
Influencer or influenced?
The reign of the influencer is also in question. Yes, this marketing channel is effective- yet there can be such a thing as too much of a good thing.
And one also has to ask, who is influencing whom? Each time the latest it girl comes into her own, she is plied with loafers, Adidas gazelles paired with strange white socks, or falconeri knitwear tied across the shoulders (insert as appropriate)- and, et voilà, another one bites the dust. It doesn’t help that many paid sponsorships are at odds with the influencer’s own brand. In addition, the risk is that once forever-cool, iconic pieces are quite ruined among true fans. Not a great move in the long run.
The numbers are clear. According to the BoF-McKinsey State of Fashion 2024 Consumer Survey, 65% of respondents are looking less to fashion influencers compared to previous years, switching their attention towards more down to earth, real personalities and quirky, unexpected content.
And then we have the advent of parody- enter Gstaad Guy. While this skit is occasionally amusing, and entertaining content is a trend, it is anyone’s guess how this approach will impact the luxury brands pinpointed. Is the campaign designed to put people off? Out and about in Mayfair these days, if we notice a chap wearing summer walks, we crumple up in wry laughter. Is this a good thing for Loro Piana? Not really. It will be interesting to see how it pans out.
Gen Z
Data-driven approaches to brand management and marketing tend to skew the picture of what the brand is all about, and lead to brand strategy and trends that are focused on one pillar of a company’s complete client base- that of Gen Z (which accounts for 40% of spending on the Instagram platform). Due to this, many brands moving further away from their core DNA, in an attempt to backfill and appeal to the main users of social media (Gen Z), instead of looking at the brand holistically and creatively and determining the aesthetic, products, messaging and mood, from within.
Plus, do brands really know what Gen Z wants? The BoF-McKinsey State of Fashion 2024 survey, notes a steep decline in user engagement on Instagram (-30% in 2022, source: Instagram) and that 68% of respondents disliked the amount of sponsored content on the platform. Gen-Z’ers are also tuning out of advertising for advertising’s sake, as well as increasingly algo-warped feeds (aren’t we all). The average Gen Z consumer now spends less than 1.3 seconds engaging with advertising.
Perhaps brands might need to rely less on data-dependant driven ideas of positioning, and an overwhelming focus on Gen Z, and more on delivering creativity, passion and a sense of connection with what makes the brand unique.
Issy Miyake, SPRING SUMMER 24, “SHAPED MEMBRANE”.
Authenticity
The remedy? For brands to re-invest in their brand DNA: who they are, what they stand for and on innovating from the inside out.
A good example of a brand that is making this happen is Lacoste. The beauty of the company’s clever, design-led approach, is that the company has never wavered from its lineage and association with tennis (Jean René Lacoste) and athletics, yet it has also taken heed of the changing winds. The Paris-based company has invested in producing beautiful moving image campaigns, web3 architecture and community elements, and sportsluxe daywear to name a few. In other words, the brand is disrupting itself in order to usher in a new set of consumers.
Likewise, Massimo Dutti is making all the right moves, from enticing and inspiring product to graceful and contemporary art direction. Also garnering our admiration are: Anna Sui, By Malene Birger, Carven, Dries Van Noten, Eudon Choi, Issy Miyake and Simone Rocha.
Are more brands once again going to take the wheel and think long term? We hope so, and signs are positive. According to the BoF-McKinsey State of Fashion 2024 Executive Survey, 71% of executives intend to invest in brand marketing in 2024, and 46% will also invest in performance marketing.
Refresh
Brands are living, breathing entities that require care and cultivation, and are somewhat more than being about one demographic or place and time.
Perhaps companies are betting on the rise of web3, gaming and community in a digital realm, and hence singling out Gen Z to hitch their wagon to. This strategy poses risks and opportunities for brands. Questionable whether the world envisioned will be the world of the future; and irrespective of the outcome, trends and branding will still need to hold true in order to appeal to their audience- perhaps even more so.
Indeed, the mark of a strong brand lies in having a coherent and compelling strategy; taking a fresh stance, having an eye to the future, and not on the herd, whilst staying true to its core identity and ethos. Such factors ultimately determine brand success, appreciation and loyalty.
It would be nice to see more brands considering their core essence and innovating in accordance with the times. Conflating social media data and analytics with branding tends to lead to lack-lustre results, and the intangible draw of many iconic brands may erode over time as a result. While data has its place in fomulating marketing strategy, branding and trends, perhaps it just shouldn’t take up so much of the whole pie.
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Articles:
The Year Ahead: Why Brand Marketing in 2024 May Reclaim Its Glory Days, BoF & McKinsey, 8 December, 2023.
The Year Ahead: The Alluring New Face of Influencer Marketing, BoF & McKinsey, 3, January, 2024.
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© All rights reserved. Lifestyle Copywriters, Ltd. November, 2023.
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