Living in the ‘Experience Economy’
First talked about in the 90s (by James Gilmore), the Experience Economy is nothing new. Now, anyone with a mobile phone is immersed in their own daily experience economy. The success of a business – big or small, product or service based – hinges on the quality of its brand experience. People are more willing than ever to spend high proportions of their earnings on memorable experiences over things. This says a lot for the future of brands.
Dr. Thomas Gilovich, professor at Cornell University wrote about the ‘Science of Why You Should Spend Money’. He says: “Most people are in the pursuit of happiness. You’ll get more happiness spending money on experiences like going to art exhibits, doing outdoor activities, learning a new skill, or travelling.” Experience moves people and emotions help to sell. So “experiential” can be even bigger than the product itself when it comes to marketing. Customers want to be in the experience, not outside it. They’re hungry for content and compelled to share knowledge. The Louis Vuitton Series 3 Exhibition #LVSeries3 tunes into this idea with its flashy, 3D description of the creative brain that is Louis Vuitton. It’s an “immersive marketing display” that takes every guest on a mind-blowing journey of strobe lighting, video production and storytelling. Only vast budgets can stage an experience that moves its audience on this level across three international markets. However, many brands can learn from Vuitton in making themselves more ‘social media friendly’.
Next month Cultural Comms decamps to the Saatchi Gallery for the fine watch fair, SalonQP, where guests will expect masterclasses from watchmakers, where high-end drinks companies and sound systems will make memorable experiences. This is where previously inaccessible sound systems like LINN (whose entry-level speakers require a 5 figure investment), use the experience economy to compel the next generation of customers.