Luxury ecommerce Industry: A varied approach from the quintessential ecommerce method

Since 2009, Vizury has proven to be a valuable partner to online advertisers by re-targeting website drop-offs and driving them back into the purchasing life cycle and ensuring that the advertiser’s marketing RoI is maximised. Our robust technology and innovative ad serving solutions have seen us divulge successfully into verticals such as ecommerce, flights, hospitality, group–buying, classifieds etc.

As the advertiser’s expectations and competition in this highly dynamic industry increase, the need of the hour is to improvise and innovate. As a result, we have been looking at the verticals with a different mind-set and believe that although few successful factors can be replicated across various verticals, each of them is unique and so should the approach of user re-targeting be! Vizury caters to a varied spectrum in the ecommerce industry ranging from apparels, groceries, luxury, gaming and electronics to name a few.

To give a slight perspective of Vizury’s customised approach to verticals, let us dive deeper into the luxury vertical.

China’s Luxury Market

China is the world’s fastest growing luxury market clocking a growth rate in excess of 70% over the last 4 years and is estimated to account for 20% of the world market with annual sales of $ 539 billion by 2015. With rapidly increasing incomes and attitudes shifting towards the display of wealth, the Chinese consumers are getting increasingly comfortable splurging money on luxury goods which are perceived to be a social status symbol. Thus, the end users in this market have a fond association with brands and are far more brand conscious than for other geo-verticals like apparel or electronics.


How did Vizury utilize this information?

Hypothesis 1: Brand consciousness is the single most appealing factor to luxury brand users.
Hence, we modified our banners for the luxury industry and ensured that the banners included not just the re-targeted product but also acted as a source of branding for some of the top brands (like Burberry, Coach, Gucci, Prada, Louis Vuitton).

Hypothesis 2: Users who visited a product page are already sure of the brand they are looking for whereas users who visit the home page are just interested in purchasing a luxury product but are not quite clear of which brand to adopt.
So, we tried these special brand-based banners for users who would not visit the product page.

Hypothesis3: Luxury industry thrives on the principle of exclusivity and the consumers are generally those who like to consider themselves as the rich class or elite; such consumers are willing to pay an extra price for the luxury product and are insensitive to the price.
We included just the final price and chose not to show the discount percentage on our banners.


The results were in sync with our hypothesis about the nature of this industry and the purchasing behaviour of users.

  • Whilst 2.5% users clicked on the brand logo in the conventional banners, the new branding banners resulted in more than 60% clicks on the brand logo!
  • The CTR from these banners were more than 2.5X of the previous banners. Not just that, the alue we added to the advertiser also increased.
  • There was a 2X growth in the number of conversions and an equal growth in the revenue of the campaign.
  • Subsequently, this success story for one campaign was replicated to all other luxury campaigns in China and for our similar advertisers’ in different geographies in Asia and Latin America.

This was just one of the experiments that have been successful and adopt.

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