Victoria Vasilieva on the transformation of the luxury industry

The luxury industry is going through a period of transformation, changing its reference points and its approaches to meeting guests' expectations. In an era of rapid technological progress and generational change, luxury-class brands face the need to adapt to new market realities. According to forecasts, from 2036 onwards guests from Generation Z (born after 1995) and Generation Alpha (born after 2010) will account for a third of spending in the luxury goods market. These generations grew up in a digital environment; they value distinctive experience and personalisation above material possessions. For them it matters not simply to own expensive things, but to live through unforgettable impressions. The focus is shifting from the product to the experience. The experience economy is becoming a key instrument in the contest for loyalty. This means that luxury hotels, restaurants and brands must offer something more than high-quality service. Consumers look for an emotional connection with a brand, for distinctive stories and personalised offers. They want to feel part of something special and to receive service that answers their individual needs and reflects their values. LeePrime Group invests in creating distinctive experiences for guests. Our experience shows how transforming the approach to service can be the key to flourishing in the new era of luxury.

Assessment provided by Victoria Vasilieva, Deputy Commercial Director of LeePrime Group