What is Tiffany & Co’s marketing strategy?
What is Tiffany & Co’s marketing strategy? Tiffany & Co is a company based in the United States. And it was founded by Charles Lewis Tiffany and Teddy Young in 1937. Its foundation dates back more than 170 years. And its main occupation is the manufacture of luxury jewellery and goldsmiths.
Like other luxury brands, to meet the needs of its target audience, the Tiffany & Co marketing strategy is guided by a marketing mix, which we will be explaining in this post.
Who is the target audience for Tiffany & Co?
For this brand, one of its main objectives has been to be able to enter the market as one of the best luxury jewellery stores. Similarly, on one occasion, the brand announced that, regardless of the social class of women, the idea is that everyone can have access to these highly prestigious jewels.
How does Tiffany & Co’s marketing mix help the brand succeed?
Tiffany & Co is guided by a marketing mix strategy like other exclusive brands. When carrying out an action plan, it covers the 4Ps: the product, the price, the place, and the promotion.
These are several marketing strategies that coming together have helped this brand achieve considerable success.
Thanks to its marketing mix, it has known how to position itself in the fine jewellery market, surpassing the competition. As for its commercial objectives, these have also been achieved through marketing.
Next, we are going to break down the Tiffany & Co marketing strategy for a better understanding:
Product Strategy, Tiffany & Co’s marketing strategy.
Tiffany & Co is dedicated explicitly to creating luxury jewellery and other specialized items. We can find personalized water bottles, watches, silver items with different designs, quality leather items, porcelain items, and much more among its range of products.
It is worth noting that this brand has always been inclined towards a target audience with purchasing power. They have an original style of The Blue Box to wrap their items. And it is something very valuable for each of the people who receive it.
This brand also has handmade engagement rings, both for boyfriends and girlfriends. They also make wedding rings and a large number of jewellery collections. Indeed, they also offer products made by the world’s leading designers. But this is not all, as its gift cards and great perfumes with 100% premium fragrances are also worth mentioning.
Their marketing mix has also caused them to diversify their products. Including picture frames, pet supplies, baby supplies, textiles, key chains, decorative sets, and many high-end products.
Thanks to this variety of products, the brand has positioned itself as a supplier for premium customers who are part of high society.
Price Strategy, Tiffany & Co’s marketing strategy.
The Tiffany & Co brand is dedicated to manufacturing luxury items. And one of its main objectives has been to expand its income through its products with the lowest cost in the market.
At one point, prices were between $35 to $60, which helped increase the volumes sold.
This pricing strategy in the marketing mix increased its products step by step for a certain time. In this way, the prices of expensive items were maintained for two consecutive years.
And the brand focused specifically on low-priced items. Likewise, Tiffany & Co has been increasing revenue from its high-priced products. All by offering promotional materials, discounts, and a higher percentage of an online presence.
Distribution Strategy, Tiffany & Co’s marketing strategy.
Tiffany & Co was founded in 1837, with its official headquarters in New York, although its flagship store was established in 1940. A curious fact is that this store’s windows, floors, and interiors overflowed with such beauty that they became the best in his class. Therefore, it was a true attraction in Hollywood at that time to have a setting in the best style of the movies.
As time passed, the brand began expanding its points of sale in previously selected locations. In fact, by 1990, Virginia was home to the largest Tiffany & Co store in the suburbs of the United States.
However, this is a brand that, until today, has had its stores in privileged locations. Such as Madrid, Manchester, the United Kingdom, Australia, and other iconic places in the world. Tiffany & Co has known how to connect with its customers through its stores because of the elite feeling it has brought.
In the case of India, we can see two Tiffany & Co stores. One is located in Ahmedabad, and the other in Chennai. In the same way, this brand is currently operating in more than 20 countries worldwide, generating millions of dollars in sales, especially since 2012.
Promotion and advertising strategy, Tiffany & Co’s marketing strategy.
By 1945, the brand began promoting itself through a mail-order catalogue called “the blue book.” Likewise, by 1994 they had the first color catalogue. And in addition to this, they took advantage of the use of print media for their promotion through advertisements.
Tiffany & Co has focused on commitment to its customers for some time now. So, its marketing strategy focuses on digital media, considering that all its products are available online. Of course, as a luxury brand, they face a significant challenge in selling their products due to their high price. However, the brand is all about a quality content strategy, which has earned them millions of followers on its social media.
There is plenty of room for luxury brands to continue their expansion through an online business. To improve Tiffany & Co´s marketing and achieve a more significant presence, the creation of a Ring Finder engagement app has been created. It offers several ring options that the consumer may like after putting their finger under their smartphone´s camera.
This way, customers can obtain the product they really want without going to a physical store. This type of emotional selling is an excellent strategy for selling your products online.
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This is Tiffany & Co´s marketing strategy. It is worth adding that this brand is also committed to a more sustainable future. And since 2006, it has already used solar panels in some of its factories.
Likewise, its marketing mix strategy highlights the increase in the use of digital media to connect with the public and sell its products online. If we take a look at their social media, we can see that the company was right to bet on the use of this communication channel:
- Twitter: 1.7 million followers.
- Facebook: 9.5 million followers.
- Pinterest: 299 thousand followers.
- Instagram: 13.30 million followers.
A marketing mix strategy usually works very well for luxury brands. Therefore, if you have a brand that belongs to the luxury market. At BluCactus, we have the experts to implement your brand’s strategies.
Do you want to reach your target audience and generate more sales? You just have to contact us, and we will gladly assist you.
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