We have for too long conceived of things in the west and then, when they have been successful, run them sequentially in other places in the world. The paradigm has changed. The markets in Shanghai or Korea are so matured and highly developed that it means creative activities must be shared now. Sequential does not work any more
Michael Burke (CEO, Louis Vuitton), Financial Times, 7 September 2020 [link]
The CEO of Louis Vuitton (LV) has praised the latest menswear fashion show as the joint creative effort of LV teams in Paris and Shanghai, anticipating that from now on Asia is going to play a much more significant role in the creative pipeline of the luxury powerhouse.
“Sequential does not work anymore,” however, not just because the Asian markets “matured.” It is the whole geopolitical order of the industry that has changed.
Sociologist Weber famously stated that every relationship of power is based on a certain interest from one of the parties in complying (fear, respect, admiration, etc.). The aesthetic and cultural power exerted by Western luxury in Asia is a by-product of the Western colonial hegemony. Western luxury brands have built their own global empires on the trade of Western symbols of social distinction and cultural elevation. Halfway between imposed habit and exotic practice, the consumption of Western luxury items has been validated by the local élites as conduit to prestige and dream.
The delocalisation of manufacturing in the 1990s never questioned the Western-centric order of luxury. Nor did it the emergence of Asian aspirational consumption markets, like China. China was kept at the margins of both luxury production and consumption, as cheap manufacturer of luxury and its peripheral consumer: the Chinese disdain towards the “made in China” Balenciaga Triple S is quite revelatory of the country’s paradoxical roles.
In time, Western luxury brands realized they had become too complacent. It was not enough flashing their logo here and there to have customers flock. Most importantly, some learnt the hard way they could not keep objectifying Asian customers through flat stereotypes – remember the D&G “chopstick gate?” In order to retain their position in the Asian markets, luxury brands had actually to redefine the source of their power. Companies and brands have been working hard to develop a softer power of attraction, which stems from their ability to establish a meaningful dialogue with their Asian customers, rather than from the over-reliance on their Westernness.
The evolving nature of Western luxury power in Asia echoes a wider change in the relationship between companies and customers at large. ICTs and social media have created a networked space of continuous interaction, enabling audiences to engage with brands in real time, thus orienting their creative and communicative directions. This relationship too is not sequential anymore: from being the final recipients of products and contents, customers and audiences are now actively partaking in the creation of what a brand is and means.
Power in the digital age is fluid and relational, and circulates through likes, feeds, and comments. Successful brands will be the ones fully leveraging the potentialities of soft power to enhance their creative operations and communication strategies.