Experience Differentiation Strategy (1): Concepts of Consumer Experiences

Abstract

Abstract:In a mature market like recent Japanese economy, "experiential marketing" has received attention as "differentiation strategy." In this paper, we investigate concepts of experiential marketing. The results show that 1) experiences are involved in obtaining, consuming, and disposing process of products, 2) experiences occurs in a situation consumer face, 3) experiences are behaviors and physiological/psychological effects. These understandings of experiences help us effectively use experiences as differentiation strategy. We have conducted case studies that focus on the representation of luxury in cosmetics design for both domestic and foreign products and compared them based on the theory of customer experience proposed by Bernd H. Schmitt. In this study, we attempted to examine the representation of luxury in relation to cosmetics design, through the analysis of four brands using the customer experience framework as a basis for analysis. The three elements that are considered necessary for the representation of luxury in cosmetics design are as follows: (1) Brand image or company image that is easily identifiable. (2) Each element of design contains a story. (3) The design is innovative and has exclusivity. In terms of functionality and effect/efficacy, the options are without number. However, luxury cosmetics stand as absolute with irresistible appeal. Cosmetics are used on a daily basis to make women beautiful. Women also carry around makeup products in their purse, which may catch people's eyes. In light of this, the representation of luxury in a cosmetic design can be an extremely important element.