How can luxury brands future proof with agility? Breitling Shows the way.

Why is agility vital for luxury brands?

As people are buying less stuff, brands are looking to innovate with ongoing services, new models, etc. However, luxury consumer is fickle, and it's hard to predict what they want in advance. Another reason why it's difficult to predict what consumers will want is because of how young generations are buying products nowadays. They value the new over the best, leading to an increase in new products being developed that do not have any brand history or history whatsoever.?

But what are future proof solutions? Established companies can't usually make radical changes or completely reshape their business model overnight. Still, they do have some options for implementing innovative strategies to stay relevant and competitive in a rapidly changing marketplace. These solutions aren't silver bullets, but they provide a good deal of flexibility and additional revenue streams if applied properly.?

Following into Breitling's footsteps

Businesses need to be ready to change course in an increasingly uncertain world as opportunities and threats emerge. By adopting a unique approach to managing its business, Breitling is now more agile than ever—one which allows it to quickly respond to challenges or seize new opportunities as they arise.?

We explore how their agile business model has enabled Breitling, a manufacturer of fine wristwatches, to better compete in a rapidly changing marketplace and why its methods could be adopted by other luxury goods companies seeking similar competitive advantages.?

• It moves across time.

While Breitling believes in physical commerce, it understands that things have changed, especially due to the pandemic. That's why it has shifted the majority of its communications online and is constantly working to create a 360-degree relationship with consumers. Moreover, in October 2020, it became the first luxury watchmaker to offer digital passports for all its new watches.?

• Breitling's marketing squads of three

In a business facing different risks, a brand has to have a creative approach to marketing. The company prefers ambassadors in teams of three who align with its collection segments: the aviation squad, the surfing squad, the cinema, and exploration squads. Having three different world-recognized professionals in each team helps make the storytelling more relevant while facilitating the concept of agility.

• Its customer segmentation

Breitling has developed a unique segmentation system based on something they call navigation velocity. It uses machine-learning algorithms to use the data it collects online with the data from its CRM. This allows the company to tailor its service according to customers' specific needs, tastes and preferences. It has perfected this strategy so much that Breitling managed to stay locally relevant much more than many of its competitors during the pandemic.

• Manufacturing flexibility

Luxury watchmakers are known for their artistry, but these days it's about more than just aesthetics. Many watches are made to order, which means that they don't sit on a shelf waiting to be purchased; instead, they're created to fit specific tastes and styles, and because of that specificity, there's often high demand for customization. Breitling's ability to easily switch out different components is crucial in such an environment because it lowers costs and increases customer satisfaction.