TBWA brings luxury micro-network to Shanghai, presents storytelling as holy grail

The new TBWA Luxury Arts unit will seek to provide insights into high-networth individuals in China as well as strategic planning, advertising, events, retail, brand identity and all other realms of luxury branding.

Established in Paris in 2011, the first global micro-network focusing on the luxury sector has similar offerings in Tokyo, Rio de Janeiro, Los Angeles, New York, London and Moscow.

Natascha Dzikowski (pictured below, second from left), who heads the TBWA Luxury Arts network after stints at Dior and Sephora, commented, "More than ever, luxury is about strong and powerful storytelling to create memorable dreams and experiences. Our mission is to tell those stories and bring those dreams to life."

Such a story was told last September when a spot (below) featuring Charlize Theron was produced for the Dior J'adore fragrance. It was reportedly the first commercial filmed inside the Hall of Mirrors at the Palace of Versailles.

Theron, a last-minute guest at a fashion show in the story, turned out to be one of the runway models, but not before mixing backstage with yesteryear's divas Marilyn Monroe, Grace Kelly and Marlene Dietrich (more accurately, with their digitised cameos).

The agency's wish is to embody the desirable values of luxury brands with such stories that fluctuate between dreams and reality. And the reality of the luxury market in China can put one in a dreamy state.

A booming economy, plenty of millionaries to boot, and a forecast that China will become the world's largest market for luxury goods by 2015 are exactly the stuff that dreams are made of.

Richard Cotton (pictured below, third from left), head of Luxury Arts in Shanghai, commented, “China is steeped in 5,000 years of history. Great luxury brands are rooted in heritage too. The fusion is incredibly energising and we will harness that energy for our clients".

Looking forward though, in Shanghai alone where TBWA's luxury practice is based, there are 140,000 people with personal assets of US$1.6 million (10 million yuan), accounting for 13.7 per cent of China's high-networth individuals.

This is according to the Hurun Report and independent financial advisory Gao Fu Wealth Management. Furthermore, Rupert Hoogewerf, chairman and chief researcher of the Hurun Report pointed out luxury consumption in China will fuel economic growth.

Ian Thubron (pictured below, first from left), president of TBWA Greater China said TBWA's way of doing business (pictured below) is different from other boutique luxury agencies or consultancies who organise only PR or events. "We have an enormous pool of knowledge, experience and talent in the luxury sector, and gathered these up into a cohesive, global micro-network. It’s unique and collaborative.”

As the Middle Kingdom evolves into the 'Middle Blingdom', it seems tempting to think that the growth (up to 30 per cent year-on-year) of the luxury business will last forever, Thubron added. "That will lead to a conventional way of luxury marketing; we don't want to follow that, but to disrupt that."

One disruption in the context of luxury branding, as explained by Jocelyn Liipfert, social media director of TBWA Greater China, is storytelling via blogs. "Bloggers are disrupting the fashion industry's business models dominated by the elite dictatorship of celebrities, A-listers and magazine editors. They add creditability and accessibility," she said, citing Burberry and Coach as successful case studies in the mainland.

Storytelling is even more important in China because of low levels of awareness of the traditions and heritage of a European luxury brand, Dzikowski told Campaign Asia-Pacific. Take Hermès for example. "Our first customer was a horse," quipped Leo Lui, CEO of Hermès China, at a seminar marking the launch of TBWA Luxury Arts in Shanghai, referring to its beginnings as a saddle and harness maker which is not widely known among the Chinese.

Dzikowski presented two pillars of her luxury branding manifesto: making dreams for brands and creating myths for products. "There is nothing as valuable as these. No human being can live without dreaming; to dream, you need deep and meaningful stories; to tell stories, you need to have a brand rooted in history," she said at the same seminar.