Stepping out of the box: Lladró diversifies to attract new Asian customers

Diversification and targeting new customers: These form the essence of a new strategy which Spanish porcelain manufacturer Lladró hopes will drive success in Asian travel retail.

Lladró unveiled new Light & Scent lighting and fragrance products at last month’s TFWA Asia Pacific Exhibition & Conference in Singapore. It was the brand’s first appearance at the event after a nine-year absence. The refreshed product line-up and ‘out of the box’ approach prompted positive reaction, the company said.

Light & Scent: Lladró’s new products were revealed at TFWA Asia Pacific.

Lladró Director Travel Retail José Sáez told The Moodie Davitt Report that the company was intent on emphasising innovation and design. The new products, he said, underlined the company’s intention to grow in travel retail, with Asia a targeted region.

“Lladró is all about porcelain and people. The brand’s aim to touch emotions, to ‘connect’ with our customers, remains as strong as ever.”

Sáez said Lladró is focusing on inflight sales and gifting. The company is determined to offer travelling consumers that “something different” they are looking for.

“Diversification is a basic part of the company’s long-term strategy,” he said. “From our range of sculptures and collectibles just a few years ago, we are now offering art pieces, icons, lighting products, which range from portable lamps to chandeliers, home fragrances, fashion jewellery, small furniture and functional gifts. So now we are able to talk to new people about a great new product range.”

Sáez emphasised that Lladró’s extended product range did not mean a move away from the company’s basic principles. “Lladró is all about porcelain and people. The brand’s aim to touch emotions, to ‘connect’ with our customers, remains as strong as ever; just as our products remain functional and emotional, and all handmade in Spain.

“I believe many retailers are looking to enrich the shopping experience in travel retail. New categories, new brands and new services are being welcomed, as is Lladró’s new approach. Jewellery concepts, for example, are becoming more emotional, more engaging.”

Lladró previewed an innovative porcelain jewellery range at the exhibition and Sáez hinted at “further surprises” in that category.

Lladró says diversification into new product ranges is integral to the brand’s long-term strategy.

Sáez underlined the importance of the Japanese market, which accounts for at least 30% of the company’s domestic sales in Asia. “Japan is a great market for us, even with a remarkable cultural relevance,” he said. “We have been learning and working with Japanese icons and traditions for a long time and Japanese travellers are very important in our travel retail and European business.

“The approach that they have to our products is very sophisticated, partly through an artistic excellence they enjoy, and partly through a deep understanding of what we offer.”

Sáez said travel retail must “surprise and seduce” younger Asian travellers. He said Lladró was targeting that market with its Light & Scent concept and destination/local collections.

“Travel retail is a perfect window for people who know the brand but who were not planning to buy. Lladró’s new porcelain proposals offer great viewing and purchasing prospects as they offer something new.”

Sáez noted Lladró’s shift away from its reliance on fans and repeat customers and traditional marketing techniques.

Hand-crafted: A recent Firefly activation in Rome, where customers were encouraged to personalise their purchases, will be repeated in travel retail.

“Social media is a big speaker for our messages but pop-up activations are also important,” he said. Sáez said a recent do-it-yourself Firefly event at Lladró Margutta Home in Rome, where customers were encouraged to personalise their lamps, would roll out in travel retail soon.

Many of Lladró’s new products have been developed to fit easily in cabin luggage. However, the company also offers a worldwide ‘white glove’ door-to-door delivery service in collaboration with DHL.

“Travellers love to use it,” Sáez said. “They can even choose the day that they want to receive it back at home. All is easy and guaranteed, no matter the size or the complexity of the piece. In travel retail there are some legal regulations and limitations for the service in some countries but in general it is commonly used,” he added.

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