Consumer and market trends
Consumer and market trends

Beauty and Luxury: Logistics that maintain the human touch

In a sector where excellence and customer experience are essential, logistics plays a crucial role in upholding the unique standards and image of beauty and luxury brands.

On December 18, 2024

The Beauty and luxury sector occupies a specialised niche in the logistics world. Luxury brands seek out partners who understand and can deliver on the exacting demands and expectations of luxury goods consumers.

A traditional logistics offering that meets the requirements of other sectors is not enough. The beauty and luxury sector requires a next-level commitment to quality.

Whether they shop in-store or online, luxury brand consumers expect equivalent experiences. Online shoppers of beauty and luxury products expect the brand experience to manifest itself in personalisation – or rather, hyper-personalisation – for example, with last-mile delivery that matches in-store service and specialised packaging.

With FM Logistic, brands in the beauty and luxury sector have a logistics partner with more than thirty years of experience of satisfying, learning from, and meeting the evolving expectations of discerning consumers.

In this article, we will show you why partnering with a logistics provider that understands this niche sector is a necessity – not a luxury.

The expectations of the beauty and luxury sector

The modern beauty and luxury supply chain has unique demands. It is not merely distinct in comparison to other sectors; even within the sector, each brand has its own specific requirements for logistics providers. 

The successful logistics partner finds a way to meet those requirements while maintaining efficient and sustainable practices.

Among the typical challenges of the sector are solutions tailored to the people who shop for luxury items:

Specialised packaging

A luxury brand comes in a luxury package, whether the customer buys in-store or online. Brands use packaging to differentiate themselves and to maintain customer loyalty. According to Alexandre de Beaupuy, FM Logistic’s development director of Beauty and Luxury, ‘Packaging is a core ingredient of a brand image, especially in the luxury and cosmetics sector. It should reflect brand vision and values, but also be consistent with the customer’s buying experience in the store.’

Hyper-personalisation

To create a very personalised experience, real-time customer behaviour data is collected and used to build an understanding of individual customers – regardless of where they are buying the products.

Security and traceability

Luxury products are often fragile. And, by definition, they are always expensive. Many luxury shoppers expect to see security staff at the door of a boutique. Customers who buy luxury goods online also expect security

A logistics provider that can project a sense of security and traceability in its processes will impart confidence to the customer that their favourite brand’s online shopping facility is part of the brand experience and not a mere add-on.

How do we meet the beauty and luxury sector’s expectations for streamlined logistics?

FM Logistic addresses these challenges using all of the resources and technologies at its disposal:

We use our co-packing expertise to unpack, re-package, and re-label products as required before shipping them, thus giving producers the ability to focus on selling and promoting their products – rather than on shipping them.

During key periods like Christmas, FM Logistic ensures the smooth flow of purchases, samples, and promotions.

Where possible, FM Logistic pools its B2B and B2C flows for efficiency, while our omnichannel services give luxury companies consistent brand coverage across all channels.

Customer expectations in the luxury sector

The typical luxury customer takes pride in being discerning. Brand desirability hinges on a multitude of factors, from exclusivity to experiences and from personalisation to quality. And, in a market that competes for loyal customers,  their favourite brands would be well advised to give their customers what they want and when they want it.

A luxury delivery service differentiates itself from the rest by ensuring the following aspects of the service are present:

Timing

Luxury deliveries are not confined only to workdays. They offer options such as same-day or weekend delivery, and the flexibility to change arrangements easily.

The boutique handover

Rather than delivery in a standard box by regular delivery drivers doing their daily rounds, boutique handovers are highly personalised. Purchases are delivered in branded packages by uniformed drivers whose arrival has been arranged in a personalised manner.

‘Some Luxury “Maisons” offer their customers high-end home deliveries to extend the in-store customer experience, where well-mannered delivery agents arrive at the customer’s home at a specific time, and allow time for fitting and return the item in the shop if necessary,’ says Alexandre. ‘Zara is another example, for which customer data is collected via an embedded tool on the delivery agent’s phone. We are currently operating this type of delivery for them.

Sustainability

Discerning customers are often  mindful of sustainability. They have come to appreciate more eco-responsible forms of packaging and less polluting modes of last-mile delivery.

Easy returns

As an extension of the boutique experience, luxury deliveries often allow time for the trying on of items such as clothes and shoes, and they provide streamlined return options – including the possibility for an immediate return.

The luxury market offers new challenges, too. Fast fashion, sustainable beauty, affordable luxury, and personalised shopping are all different flavours that bring with them a range of differing expectations.

What a challenge!

Here at FM Logistic, no challenge is too big for us. If you are looking for an experienced provider to manage your complex distribution network and satisfy demanding customers, we have the tools to help you get your products to where they need to go, in the exact way you and your customers expect them to be delivered.

The importance of sustainable logistics in the beauty and luxury sector

Sustainability is a growing concern for every industry, every sector, and every customer. And the beauty and luxury industry is no different.

You could say that, for this sector, sustainability is firmly in vogue.

Whereas once upon a time, luxury customers were interested only in exclusivity, now they place high value on responsible supply chains where waste and other environmental impacts are minimised. For this, having the right logistics partner is crucial.

The future of the beauty and luxury supply chains

Hyper-personalisation is emerging as the major trend in the beauty and luxury sector. 

How far will it go?

Perhaps the strategy will develop to the point where it is unclear to new customers which experience is the brand’s premier offering: in-store or online. In Alexandre’s view, ‘In Luxury, it is crucial to replicate the intimacy and attention to detail that industry leaders such as Chanel show to their clients, knowing their personal preferences.’

In an online world where most transactions are impersonal, functional, and efficient, a luxury customer experience will stand out as one that is truly personalised and luxurious and where the human touch returns to an increasingly automated marketplace.

The beauty and luxury sector needs logistics partners that are flexible, reliable, and truly understand what customers expect. With its experience in personalisation, sustainability, and tailored services, FM Logistic helps brands provide the kind of standout experiences they’re known for, with each delivery.

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