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Social Media and Customer Retention: Implications for the Luxury Beauty Industry
Abstract
Social media has become an integrated part of everyday life, but its entry into the luxury goods industry has been far from easy. The use of social media in the luxury beauty industry has caused many heated debates as it is seen as a form of interference in the exclusivity of luxury brands by limiting the physical and sensual contact between brand and customer. The purpose of this chapter is to provide some insights into how social media impacts the cosmetics industry. Further, the authors provide evidence that the effective application of social media in the luxury beauty industry could lead to wider market share and customer retention. The chapter concludes with some strategies that practitioners and researchers can adopt to develop effective marketing communication strategies using social media platforms.
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