Opinion: Why brand storytelling is everything in 2025

As I fly to Shanghai to present a luxury masterclass, I’m reflecting on what will be the superpower for luxury brands in 2025. This is probably my 50th visit to the city, which, despite the softness of local luxury demand, remains one of the most important markets in China, and the global luxury industry. And timing couldn’t be more critical. Luxury brands are facing a pivotal moment. Recent data reveals that client loyalty has plummeted around the world, falling below pre-pandemic levels. Meanwhile, Chinese clients are increasingly drawn to local brands, putting enormous pressure on many global luxury houses. The shift in behavior, including the erosion of trust, stems in part from a disconnect between brand promises and customer experiences. The root cause? A failure in effective brand storytelling. Too many brands are sinking in the sea of sameness with a lack of differentiation and standout attributes. The good news is, it can be fixed. You can unlock this luxury superpower. In luxury, the story is everything. My research consistently shows that for some luxury brands, more than 98% of the perceived brand value stems from their narrative, not their products. Yet, many brands continue to underestimate the power of an inspiring, differentiating, and client-centric brand story. My “4E of Luxury” framework offers a strategic approach to revitalize brand storytelling: Emotion: Identify the core feeling your brand evokes. Experience: Ensure every touchpoint reinforces your brand story. Engagement: Create meaningful, two-way dialogues with clients. Exclusivity: Make each client feel like part of a select community. By 2030, Gen Z and millennials combined are expected to represent more than 60% of luxury spending. These digital natives demand authenticity and purpose. They’re not buying just products; they’re investing in stories that align with their values. The reasons are multifacted, but one key factor is their digital and social media lifestyle, where every brand experience has the potential to be broadcast on social feeds. This makes brand choices far more critical for the younger generations than for those before them. Luxury brands must adapt quickly. In an age of diminishing attention spans, your brand essence must be communicated clearly and compellingly in seconds. This requires a shift from product-centric to radically client-centric approaches. The question every luxury brand must answer: What unique, authentic emotion and experience can you offer that no one else can replicate? Your answer should inform every aspect of your brand strategy. The question every luxury brand must answer: What unique, authentic emotion and experience can you offer that no one else can replicate? As we look toward 2025, the luxury brands that will lead the change are those that inspire and captivate at every touchpoint. They understand that luxury, at its core, is pure emotion translated into exceptional experiences. Ultimately, in the face of a trust crisis, brand storytelling is everything. It’s the key to unlocking extreme value, rebuilding client loyalty, and ensuring long-term success in a reality where change is happening at an unprecedented pace. Are you ready? This is an opinion piece by Daniel Langer, CEO of Équité, recognized as one of the “Global Top Five Luxury Key Opinion Leaders,” and advisor to some of the most iconic luxury brands in the world. He serves as an executive professor of luxury strategy and pricing at Pepperdine University in Malibu and as a professor of luxury at NYU, New York. Daniel has authored best-selling books on luxury management in English and Chinese, and is a respected global keynote speaker. Daniel conducts in-person masterclasses on various luxury topics across the world. As a luxury expert featured on Bloomberg TV, Forbes, The Economist, and others; Daniel holds an MBA and a Ph.D. in luxury management, and has received education from Harvard Business School. Sign up for his online luxury masterclasses at the Jing Academy. Follow him: LinkedIn and Instagram. Listen to his Future of Luxury podcast.

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Opinion: Why brand storytelling is everything in 2025