Democratizing Luxury Framework

A business framework for democratizing luxury products and services to build massive companies.

The Democratizing Luxury Framework

• Take what rich people have exclusive access to and find ways to make it accessible to everyone
• Drop the cost while maintaining the core luxury experience
• Build a huge business by expanding the market dramatically

Examples of Successful Implementations

• Uber

  • Rich people had private drivers who would be available on demand
  • Uber democratized this with their initial tagline "a private driver for everyone"
  • Started with Uber Black cars to deliver that luxury experience

• Airbnb

  • Rich people have vacation homes in different cities
  • Airbnb allows everyone to stay in homes in desirable locations
  • Gives access to the vacation home experience without ownership

• Marquee Jets/Private Flight

  • Instead of buying a $50-100 million private jet
  • Offer fractional ownership with certain flight hours
  • Huge market of people who wanted access to private flight experience
  • JSX continues this trend today

• Duolingo

  • Rich people hire private language tutors for their children
  • App delivers similar language learning experience at fraction of cost

Implementation Strategy for Luxury Brands

• Find influencers and celebrities to showcase the product

  • "If I could get a clip of Drake using my cologne and then give it to the creator army we would do millions of dollars"
  • Use mimetic theory (people want what others want)
  • Target influencers who influence other influencers

• Consider using outrage marketing

  • Generate controversy about the luxury product's price
  • Even negative comments create awareness and plant seeds
  • Some portion of audience will be interested despite outrage

• Be generous with affiliates and creators

  • Treat affiliates well and create strong incentives
  • Example: Goalie challenge with rewards tiers (condos, Lamborghinis, Rolexes)
  • Culture-based approach to working with creators

Why This Works

• We live in a world of abundance
• People are willing to pay for luxury experiences
• Human nature drives desire for what others have
• The market for democratized luxury is massive