Why Tiffany & Co. Is Winning at Digital Marketing

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Luxury jeweler Tiffany and Co. (“Tiffany”) is a social media gem, having established a digital marketing strategy that far outsparkles those of other luxury retailers.  Tiffany won L2 Think Tank’s only “gifted” ranking in its Digital IQ Index for Watches & Jewelry study in 2012 and placed first in Engagement Labs’ 2015 eValue social media rankings. 1,2

Stratifyd Analyzed Tiffany and Co.’s Social Engagement to Identify the underlying sentiment and themes in interaction of their customers

Stratifyd Analyzed Tiffany and Co.’s Social Engagement to Identify the underlying sentiment and themes in interaction of their customers

Tiffany has accumulated over 7,500,000 Instagram followers, 9,000,000 Facebook followers, and 1,630,000 Twitter followers.    

Stratifyd analyzed over 265,000 documents and metadata across Twitter, Facebook, and Instagram in addition to Tiffany’s income statements and stock history between 2012 and 2017 to gain insights on Tiffany’s digital success.  As expected, over 80% of comments on Tiffany’s Facebook page are made by females, and several of the top bigrams across all channels relate to engagements and weddings; however, Stratifyd’s text analytics reveal deeper insights.  

Nearly 30% of tweets that mention @tiffanyandco and 45% of tweets made by @tiffanyandco are actually responses by Tiffany to customer concerns, according to our topic modeling.  Sentiment towards customer service among these tweets is positive with a score of +1.55 on a scale of -5 to +5.  Tiffany tops the list of most-responsive luxury brands with 1.19 replies to customer tweets per day and 1.87 responses to comments on Facebook per day.   

Of the 20,887 tweets with the hashtag “#tiffanyblue”, the top two bigrams are “Yes Please” and “Can’t Wait”.  In the majority of tweets containing either of these bigrams, users are actually expressing their desire for other products such as wall paint, Nike shoes, cars, heels, nail polish, laptop accessories, bathing suits, and fine china.  Tiffany’s iconic blue jewelry box color is so popular, the brand’s reach clearly extends to several consumer lifestyle products, which further emboldens their status as a leading brand.  

Tiffany’s most visual content appears on Instagram, where posts regularly receive hundreds of thousands of likes.  The most popular of Tiffany’s 2,462 posts received over 1.1 million likes and is featured below:

Stratifyd analyzed the engagement of their Instagram page to identify the most popular posts and hashtags used

Stratifyd analyzed the engagement of their Instagram page to identify the most popular posts and hashtags used

To put this in perspective, the most liked post on Instagram, a picture of Beyonce during her pregnancy, has 11 million likes.  Achieving 10% of that is a major accomplishment for anyone, let alone a luxury retail brand exclusively selling jewelry. The hashtag campaign “#TiffanyLoveNotes” invites consumers to engage with the brand and contribute their narratives to Tiffany’s brand journey.  This hashtag is featured in 4 of the top 10 most liked posts by Tiffany.  Tiffany regularly posts the user submitted “love notes” as Instagram pictures on a Tiffany Blue background.  This idea is as brilliant as the diamonds Tiffany sells because it humanizes the consumer experience and gives Tiffany’s social media team a break with some free content to circulate.

In order to further engage with their consumers, Tiffany proves that it cares what its followers care about too.  There are several posts across all social sites calling for environmental protection.  Many images contain nostalgic visuals such as images of Coney Island before it closed, an 8-track cassette tape, and black-and-white old-school “film” camera shots.  Tiffany also posts visuals of what its customers like, such as French bulldogs, candy, popular indie musicians, young female celebrities, and stunning shots of cities around the world.     

Financial records, and stock prices over time, show the correlation of social posting and financial gain. 

Financial records, and stock prices over time, show the correlation of social posting and financial gain. 

Tiffany clearly recognizes the power emotive selling and incorporates it into almost every piece of content they produce.  Tiffany’s content isn’t just visually stunning, it produces an emotionally captivating narrative and goes beyond simply convincing consumers to buy a diamond; it invites them to join Tiffany’s storylines with their own.  These marketing efforts correlate positively with Tiffany’s stock price and revenue, which grew by 30% and 12% between 2013 and 2015.  With Stratifyd, retailers can perform text analytics across channels to gain the insights necessary to understand their consumer base on a personal level and change their marketing strategies to better engage prospective customers.

References:
1. Carr, Tricia. “Tiffany Feted for Unmatched Digital Marketing: L2 Think Tank.” Luxury Daily Tiffany Feted for Unmatched Digital Marketing L2 Think Tank Comments, 12 Oct. 2012, www.luxurydaily.com/tiffany-co-feted-for-unmatched-digital-marketing-l2-think-tank/.
2. Briggs, Fiona. “Christian Louboutin, Tiffany & Co. And Valentino Lead Luxury Brands On Social Media, Study Shows.” Forbes, Forbes Magazine, 11 Dec. 2015, www.forbes.com/sites/fionabriggs/2015/12/11/christian-louboutin-tiffany-co-and-valentino-lead-luxury-brands-on-social-media-study-shows/#3614f32b368c.
Nathan Breidenbach