A Strategic Analysis of the Tiffany & Arsham Studio & Pokémon Capsule Collection
through Customer Values & Needs
The jewellery market is becoming increasingly competitive, according to United
Consumer Financial Services (2023). To stand out and have a unique selling point, Tiffany &
Arsham Studio has partnered with Pokémon to create a Capsule collection. This collection
features Pokémon chains made with either oxidised sterling silver or 18k yellow gold. This essay
will explore the concept of customer value, its four major types, and its linkage to the core
concept of needs. It will also explain why marketers need to understand these concepts to
achieve successful brand positioning and customer engagement through the Tiffany & Arsham
Studio & Pokémon Capsule Collection.
Customer value refers to “the perceived benefits that customers receive from a product or
service relative to the costs incurred” (Woodruff, 1997). According to Smith & Colgate (2007),
there are four major types of customer value, which are Functional, Experiential, Symbolic and
Cost values.
Functional value is the perceived value of something based on its ability to effectively
serve its intended purpose practically or physically, which is determined by its inherent qualities
and characteristics (Smith & Colgate, 2007). For instance, Tiffany & Co. is renowned for its
high-quality craftsmanship, which means that the Pokémon necklaces are likely to be well-made
and durable, making them suitable for different occasions, including everyday wear.
According to Smith & Colgate, the experiential value “represents the perceived utility
acquired by an alternative as a result of its ability to arouse or perpetuate feelings or affective
states” (2007). For fans of Pokémon, the necklaces and pendants are emotionally appealing,
invoking a sense of nostalgia and attachment, thereby connecting them to the jewellery
collection. Moreover, well-known figures such as Naomi Osaka, Lil Nas X, and Millie Bobby
Brown have shared pictures and videos of themselves wearing the necklaces on social media
platforms with joy on their faces (Vision, 2023). This can have an emotional impact on the
audience, as fans of these celebrities may feel excited and impressed with the jewellery. It can
also enhance the consumer's experience by making them feel confident in their decision to
purchase and wear items from the collection.
The symbolic value of a product goes beyond its physical attributes and conveys
meanings such as status, modern design, and sustainability (Southerton, 2011). For example,
Tiffany & Co.'s necklaces vary in cost from USD $1,290 to USD $29,000 (Dinsdale, 2023), and
possessing one of their pieces symbolizes a person's affluent position, particularly if it's the
$29,000 Gold Pikachu necklace. Furthermore, the collection is solely accessible in Japan and
North America (Vision, 2023), making it rare and unique, and providing individuals an
opportunity to stand out on special occasions.
Shanker (2012) suggests that the cost value is related to how customers perceive whether
the value they receive is worth the price they pay. As stated earlier, the necklaces and pendants
offered for sale are indeed priced at a premium. However, given that the collection is unique and
exclusive, opting to invest in one of these pieces may prove to be a wise decision in the long
term.
Understanding customer values is necessary, but understanding the core concept of needs
is also extremely important in marketing. Maslow’s hierarchy of needs consists of five levels:
physiological, safety, love and belonging, esteem, and self-actualisation. Tiffany & Arsham
Studio & Pokémon’s capsule collection’s customer value can be linked to the core concept of
needs as follows:
Physiological needs are the basic physical requirements that humans must have to
survive, such as food, water, and sleep. On the other hand, safety needs are about protection from
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physical harm, financial security, and health. By providing products and services that cater to
these basic needs, businesses can enhance customer satisfaction. However, the Pokémon
necklace collection, being a luxury item, does not contribute to meeting safety needs or fulfilling
physiological requirements.
"Love and belonging needs include the feeling of being connected to others, belonging to
a group, and having secure relationships" (West, 2022). The Tiffany & Arsham Studio &
Pokémon Capsule Collection can be more than just a symbol of an individual's childhood. It can
also represent a community of Pokémon fans. The luxury necklace offers customers
opportunities to connect with like-minded people, share common interests, and feel a sense of
belonging.
Esteem needs encompass the desire for recognition, achievement, and respect. As
previously discussed, the collection of Pokémon necklaces can serve as a representation of one's
affluence, and its inventive design and exclusive appeal can satisfy customers' esteem needs by
fulfilling their desire for approval and admiration within their social circles.
Self-actualization needs are the highest level of Maslow's hierarchy. It involves realizing
one's full potential, pursuing personal growth, and achieving fulfilment. The Tiffany & Co.
website offers a stunning collection of Pokémon necklaces, featuring beloved characters such as
Pikachu, Charmander, Squirtle, Jigglypuff, Cubone and Mew. Each character has its own unique
personality, story, and power. For those who have always played a specific character since they
were young, owning a piece from the collection can have experiential value and evoke a sense of
nostalgia. Moreover, the collection holds symbolic value for individuals who relate to a
particular Pokémon character. With a range of options, customers can express their individuality
and showcase their creativity by choosing pieces that align with their unique aesthetic
preferences and personality.
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As Smith & Colgate (2007) suggest, understanding customer values and needs is crucial
for successful marketing. This knowledge can enable marketers to create effective marketing
strategies, determine positioning, identify sources of competitive advantage, and manage their
relationships with customers.
Through understanding different customer values and needs, marketers can segment the
market and target specific audiences with tailored approaches. For example, marketers can
identify customers who are passionate about Pokémon, those who admire the artistic innovation
of Daniel Arsham Studio, and those who value the luxury and prestige associated with Tiffany &
Co. Furthermore, understanding the product's cost value can also help in narrowing down the
demographic group of people who are more likely to purchase the product. As it is a highlypriced item, it is more probable that working-age individuals will be able to afford it. Therefore,
marketers can streamline their advertising methods. By targeting each segment with personalised
messages and offers that resonate with each group’s specific needs, this collaboration can
generate greater interest and sales.
Furthermore, understanding what customers value and need also allows marketers to
position the Tiffany & Arsham Studio & Pokémon Capsule Collection effectively in the minds of
consumers. For instance, customers associate Tiffany & Co. with luxury and prestige, therefore
marketers can position their products by aligning with customers’ perceptions. One of their
marketing videos (Tiffany & Arsham Studio & Pokémon | Tiffany & Co., 2023), highlights the
sparkling diamonds and the shininess of the whole pendant, as well as its premium pricing,
emphasizing the luxurious look of the necklace to reinforce the perceived value of the products.
Moreover, marketers can identify sources of competitive advantage. Understanding the
customer values and needs enables marketers to identify the unique selling proposition (USP) of
the collection, which sets it apart from its competitors. By recognizing and emphasizing factors
such as the combination of luxury, artistic innovation, and nostalgia, or the limited-edition nature
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of the products, marketers can position the products distinctively and carve out a unique position
in the market that is difficult for competitors to replicate.
Additionally, understanding customer value and needs is essential for building and
maintaining long-term relationships with customers. To achieve this, marketers can implement
customer relationship management strategies that focus on providing personalised experiences,
rewards, and communication tailored to individual preferences and behaviours. Continuously
assessing customer feedback and adapting marketing strategies accordingly can ensure that the
Tiffany & Arsham Studio & Pokémon collaboration remains relevant and compelling to
customers over time. This fosters loyalty and advocacy among its customer base.
In conclusion, the Tiffany & Arsham Studio & Pokémon Capsule Collection serves as a
compelling example of how understanding customer value and needs can drive successful
collaborations and brand engagements. By delivering functional, experiential, symbolic and cost
value, this collaboration resonates with customers at various levels of Maslow's hierarchy and
fulfils their desires for aesthetic enjoyment, self-expression, social connection, and personal
fulfilment. Marketers play a crucial role in identifying, understanding, and addressing these
needs effectively, thereby shaping the marketing strategy to align with the target audience's
preferences and aspirations.
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References
Dinsdale, R. (2023, November 13). Pokémon and Tiffany & Co Team Up to Release Jewellery
Costing Up to $29,000. IGN. https://www.ign.com/articles/pokmon-and-tiffany-co-teamup-to-release-jewellery-costing-up-to-29000
Shanker, A. (2012). A Customer Value Creation Framework for Businesses That Generate
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Smith, J. B., & Colgate, M. (2007). Customer Value Creation: A Practical Framework. Journal
of Marketing Theory and Practice, 15(1), 7–23. https://doi.org/10.2753/MTP10696679150101
Southerton, D. (2011). Symbolic Value. SAGE Knowledge; SAGE Publications, Inc.
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Tiffany & Arsham Studio & Pokémon | Tiffany & Co. (2023). Www.tiffany.com.au.
https://www.tiffany.com.au/stories/collaborations/daniel-arsham-pokemon/
United Consumer Financial Services. (2023, May 23). Challenges In The Jewelry Industry In
2023 | UCFS. United Consumer Financial Services. https://www.ucfs.net/challenges-inthe-jewelry-industry/
Vision, M. (2023, November 21). How Tiffany & Co. Sparked Joy with Pokémon Fans. Medium.
https://medium.com/@madamevision/how-tiffany-co-sparked-joy-withpok%C3%A9mon-fans-2ce67dd5b1e6
West, M. (2022, July 29). Maslow’s hierarchy of needs pyramid: Uses and criticism. Medical
News Today. https://www.medicalnewstoday.com/articles/maslows-hierarchy-ofneeds#five-needs
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Woodruff, R. B. (1997). Customer value: The next source for competitive advantage. Journal of
the Academy of Marketing Science, 25(2), 139–153.
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