Tod's Digital Marketing Plan
A 12-month SOSTAC-based strategy to reposition a declining heritage luxury brand as a digitally-engaged lifestyle player — targeting 35% social engagement growth through AI personalisation and blockchain transparency.
Overview
The Challenge
Tod's, a heritage Italian luxury brand, has experienced declining revenues since 2013 and was delisted from the Milan Stock Exchange in 2024. While its digital presence is polished, it lacks the interactivity and dynamism required to engage Millennials and Generation Z — two segments increasingly driving luxury purchasing decisions.
This plan applies the SOSTAC model to reposition Tod's from a product-centric brand to a lifestyle-oriented luxury player.
Situation Analysis
PESTEL, Porter's & SWOT
"75% of consumers now prioritise experiences over goods (Euromonitor, 2026)."
The macro environment presents both pressure and opportunity: EU supply chain transparency regulations are tightening, Italy's GDP growth remains low, and consumer priorities are shifting toward experiential luxury and investment-grade goods.
Competitively, Tod's sits between conglomerate-backed rivals (Loro Piana/LVMH) and more digitally agile accessible luxury brands (Coach). Porter's Five Forces analysis reveals high competitive rivalry, increasing buyer power, and moderate substitution threats from the luxury resale market and the Experience Economy.
Objectives
Three SMART Objectives
- Increase Instagram and TikTok engagement rates by 35% within 12 months through the Pashmy Collection 'Travel-Wellness Uniform' campaign.
- Increase email click-through rate by 25% via AI-driven CRM, behaviour-based segmentation and personalised product drops.
- Improve consumer trust perception by 30% and product page engagement by 25% through Tod's Passport digital traceability integration.
Strategy
Target Audience & Positioning
Tod's should adopt a differentiated strategy targeting two segments: modern experiential luxury consumers (25–40, digitally native, lifestyle-driven) and established quiet luxury consumers (35–55, heritage-loyal, value-focused).
Repositioning: from product-centric and authenticity-driven → to experience-centric while maintaining craftsmanship credibility. The 'Luxury Traveller' persona (Sophia Laurent, 32, Milan, Marketing Director) encapsulates the target archetype.
Tactics
Three Campaign Pillars
- Travel-Wellness Uniform — Short-form video, paid social and influencer partnerships positioning the Pashmy collection within aspirational travel contexts; extended with premium airport OOH placements targeting high-net-worth travellers.
- Heirloom Stories & Transparency — 'Craftsmanship & Care' content hub, artisan-led Reels, QR-driven storytelling in boutiques, and integration of Tod's Passport into social and product pages.
- Digital Concierge & CRM Personalisation — AI-driven segmentation, personalised email flows, behavioural data from website interactions and Digital Product Passports; supported by in-store Tod's Wallet Card data capture.
Conclusion
Key Takeaways
By evolving from a traditional product-centric approach to an experience-driven digital strategy, Tod's can rebuild relevance among younger luxury consumers while deepening loyalty with its established base. The combination of lifestyle storytelling, transparent craftsmanship, and AI-driven personalisation positions the brand for sustainable recovery.