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Extant research captures the signaling and attitudinal effects of luxury brand prominence strategy; however, little is known about the underlying mechanisms that drive this effect. This study aims to uncover brand authenticity and brand coolness as parallel mediators driving the effects of brand prominence on luxury purchase intentions and explores the moderating role of consumers’ self-brand connection.

The research consisted of three experiments. Study 1 (n = 121) explored the direct effects of brand prominence among Chinese consumers. Using a sample of Turkish consumers (n = 115), Study 2, measured the mediation effects of brand authenticity and brand coolness. Study 3 (n = 211) examined how self-brand connection moderated the mediation effects among British customers.

A luxury brand prominence strategy leads to negative perceptions of coolness and authenticity and, in turn, reduces purchase intentions. The negative effect of brand prominence is even more pronounced among consumers with high self-brand connection.

The study elaborates on how brand prominence informs consumers’ perceptions of authenticity and coolness. In examining the role of self-brand connection, the study reveals a theoretically and managerially relevant boundary condition of this focal effect.

The research highlights how luxury brands can use differing brand prominence strategies. This research informs brand managers on how to enhance brand authenticity and coolness while managing self-brand connection.

The study extends the luxury branding literature by explaining the brand prominence effect through the parallel mediators of brand authenticity and brand coolness. In contrast to extant research, the findings show that the negative effect of brand prominence is particularly strong among consumers with high self-brand connection.

This study conceptualizes a form of luxury consumption in which luxury brands collaborate with unconventional non-luxury partners. These unconventional luxury brand collaborations are growing in popularity among Chinese luxury consumers of the post-1990s generation. Luxury brands are exploring new branding strategies due to the growing commercial importance of Chinese luxury consumers.

An in-depth qualitative study informs this paper. Interviews with young adult luxury consumers self-identifying as Chinese reveal a growing interest for luxury brands that collaborate with odd partners in social media and online culture.

Unconventional collaborations between luxury brands and non-luxury partners catalyze shifting meanings of luxury through the following juxtapositions: ephemeral instead of timeless, trendy rather than inaccessible, and playful in contrast with traditional. First, young Chinese consumers construct luxury meanings through ephemerality, like digital possessions, social media fame and fleeting experiences. Second, luxury meanings emerge in trendiness among social media influencers and online culture rather than in the seemingly inaccessible taste regimes of the upper class. Third, younger consumers appreciate fun, rebellious and over-the-top aesthetics in luxury brands.

The study contributes to the nascent field of unconventional luxury by conceptualizing how unusual, odd and unexpected collaborations constitute new forms of luxury consumption. The shifting meanings of luxury consumption that this study conceptualizes raise new opportunities and challenges for luxury brands. One of such is the release of limited collections with non-luxury partners seemingly at the opposite spectrum of design, image and values. Moreover, the study adds nuance to the understanding of luxury consumption among young Chinese consumers.

This research aims to unravel the intricate relationship between luxury brands' social media marketing strategies (i.e. communication and engagement) and their impact on consumers' willingness to pay a premium and brand loyalty.

A large online consumer panel was used to conduct an online survey of 381 consumers. Partial least squares structural equation modeling was adopted for hypothesis testing.

The study's outcomes indicated that (1) perceived interactivity and perceived openness positively influence social media brand communication, (2) social media brand communication and engagement are positive determinants for consumer empowerment and parasocial interactions, (3) consumer empowerment and parasocial interactions positively influence willingness to pay a premium and (4) parasocial interactions (but not consumer empowerment) positively influence brand loyalty.

The study offers significant theoretical implications by unraveling the mechanism of social media marketing for luxury brands, which is under-researched in the current literature. More specifically, the study reveals the process of how social media brand communication and engagement reinforce luxury brand outcomes through parasocial interactions and consumer empowerment. In addition, the study provides empirical evidence to delineate the role of interactivity and openness in enhancing social media brand communication. Moreover, the study extends past research that emphasized initial adoption outcomes such as attitude and purchase intention by probing luxury brand loyalty and willingness to pay a premium.

By effectively strategizing social media marketing, luxury brand marketers can promote brand loyalty and willingness to pay a premium. Luxury brand marketers should concentrate on establishing parasocial interaction with consumers by designing optimal social media brand communication and engagement. To this end, luxury brand marketers should consider integrating the elements of interactivity and openness in their communication with consumers.

The study offers valuable insights for luxury brand marketers aiming to capitalize on the potential of social media marketing to enhance their revenue generation and customer retention. The study advances past luxury branding research by validating the role of consumer empowerment and parasocial interactions in luxury brands' social media marketing.

This paper aims to examine consumers’ evaluation of and reaction to the coexistence of brand misconduct and sustainability claims through a series of studies.

The research questions are examined across three studies. Consumer’s scepticism of corporate social responsibility (CSR) is considered the driver of brand distance. Brand hypocrisy is postulated to mediate the relationship between scepticism to CSR and brand distance. Furthermore, brand trust and desire for exclusivity are tested as moderators of brand hypocrisy and brand distance.

The findings showed that environmental misconduct leads to perceived brand hypocrisy and brand distancing. When luxury brands take action to remedy their actions, the perceived brand hypocrisy and brand distancing decrease. In addition, brand trust and desire for exclusivity dilute the relationship between brand hypocrisy and brand distance.

The findings show that, standing in a contradictory position, brands can still reduce the consumers’ perceived brand distance by building a strong consumers’ trust toward the brand. At the same time, relating the luxury consumers’ yearning for the exclusive products and services, the findings show that the consumers with a strong desire for exclusivity feel a lower level of brand distance even if the brand gets involved in misconduct.

Este artículo examina la evaluación y la reacción de los consumidores ante la coexistencia de la mala conducta de la marca y las alegaciones de sostenibilidad a través de una serie de estudios.

Las preguntas de investigación se examinan a través de tres estudios. El escepticismo de los consumidores respecto a la RSC se considera el motor del distanciamiento de las marcas. Se postula que la hipocresía de la marca media la relación entre el escepticismo hacia la RSE y la distancia de la marca. Además, se comprueba que la confianza en la marca y el deseo de exclusividad son moderadores de la hipocresía y la distancia a la marca.

Los resultados mostraron que la mala conducta medioambiental conduce a la percepción de hipocresía de la marca y al distanciamiento de la misma. Cuando las marcas de lujo toman medidas para remediar sus acciones, la hipocresía y el distanciamiento de marca percibidos disminuyen. Además, la confianza en la marca y el deseo de exclusividad diluyen la relación entre la hipocresía y el distanciamiento de la marca.

Los resultados demuestran que, situándose en una posición contradictoria, las marcas pueden seguir reduciendo el distanciamiento de marca percibido por los consumidores mediante la creación de una fuerte confianza de los consumidores hacia la marca. Al mismo tiempo, relacionando el anhelo de los consumidores de lujo por los productos y servicios exclusivos, nuestros hallazgos muestran que los consumidores con un fuerte deseo de exclusividad sienten un menor nivel de distancia a marca incluso si la marca se ve involucrada en una mala conducta.

本文通过一系列的研究, 考察了消费者对品牌不当行为和可持续发展主张并存的评价和反应。

研究问题在三项研究中得到了检验。消费者对企业社会责任的怀疑被认为是品牌距离的驱动因素。品牌伪善被假设为介导对企业社会责任的怀疑和品牌距离之间的关系。此外, 品牌信任和对排他性的渴望被测试为品牌伪善和品牌距离的调节因素。

研究结果显示, 环境方面的不当行为导致了人们对品牌伪善和品牌距离的感知。当奢侈品牌采取行动补救他们的行为时, 被感知的品牌伪善和品牌距离就会减少。此外, 品牌信任和对排他性的渴望稀释了品牌伪善和品牌距离之间的关系。

研究结果表明, 站在矛盾的立场上, 品牌仍然可以通过建立消费者对品牌的强烈信任来减少消费者感知的品牌距离。同时, 联系到奢侈品消费者对独家产品和服务的渴望, 我们的研究结果表明, 即使品牌涉及到不正当行为, 对独家性有强烈渴望的消费者也会感到较低的品牌距离。

This paper aims to evaluate and structure the basic heuristics consumers use in evaluating word-of-mouth (WOM) about luxury hotel brands while analyzing the impact of deception in online consumer reviews.

The research used a two-study mixed-methods approach, using interpersonal deception theory and social proof theory as lenses to conduct our analysis. For the first study, a qualitative conceptual mapping analysis was conducted, examining online consumer reviews to identify key concepts and their relationships in the context of luxury hotel brands. In the second study, the themes were further examined using a fuzzy-set qualitative comparative analysis to analyze their causal complexity and association between variables to determine how they influence the perceived helpfulness of online reviews for luxury hotel brands.

The results underline the importance of functional, objective variables, such as the number of reviews and stars, as social proof heuristics and other factors, including clout, authenticity and analytic tone, as interpersonal communication heuristics. Therefore, consumers use a combination of social and interpersonal communication heuristics to extract information from reviews and manage deception risk.

The paper contributes to the consumer–brand relationship literature by assessing the heuristics consumers use in evaluating online reviews and provides additional information for research in online reputation management.

This study’s results can help marketing practitioners and brand managers manage their online reputations better. It can also aid managers in improving their messaging on hotel websites to entice consumers to complete bookings. Heuristics play an essential role in such messaging and understanding them can help marketers appeal directly to their target market.

This study contributes to the literature on consumer–brand relationships by providing a framework of heuristics that consumers use when evaluating luxury service brands and contributes to WOM and online reputation research by highlighting factors that may make online reviews more helpful.

The learning outcomes of this study are as follows: identify key elements of luxury branding in the context of a new residential real estate brand; select target segment/s and outline the sales pitch for a luxury residential real estate brand; plot the pre-sales stage of the customer journey path (CJP) for a luxury residential real estate brand; and plan a pre-sales customer engagement strategy for a luxury residential real estate brand.

This case enumerates Aldeola de Siolim, Goa’s (ASG) pre-sales promotional challenges. ASG was an upcoming luxury residential property in Goa, India. Venky Infar – the developer of ASG – a family-owned civil construction firm – wanted to diversify into Goa’s vibrant luxury housing market. In India’s housing market, the success of a project often depends on the “pre-sales,” i.e. attracting target customers and maximizing the sales before the construction. V. Rama Rao, the project manager’s task, was challenging because ASG and Venky were new entrants in a mature and competitive market. However, Rao was determined to capture a slice of this lucrative market. The case discusses the following four points to help the students understand the marketing challenges and decision context. First, ASG’s key attractions, second, overview of the Indian real estate market, third, characteristics of Goa’s luxury home market and finally, Customer Journey Path for residential real estate purchase. The case elaborates on the nuances of strategic dilemmas and and presents competitors' practices and emerging consumer trends.

The case will help students analyze and formulate a pre-sales promotional plan for a luxury real estate product. It is suitable for marketing elective courses, e.g. branding, sales management and luxury management.

Teaching notes are available for educators only.

CSS 8: Marketing

Past research on luxury is fragmented resulting in challenges to define what the construct of luxury means. Based on a need for conceptual clarity, this study aims to map how research conceptualises luxury and its creation.

This study presents a scoping review of luxury articles published in peer-reviewed journals. Of the initial 270 articles discovered by using the database of Scopus, and after control searching in Web of Science and reference scanning, 54 high-quality studies published before the end of 2020 were found to meet the inclusion criteria and comprised the final analytical corpus.

The findings demonstrate that research approaches luxury and its creation from three different perspectives: the provider-, consumer- and co-creation perspectives. In addition, the findings pinpoint how the perspectives differ from each other due to fundamental and distinguishing features and reveal particularities that underlie the perspectives.

The suggested framework offers implications to researchers who are interested in evaluating and developing luxury studies. Based on the identified luxury perspectives, the study identifies future research avenues.

The study contributes to the luxury research stream by advancing an understanding of an existing pluralistic perspective and by adding conceptual clarity to luxury literature. It also contributes to marketing and branding research by showing how the luxury literature connects to the evolution of value creation research in marketing literature.

This study aims to examine the role of face consciousness, materialism and risk of embarrassment in determining consumer purchase intention toward counterfeit luxury brand. In addition, the authors explore boundary conditions of these relationships.

Study 1, a survey research (N = 321), examines the mediating role of risk of embarrassment between face consciousness on the purchase intention toward luxury counterfeits. Study 2 (N = 345), an experimental study, examines the moderating role of brand prominence of counterfeit (i.e. whether it contains prominent brand signals). Study 3 (N = 315) explores how the above-mentioned relationships are moderated by consumers’ moral rationalization (i.e. whether consumers seek rationalization when behaving unethically).

First, this research shows that risk of embarrassment mediates the negative relationship between face consciousness and Chinese consumers’ purchase intention toward luxury counterfeits, whereas this relationship was not found between materialism and counterfeit purchase intentions. Second, this negative mediating effect holds only when the counterfeit brand is highly prominent. Third, the mediating effect depends on consumers’ moral rationalization, with a positive impact on the purchase intention toward luxury counterfeits, regardless of brand prominence.

This study represents a preliminary inquiry into the dynamics between face consciousness and materialism in influencing Chinese consumers’ purchase intention toward counterfeit luxury products. Unlike their Western counterparts, whose materialistic views of possessions predict their counterfeit luxury consumption (Davidson et al., 2019), Chinese consumers are more likely to be driven by the social implications of counterfeit luxury to communicate a prestigious social image to others on account of genuine luxuries’ high social recognition.

While Chinese consumers are one of the most potent global luxury buyers, they are immersed in the world’s biggest counterfeit luxury market. By digging into the core value of Chinese consumers (i.e. face consciousness), this research provides a number of managerial implications for luxury goods companies to engage in international efforts to educate consumers against counterfeit luxury.

This study makes at least three contributions to the counterfeit consumption literature. First, this study represents a preliminary inquiry into the dynamics between face consciousness and materialism in influencing Chinese consumers’ purchase intention toward counterfeit luxury products. Second, this research identified the complex mechanism of face consciousness as an independent variable on consumers’ purchase intention toward luxury counterfeits. Finally, the authors examined the boundary conditions of brand prominence and consumers’ moral rationalization. The findings may help luxury brand managers identify strategies to discourage counterfeit consumption.

This paper aims to examine the influence of social media communications, particularly firm-generated content (FGC) and consumer-generated content (CGC) on predicting consumer purchase decisions (CPD) through the lens of perceived brand authenticity (PBA). This paper also investigates the moderating influence of brand prestige (BP) and brand familiarity in the luxury hotel sector.

This study collected data from 390 consumers who were regularly using social media platforms, traveled frequently and stayed in luxury hotels. Following stringent data filtering, 371 responses were analyzed via structural equation modeling.

The findings indicate that FGC and CGC significantly strengthened PBA. However, CGC was the effective driver that directly influenced CPD. Likewise, PBA directly and indirectly substantially impacted CPD. Finally, BP’s direct and moderating effects significantly influenced CPD in the luxury hotel sector.

This novel study contributes to signaling theory, social media communications and branding literature in the luxury hotel sector.