Search results

1 – 10 of over 7000
To view the access options for this content please click here
Article
Publication date: 1 March 2021

Chadwick J. Miller and Daniel C. Brannon

The purpose of this paper is to investigate whether consumers in pre-owned durable goods markets (such as pre-owned automobiles) purchase products with higher premium…

Abstract

Purpose

The purpose of this paper is to investigate whether consumers in pre-owned durable goods markets (such as pre-owned automobiles) purchase products with higher premium/luxury positioning in a vertical line-up compared to consumers in new durable goods markets. The moderating role of brand loyalty on choice is also investigated.

Design/methodology/approach

The hypotheses are tested using a data set that includes the sales of new and pre-owned vehicles from an independently owned automotive dealer in the Northwestern USA during the first nine months of 2017 (N = 200). An ordered logit regression is used to estimate the relationship between consumers’ purchase of pre-owned vs new vehicles and the premium-level of the model that they choose, while controlling for the vehicle price. Two experimental robustness tests are conducted to provide empirical evidence of the proposed theoretical process.

Findings

Consumers who purchased pre-owned vehicles chose models with higher premium/luxury positioning compared to consumers who purchased new vehicles, even when controlling for price. This effect was moderated by brand loyalty, such that consumers’ premium-level of purchase was magnified if they previously owned a vehicle of the same brand. The results of an experimental robustness test indicated that consumers’ preference for pre-owned vehicles with higher premium/luxury positioning was because of greater perceptions of the quality along the dimensions of versatility, performance and prestige.

Practical implications

Sellers of complex durable goods (e.g. automobiles) should consider segmenting their upselling strategies for pre-owned vs new products. They should specifically focus more effort on the upselling of pre-owned durables as buyers appear more likely to pursue premium/luxury alternatives compared to new durables. Further, they should focus upselling efforts for pre-owned durables on brand loyal consumers.

Originality/value

To the best of the authors’ knowledge, this work is the first to examine consumers’ desire for pre-owned durable goods with premium/luxury positioning in a vertical product line-up. Further, it is also the first to explore the role of brand loyalty in shaping consumer preferences for premium/luxury pre-owned durable goods. As such, it makes an important contribution to an emerging literature exploring the appeal of premium and luxury pre-owned goods. Much work in this area has focused on the motivations that consumers have for buying pre-owned premium and luxury nondurable goods, such as vintage clothing or accessories. By contrast, the present research investigates the appeal of premium/luxury positioning for complex, pre-owned durable goods (vehicles), which are more difficult for consumers to evaluate at the point-of-purchase.

Details

Journal of Product & Brand Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1061-0421

Keywords

To view the access options for this content please click here
Article
Publication date: 10 December 2020

Amirreza Konjkav Monfared, Arefeh Mansouri and Negar Jalilian

Buyers of luxury clothing products usually place great importance on design because they can satisfy their personal needs. However, the underlying motivation for buying…

Abstract

Purpose

Buyers of luxury clothing products usually place great importance on design because they can satisfy their personal needs. However, the underlying motivation for buying luxury products has not been fully understood. Therefore, identifying the factors influencing the choice of luxury products and brand loyalty can provide useful information to a better understanding of the customers' needs of these brands. In fact, in this article, we are trying to determine how personality traits (including the need for uniqueness and self-monitoring) and social traits (including self-expression and self-presentation) influence the importance of design and brand loyalty.

Design/methodology/approach

A questionnaire was used to collect data. The questionnaire was answered by 386 buyers of luxury clothing brands in Iran. Structural equation modeling was also used for data analysis. Data were analyzed by SPSS 19.0 and AMOS 24.0 software.

Findings

The results of this study show that people who need to be unique pay more attention to the specific designs by expressing their self-expression in their surrounding community, while self-monitors seek acceptance in the community by using common designs. Finally, the results show that the importance of design reduces customer loyalty to the brand.

Originality/value

To the best of the authors' knowledge, this study is the first one to investigate the effect of personality and social traits on the importance of luxury clothing design and brand loyalty using statistical data analysis tools in Iran.

Details

American Journal of Business, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1935-5181

Keywords

To view the access options for this content please click here
Article
Publication date: 10 December 2020

Wangshuai Wang, Nuoya Chen, Jie Li and Gong Sun

Social networking sites (SNSs) are an indispensable part of people’s daily lives. However, scant literature describes how SNSs affect users’ behaviors, especially consumer…

Abstract

Purpose

Social networking sites (SNSs) are an indispensable part of people’s daily lives. However, scant literature describes how SNSs affect users’ behaviors, especially consumer behavior in emerging markets. This research aims to fill this literature gap.

Design/methodology/approach

Two empirical studies were conducted using different methods. Study 1, a survey, provided correlational evidence. Study 2, a lab experiment, further verified the causal relationship.

Findings

From Chinese consumer data, SNS consumption exposure enhances luxury brand consumption, mediated by social comparison motivation and moderated by legitimacy perceptions of SNSs as information outlets.

Originality/value

This research bridges SNSs and luxury brand consumption, two islands among different streams of literature. In addition, the paper illuminates the psychological mechanism through which SNSs affect luxury brand consumption and the boundary condition in which this effect diminishes. Practically, this paper is also instructive for SNSs and luxury brands.

Details

Journal of Consumer Marketing, vol. 38 no. 1
Type: Research Article
ISSN: 0736-3761

Keywords

To view the access options for this content please click here
Article
Publication date: 26 November 2020

Yanan Yu, Lori Rothenberg and Marguerite Moore

The purpose of this paper is to identify the realistic trade-offs young consumers make when evaluating luxury co-branding combinations based on signalling theory.

Abstract

Purpose

The purpose of this paper is to identify the realistic trade-offs young consumers make when evaluating luxury co-branding combinations based on signalling theory.

Design/methodology/approach

Conjoint analysis was employed to evaluate the relative impact of four major attributes (i.e. brand combinations, retail channels, uniqueness and price) on consumer desirability for luxury co-branding combinations. The data were analysed using desirability indices.

Findings

Brand combinations, uniqueness and price significantly impact consumer desirability of luxury co-branding combinations. The luxury brand and sportswear combination results in the highest desirability when price is more similar to the sportswear constituent and participants perceive that the collaboration as exclusive.

Practical implications

The results suggest that luxury brands need to consider the partnering brand's retail format primarily for co-branding strategy. Luxury brand collaborations with sportswear and premium priced streetwear brands are more likely to result in higher desirability among consumers compared to collaborations with fast fashion and mass-market brands. Additionally, uniqueness may not be effective as a point of differentiation in cases where luxury brands cannot guarantee a single yearly collaboration.

Originality/value

The decision to use existing brands for the fictitious combinations developed more sensible scenarios for respondents. In addition, rather than discrete questions, attribute-based combinations provide a more realistic depiction of consumers' decision making on luxury co-branding. Finally, the results provide marketing practitioners with practical directions for future development of fashion luxury co-branding strategy.

Details

International Journal of Retail & Distribution Management, vol. 49 no. 3
Type: Research Article
ISSN: 0959-0552

Keywords

To view the access options for this content please click here
Book part
Publication date: 30 July 2018

Meltem Kiygi-Calli

The spending capacity of the middle-income class increases with growing economies. With this increase, luxury goods are not only consumed by rich people alone. For this…

Abstract

The spending capacity of the middle-income class increases with growing economies. With this increase, luxury goods are not only consumed by rich people alone. For this reason, luxury brands are expanding their target population and enriching their products and services accordingly. Thus, the luxury market which addresses the middle- and upper-middle-income groups is changing and its importance is increasing. In this chapter, the definition of luxury, the classification of luxury goods, the requirements of the luxury marketing mix (product, price, distribution and promotion) and applied strategies are examined. This chapter also covers how luxury products have authentic features, premium and masstige brands, fake luxury products that are the exact copies of original luxury brands, and how and why this fake luxury market grows. At the end of the chapter, the luxury market in Turkey, which has been growing rapidly, especially in recent years, is examined in detail and all the features of the market are presented. It is expected that this market will continue to grow in the future, as a large number of tourists from nearby regions, Central Asia and Arab countries come to Turkey to buy luxury branded products and services.

Details

Marketing Management in Turkey
Type: Book
ISBN: 978-1-78714-558-0

Keywords

To view the access options for this content please click here
Article
Publication date: 5 August 2020

Jose Figueiredo and Vasco Eiriz

This article aims to understand the influences surrounding the consumption of fragrances, especially if these products fit as a brand extension of luxury brands. More…

Abstract

Purpose

This article aims to understand the influences surrounding the consumption of fragrances, especially if these products fit as a brand extension of luxury brands. More specifically, it aims at identifying the main reasons behind the process of buying fragrances and the main features associated with the consumption of fragrances.

Design/methodology/approach

This research adopts a qualitative approach in the form of 15 in-depth interviews with consumers of fragrances, seeking to assess attitudes and influences in the consumption of fragrances as a brand extension of luxury brands.

Findings

This research shows that the emotional use of fragrances as a luxury product is much more important than their functionality, the relationship between the studied consumers and fragrances depends on the occasion of consumption (season of the year; day or night) and the aroma and the durability of the aroma is the main decision criterion for the purchase of fragrances. Respondents have also mentioned comfort, elegance and sophistication as attributes to choose a fragrance as a luxury product.

Originality/value

This article adds to the current knowledge on the topics of luxury brand management and buying behaviour by providing a better understanding of attitudes and influences towards the use of fragrances. This research recognizes the importance of a brand extension strategy for luxury brands, especially in the case of fragrances.

Details

EuroMed Journal of Business, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1450-2194

Keywords

To view the access options for this content please click here
Book part
Publication date: 31 January 2015

Annie Peng Cui, Theresa A. Wajda and Michael F. Walsh

The luxury brands sales in emerging markets will see rapid growth. When entering the emerging markets, luxury fashion brands always find it challenging to balance adaption…

Abstract

The luxury brands sales in emerging markets will see rapid growth. When entering the emerging markets, luxury fashion brands always find it challenging to balance adaption with local consumer culture and standardization to maintain their global brand image. The present study attempts to examine this intriguing issue of adaptation and standardization and many other challenges for luxury brands in the emerging market by focusing on China’s luxury market. A case study on China is conducted, which consisted of reviewing academic literature and consulting trade reports, examining over 50 luxury brands’ Chinese websites, reading newspaper articles, conducting field trips to luxury retail outlets, and studying luxury brands’ advertisements in major Chinese fashion magazines. We identified five intriguing market characteristics that must be taken into account in order to succeed in this market. Specifically, we found that to perform well in China’s luxury market, luxury brands should have a good understanding of the conflicting Chinese social cultural sentiments toward luxury consumption. Luxury brands should seek a balance between standardization and adaptation and appeal to both consumers’ converging needs and their desire for products that embrace local elements. Further, given the unique consumer characteristics, luxury brands should better serve the young and economically diverse consumer base in China.

Details

Entrepreneurship in International Marketing
Type: Book
ISBN: 978-1-78441-448-1

Keywords

To view the access options for this content please click here
Article
Publication date: 26 August 2020

Ken Kumagai

This study examines consumer behaviour based on product sustainability and brand luxury. The purpose is to provide strategic suggestions to apparel companies attempting to…

Abstract

Purpose

This study examines consumer behaviour based on product sustainability and brand luxury. The purpose is to provide strategic suggestions to apparel companies attempting to invest in sustainable development of plastic clothing, as well as implications for marketing and sustainability research.

Design/methodology/approach

Consumer brand attitude and purchase intention towards sustainable plastic clothing are examined across material types, brand luxury levels and price levels from 315 valid samples collected in Japan.

Findings

The results reveal that sustainable plastic clothing raises brand attitude, indirectly influencing purchase intention. However, the direct effect of sustainable clothing on purchase intention is contradictorily negative. These contradictory effects are especially significant when brand luxury is high. Both brand attitude and purchase intention hardly vary across price levels or material types of sustainable plastic, such as post-consumer bottles versus apparel.

Practical implications

The results imply that sustainable products are not instantly profitable but contribute to a desirable brand association, especially for luxury brands. An investment in costly closed-loop technology for apparel recycling is found to be commercially disadvantageous. Managers are suggested to discuss this aspect carefully, since it seems partially unprofitable, while sustainable management seems to comprehensively contribute to overall enterprise performance.

Originality/value

The study specifically reveals the luxury effect enhancing, yet contradictory, consumer behaviour towards sustainable plastic clothing. To the best of the author’s knowledge, few studies have examined the relationships between these elements. Furthermore, the study sheds new light on consumer behaviour across recycled plastic types from a marketing perspective.

Details

Asia Pacific Journal of Marketing and Logistics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1355-5855

Keywords

To view the access options for this content please click here
Book part
Publication date: 21 August 2012

Shih-Ching Wang, Primidya K. Soesilo, Dan Zhang and C. Anthony Di Benedetto

Luxury goods manufacturers may find it profitable to enter a different demographic segment, and several strategies are available to do so. Nevertheless, such market…

Abstract

Luxury goods manufacturers may find it profitable to enter a different demographic segment, and several strategies are available to do so. Nevertheless, such market expansion can be risky, and the luxury goods company must avoid tarnishing the equity contained in the luxury brand. This study examines the effects of a co-branding strategy between luxury brands and retailers on consumers’ evaluation of the luxury brand's image. We use information integration theory (IIT) as the basis for our study, as it can be used to explore how attitudes are formed and changed as new information is combined with existing cognitions and thoughts. A theoretical model based on IIT is built and empirically tested using a sample of 240 Taiwanese adult consumers. We conduct an experimental survey study in which we manipulate luxury brand familiarity and product and brand fit between luxury brand and the co-brand, and assess prior-attitudes and post-attitudes toward the luxury brand and attitudes toward the co-brand. We find support for many of our hypotheses: prior-attitudes toward the luxury brand is positively related to the attitude toward the co-brand, brand fit is related to attitudes toward the co-brand, and brand fit is marginally related to the post-attitude toward the luxury brand. Other hypotheses, however (such as those regarding product fit) were not supported. We conclude by discussing our theoretical and managerial contributions.

Details

Interdisciplinary Approaches to Product Design, Innovation, & Branding in International Marketing
Type: Book
ISBN: 978-1-78190-016-1

Keywords

To view the access options for this content please click here
Book part
Publication date: 26 November 2020

Gizem Merve Karadag and Irem Eren Erdogmus

The digitalization process has been influential on the way marketing is conducted. However, luxury brands have not yet fully channeled the benefits of the integration of…

Abstract

The digitalization process has been influential on the way marketing is conducted. However, luxury brands have not yet fully channeled the benefits of the integration of various touchpoints. The aim of this chapter is to provide insights into building a luxury fashion omnichannel strategy through the integration of online and offline consumer journeys, based on the emerging needs and lifestyles of different luxury consumer segments. Accordingly, exploratory research is designed to understand luxury consumer typologies and luxury fashion shopping journeys. In-depth interviews were conducted for data collection in Istanbul, with 16 participants. Grounded theory coding was used for analyzing the data. Findings revealed four-consumer typologies –Luxury Beginners, Nouveaux Riches, Conservatives, Established Luxury Consumers. Luxury fashion journey map covering three major steps – pre-purchase, purchase, and post-­purchase – was illustrated based on the usage of both digital and non-digital channels and agents through the journey with discussions to present consumer differences. The results of the study add to the current literature and provide an omnichannel roadmap for the practitioners.

Details

Managing Customer Experiences in an Omnichannel World: Melody of Online and Offline Environments in the Customer Journey
Type: Book
ISBN: 978-1-80043-389-2

Keywords

1 – 10 of over 7000