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Article
Publication date: 13 May 2019

Zahy Ramadan

The notion of luxury has changed due to the democratization and the fast adoption pace of intangible luxury service providers embedding voice-controlled assistants. In particular…

1754

Abstract

Purpose

The notion of luxury has changed due to the democratization and the fast adoption pace of intangible luxury service providers embedding voice-controlled assistants. In particular, Amazon’s Echo Look is expected to further democratize luxury services and consumer experience; indeed, this camera-based device acts as a personal consultant as it provides fashion advices based on the pictures of its users. Nonetheless, as the Echo Look proliferates the market, concerns around its potential disruption to the marketplace alongside usage-related issues, such as privacy, will arise. The paper aims to discuss these issues.

Design/methodology/approach

The research adopted an exploratory approach using elite interviewing. The sample included 17 experts in the fields of digital marketing, fashion consulting, information technology security and retailing.

Findings

The study pioneers the discussion on how interactive voice-activated assistant (IVA) devices can potentially outweigh concerns around safety and privacy through providing luxury-like personalized services. To that end, the Echo Look device was taken as the key example based on the unique features and benefits it provides to its users, namely, in being perceived as a personal fashion consultant.

Originality/value

The literature on intangible luxury based on IVA devices is still nascent. This study fills a considerable gap in the literature related to retailers’ technological innovations aimed at democratizing luxury-like personalized experiences.

Details

Marketing Intelligence & Planning, vol. 37 no. 6
Type: Research Article
ISSN: 0263-4503

Keywords

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 various…

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

Article
Publication date: 8 September 2021

Carolin Siepmann, Lisa Carola Holthoff and Pascal Kowalczuk

As luxury goods are losing their importance for demonstrating status, wealth or power to others, individuals are searching for alternative status symbols. Recently, individuals…

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Abstract

Purpose

As luxury goods are losing their importance for demonstrating status, wealth or power to others, individuals are searching for alternative status symbols. Recently, individuals have increasingly used conspicuous consumption and displays of experiences on social media to obtain affirmation. This study aims to analyze the effects of luxury and nonluxury experiences, as well as traditional luxury goods on status- and nonstatus-related dimensions.

Design/methodology/approach

After presenting the theoretical foundation, the authors conduct a study with 599 participants to compare status perceptions elicited by the conspicuous consumption of luxury goods, luxury experiences and nonluxury experiences. The authors investigate whether experiences that are visibly consumed on Instagram are replacing traditional luxury goods as the most important status symbols. Furthermore, the authors examine the effects of the content shown on nonstatus-related dimensions and analyze whether status perceptions differ between female and male social media communicators. Finally, the authors analyze how personal characteristics (self-esteem, self-actualization and materialism) influence the status perceptions of others on social media.

Findings

The results show that luxury goods are still the most important means of displaying status. However, especially for women, luxury experiences are also associated with a high level of social status. Thus, the results imply important gender differences in the perceptions of status- and nonstatus-related dimensions. Furthermore, the findings indicate that, in particular, the individual characteristics of self-actualization and materialism affect status perceptions depending on the posted content.

Originality/value

While the research has already considered some alternative forms of conspicuous consumption, little attention has been given to experiences as status symbols. However, with their growing importance as substitutes for luxury goods and the rise of social media, the desire to conspicuously consume experiences is increasing. The authors address this gap in the literature by focusing on the conspicuous display of luxury and nonluxury experiences on social media.

Details

Journal of Product & Brand Management, vol. 31 no. 3
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 6 October 2015

Nadine Hennigs, Klaus-Peter Wiedmann, Christiane Klarmann and Stefan Behrens

In an attempt to satisfy the rising demand for luxury in the era of thedemocratisation of luxury” or the “luxurification of society” without threatening the uniqueness and…

15167

Abstract

Purpose

In an attempt to satisfy the rising demand for luxury in the era of thedemocratisation of luxury” or the “luxurification of society” without threatening the uniqueness and exclusivity of luxury brands, a profound understanding of the luxury concept and its deeper values is essential. As the complexity of luxury value and the assessment of effects on individual luxury value perception and related behavioral outcomes are still poorly understood and widely unexplored, the purpose of this paper is to fill this research gap.

Design/methodology/approach

In the exploratory study context of examining the antecedents and outcomes of individual luxury value perception, PLS path modeling was used for the empirical tests of the hypotheses.

Findings

The results support the assumption that the desire for luxury brands involves several dimensions of luxury value including financial, functional, individual and social consumer perceptions. Besides, the individual luxury value perception is significantly related to the consumption of luxury goods in terms of purchase intention, recommendation behavior and the willingness to pay a premium price.

Originality/value

The incremental value of the present study is to present and empirically verify a concept that embraces the complexity of luxury value and its causal effects on different aspects of luxury consumption. The results have important implications for luxury brand management and future research in the domain of luxury goods. By addressing the specific value aspects that are highly relevant for consumer loyalty to the brand, a luxury company can stimulate purchase behavior with appropriate marketing campaigns that create and preserve the most important value aspects throughout the supply chain from production to distribution.

Details

International Journal of Retail & Distribution Management, vol. 43 no. 10/11
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 21 August 2017

Areti T. Vogel and Kittichai Watchravesringkan

This paper aims to uncover consumer evaluations of high-priced traditional retail luxury brands and more affordable neo-mass luxury retail brands when they imitate the innovative…

4422

Abstract

Purpose

This paper aims to uncover consumer evaluations of high-priced traditional retail luxury brands and more affordable neo-mass luxury retail brands when they imitate the innovative designs of one another.

Design/methodology/approach

Using a scenario inspired by a lawsuit involving admitted copying practices, this study used a one-way (time of product introduction: the traditional luxury brand launches the product design before the neo-mass luxury brand vs the neo-mass luxury brand launches the product design before the traditional luxury brand) between-subjects experimental design to examine the effect of time of product introduction (such that consumers are aware of imitation practices) on brand attitude, brand equity (measured via the dimensions of brand associations, brand image, brand credibility and brand leadership) and brand preference.

Findings

Results reveal that consumer awareness of imitation practices is important in determining changes in brand equity, brand attitude and brand preference, regardless of luxury brand type. The research also indicates that consumers evaluate traditional luxury brands that engage in imitation practices more negatively than neo-mass luxury brands that do so.

Research limitations/implications

This research provides a deeper understanding of consumer response to imitation practices, along with managerial insight for luxury brands operating in that sphere. Limitations and future research directions are also offered.

Originality/value

This study appears to be one of the first to investigate imitation practices by using stimuli inspired by a copycat case, and one of few that assesses consumer evaluations of imitation by existing brands.

Details

Journal of Product & Brand Management, vol. 26 no. 5
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 6 May 2014

Dora Elizabeth Bock, Jacqueline Kilsheimer Eastman and Benjamin McKay

Given the economic downturn, the purpose of this study was to determine if a relationship exists between economic perceptions and consumers' motivation to consume for status and…

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Abstract

Purpose

Given the economic downturn, the purpose of this study was to determine if a relationship exists between economic perceptions and consumers' motivation to consume for status and if this relationship was moderated by education level.

Design/methodology/approach

A stratified random sample of adult consumers in the southeastern USA were surveyed by telephone. The hypotheses were tested utilizing structural equation modeling.

Findings

The results indicated that those consumers with a lower level of perceived economic welfare (i.e. see the economy and their family's financial situation as worse this year versus last year) were less motivated to consume for status. Furthermore, this relationship was positively moderated by education. No relationship was found between consumer confidence (i.e. consumers' perceptions of the economy in the future year) and status consumption. The results suggest that those consumers who perceive themselves to be financially better off this year versus last, particularly those more educated, are more motivated to consume for status.

Research limitations/implications

The main research limitation was that the sample skewed to be older, female and Caucasian, though the sample did match Census figures for the critical variable of education. Additionally, the phone response rate was 9 percent, but it is important to recognize that this was for a non-student sample.

Practical implications

The results suggest that marketers, targeting luxury consumers in the current stagnant economy, aim for more educated consumers who see their economic welfare as improving. This implication stems from the research findings revealing that consumers who feel they are recovering economically from the recent economic downturn, especially those with higher education levels, may more likely be status consumers.

Originality/value

With the democratization of luxury there is renewed interest in luxury consumption research. While research suggests there is a relationship between economic conditions and status consumption, few studies have measured consumer economic perceptions in relation to status consumption and none have examined how education may play a moderating role in explaining why people buy luxuries in a tough economic climate.

Details

Journal of Consumer Marketing, vol. 31 no. 2
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 16 August 2022

Jung Eun Lee and Jung Rim Cho

The purpose of this study is to examine the effects of a Disney collaboration and Disney product line extension type on the perceptions of masstige brands and purchase intentions…

2181

Abstract

Purpose

The purpose of this study is to examine the effects of a Disney collaboration and Disney product line extension type on the perceptions of masstige brands and purchase intentions. By identifying masstige brands as two types (i.e. born-masstige versus luxury-masstige brands), this study investigates how consumers respond to a Disney collection across different types of masstige brands.

Design/methodology/approach

The authors conducted three studies using an experimental approach.

Findings

Study 1 shows that compared to a traditional collection, a Disney collection lowered perceptions of brand luxury, but the negative effect is stronger for born-masstige brands than luxury-masstige brands. Studies 2 and 3 revealed that an upward extension enhanced perceptions of luxury for the born-masstige brand more than it did with a horizontal extension, whereas there was no difference between upward and horizontal extensions for the luxury-masstige brand.

Research limitations/implications

This study contributes to understanding how Disney collaborations influence consumers’ perceptions of masstige brands. It has implications for brand positioning and pricing strategies for practitioners collaborating with Disney or similar companies.

Originality/value

To the best of the authors’ knowledge, this study is the first of its kind to investigate consumer responses to a Disney collaborated collection across two types of masstige brands by exploring their type of product line extensions.

Details

Journal of Product & Brand Management, vol. 32 no. 1
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 15 November 2013

Alessandro Brun and Cecilia Castelli

The purpose of this paper is threefold: to provide an overview of the literature defining “luxury”; to suggest that luxury goods be distinguished from other goods through the

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Abstract

Purpose

The purpose of this paper is threefold: to provide an overview of the literature defining “luxury”; to suggest that luxury goods be distinguished from other goods through the presence of critical success factors (CSF) and to identify different dimensions of luxury; and to introduce a new classification framework to analyse luxury consumers profiles and to explain the personal perception of luxury.

Design/methodology/approach

The first part of the paper is a critical discussion of the literature around the concept of luxury; the second part shows the application of an original classification framework, validated through a number of focus groups carried out with participants of Masters and executive training courses.

Findings

The concept of luxury is a multifaceted one. A comprehensive approach to classify luxury consumers is used first of all to reveal different customer profiles, and also to prove that the tangible/intangible and personal/social distinctions are relevant for understanding the motivations underlying the purchase of a luxury product.

Research limitations/implications

The model has been validated using four “archetypal” luxury goods (a bag, a bracelet, and so on). Nonetheless, the range of possible luxury goods and the set of possible consumer ' s motives behind luxury spend are so wide that a much more extended testing is required.

Originality/value

The newly proposed model would allow a luxury company to better assess their target market and their current customers, while scholars and analysts might find it useful to define the scope of the luxury market when estimating market figures.

Details

International Journal of Retail & Distribution Management, vol. 41 no. 11/12
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 17 March 2020

Ye Wang and Fei Qiao

The purpose of this study is uncovering the connotative and symbolic meaning ofluxury-lite brands” [轻奢].

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Abstract

Purpose

The purpose of this study is uncovering the connotative and symbolic meaning ofluxury-lite brands” [轻奢].

Design/methodology/approach

Applying mixed methods, this study conducted two studies: (1) a semiotic analysis of a focus group discussion and 10 interviews on luxury-lite brands and (2) a content analysis of 248 Weiblog posts from 10 luxury-lite brands in a two-month period.

Findings

Study 1 showed that luxury-lite brands are interpreted as foreign brands that serve people's needs for social presence, and symbolize youthfulness, tastefulness, and aspirations. Other descriptors of luxury-lite brands included unique design, and less than the best quality offered by luxury brand. Study 2 suggested brands are missing out on a wide range of stories that resonate with their core segments in their social media advertising.

Practical implications

Based on the definition of luxury-lite brands in the context of China proposed by the researchers, we recommend that managers broaden topics of stories, make more effort to create desirable symbolic brand meaning, and use social media to excite these young crowds.

Originality/value

Luxury-lite brands have been a cultural sign in the Chinese market projected to grow into an over 90 billion USD business by 2025. Therefore, an insightful understanding of the masstige market of China is a must for any Western masstige brand to be successful and competitive.

Details

Journal of Fashion Marketing and Management: An International Journal, vol. 24 no. 1
Type: Research Article
ISSN: 1361-2026

Keywords

Article
Publication date: 12 January 2015

Yuri Seo and Margo Buchanan-Oliver

The purpose of this paper is to examine the emergence of a global luxury brand industry and discusses previous conceptualisations of luxury brands. In this endeavour, the study…

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Abstract

Purpose

The purpose of this paper is to examine the emergence of a global luxury brand industry and discusses previous conceptualisations of luxury brands. In this endeavour, the study illustrates the unique context of luxury consumption, to highlight several developments in extant literature, and to advocate for the advancement of the consumer-centric paradigm of luxury branding.

Design/methodology/approach

The study reviews the emergence of a global luxury brand industry, discusses macro-environmental trends that have influenced luxury brand consumption, critically evaluates the existing literature on luxury brands, and offers directions for future research.

Findings

The study highlights that luxury brands have emerged as a special form of branding that conveys the unique sociocultural and individual meanings to their adherents. Moreover, it was found that these meanings have been shaped by a number of important cultural, social, and external trends, which call researchers and practitioners to consider the consumer-centric paradigm of luxury branding.

Originality/value

The study calls for a shift in the focus from the characteristics of luxury brands per se, and towards phenomenological experiences and socio-cultural influences, in the pursuits to understand what brand luxury conveys in the broader context of post-modern consumer culture. The study offers two distinct areas for future research to address these developments.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 27 no. 1
Type: Research Article
ISSN: 1355-5855

Keywords

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