THE INFLUENCE OF TWO FUNDAMENTAL FACTORS ON CONSPICUOUS LUXURY CONSUMPTION

Abstract

In real life most are searching for ways to pursue happiness through positive affirmation from others. This practice includes conspicuous luxury consumption in capitalist societies. Veblen Thorstein critically describes this construct as lavishing money on unnecessary evident goods as a means to gain social status and recognition from others (Veblen, 1899). Following Veblen, researchers have examined various antecedent and consequent factors of conspicuous luxury consumption behaviour from broad research streams such as power, social class, culture and materialism (e.g., Berger & Ward, 2010; Han, Nunes, & Dreze, 2010; Lee & Shrum, 2012; Rucker & Galinsky, 2008, 2009; Sivanathan & Pettit, 2010; Wang & Griskevicius, 2014).Though research on conspicuous luxury consumption has received great attention over the past decade, and previous research discovered how various factors affect conspicuous luxury consumption, the ways in which core factors influence conspicuous luxury consumption are still not well understood. In this research, we revealed two important factors; self-focus versus other-focus and self-transformative versus self-expressive motivation.In multiple experiments, the major dependent variable is the logo size of luxury brands, which is generally accepted to reflect the conspicuous consumption intentions of the purchaser. This research reveals the following two important findings. First, individuals have a greater desire for conspicuous luxury products when they focus more on others than themselves, because of brand logo visibility of luxury consumption. This is because focusing on others makes individuals more concerned about others’ opinions of them and social criticism (Fenigstein, Scheier, & Buss, 1975), thus leading individuals to gravitate towards the products that can guard against potential social criticism. This in turn, makes other-focused individuals place more value than self-focused individuals on conspicuous luxury products that have socially favourable indicators. Secondly, the current research shows that individuals who are motivated to transform themselves into the person they wish to be prefer conspicuous luxury products more than those who are motivated to express their actual selves. This is because conspicuous luxury products are highly associated with an ideal self.The current research offers several important contributions. First, the studies reported here will enrich the extant conspicuous luxury consumption literature by unveiling the fundamental motivations lying behind the various factors that have been shown to influence conspicuous consumption in previous research (e.g., Lee & Shrum, 2012; Rucker & Galinsky, 2008, 2009). Second, the findings of this research highlight ways to attenuate conspicuous luxury consumption that affect the happiness of individuals; the self-focused and self-expression. Consequently, this research’s findings advance understanding of luxury consumption as most research has focused more on antecedents that increase conspicuous luxury consumption behaviour (e.g., Lee & Shrum, 2012; Sivanathan & Pettit, 2010; Wang & Griskevicius, 2014) than factors that decrease conspicuous luxury consumption behaviour (Stillman, Fincham, Vohs, Lambert, & Phillips, 2012).