Abstract
Caught between the conflicting priorities of satisfying the rising demand for luxury brands in the global marketplace and the effort to protect the uniqueness and exclusivity of their products, brand managers face serious challenges in the luxury market. What is the optimal balance between brand growth and brand over-exposure? And what are the basic drivers of customer brand perception that influence luxury brand strength? In an attempt to answer these questions, this study focuses on the conceptualization and empirical investigation of antecedents of luxury brand perception and hypothesized effects on luxury brand strength. The results support the assumption that consumers’ individual luxury brand perception is based on financial, functional and social considerations. Besides, consumers’ brand perception is significantly related to the cognitive, affective and conative components of luxury brand strength.
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