Luxury Brands Research Articles

Instagram’s luxury alchemy: unveiling influencer sorcery in elevating perceived product quality for high-end brands

PurposeThis study investigates the influences of brands, sources and congruence on perceived product quality, as well as the role of content creator types in Instagram influencer marketing for luxury brands.Design/methodology/approachThe samples consisted of Instagram users who follow content creators who posted about luxury brands. A survey instrument was used to collect data from 916 respondents who were of working age (22–55 years old).FindingsThe analysis showed acceptable fits for both measurement and structural models. The results reveal the positive effect of luxury brand identity on content attributes, which influence both content creator-product fit and perceived product quality and the direct influence of fit on perceived quality. Perceived uniqueness acts as a negative driver.Practical implicationsThe findings of this study guide luxury brand marketers in choosing peers and influencers, selecting appropriate content creators and emphasizing effective content attributes.Originality/valueThis study identifies novel antecedents for perceived quality, a part of brand equity, including drivers and obstacles. It also explores the impact of content creator types, such as friends and/or acquaintances, compared to influencers and/or celebrities, offering insights beyond previous research.

Eco-sustainable luxury jewellery firms: The case of Courbet's social entrepreneurship model Theme of the case: sustainable business models (SBMs) and social entrepreneurship

Manuel Mallen co-founded Courbet in 2018, an eco-sustainable luxury jewellery firm, with the objective of being the first Maison on Place Vendôme (Paris) to market laboratory-grown diamonds. This case discusses the challenges faced by this French entrepreneur as he confronts traditional luxury brands that sell diamonds from open-pit mining and claim responsible practices. The seven largest diamond producers, representing 75% of world production and grouped in the Natural Diamond Council (NDC), financed a public report (the Trucost report), showcasing their compliance with Corporate Social Responsibility (CSR), threatening Courbet's assertions about eco-luxury. By comparing the components of sustainability (economic, social, and environmental) and value (proposition, creation, and capture), how can Courbet leverage a new business model against traditional jewellery brands? The case also questions whether Courbet's alignment with the 17 United Nations (UN) Sustainable Development Goals (SDGs) can foster market evolution towards sustainability and social change.

Masstige Consumption: A Motivation-Desire-Outcome Framework with Implications for Luxury Brand Management

Mass prestige (masstige) is the strategic blend of prestige and mass market appeal, targeting the aspirational middle class. Integrating extant literature on masstige consumption with extensive qualitative insights from both managers and actual users of masstige brands, this article presents a motivation-desire-outcome (MDO) framework to conceptualize masstige consumption, where luxury meets accessibility. We argue that a comprehensive understanding of masstige consumption extends beyond extrinsic social status motivations to include intrinsic self-fulfillment drivers. Through this framework, we unveil the psychological process of masstige consumption, encompassing motivation, desire, and outcome. Our framework also delineates how these dynamics are further influenced by variations such as acculturation, brand promise, need for uniqueness, and susceptibility to interpersonal influence. Importantly, the framework not only enriches the extant discourse on masstige consumption but also sets a forward-looking agenda for research and practical strategies in the masstige market. Through this lens, we invite masstige marketers and scholars to explore novel avenues that bridge the gap between aspiration and accessibility, thereby reshaping our understanding of luxury consumption in a mass-market context.

Optimization Analysis of Chanel's Marketing Strategy in China

The background of this study is that Chinese consumers' luxury consumption concept is changing, and digital marketing is increasingly important. The research topic focuses on the marketing strategy of Chanel women's wear in the Chinese market, aiming to put forward targeted suggestions through in-depth analysis. The research method is a combination of literature review and case study. The results show that Chanel needs to focus on refined marketing of the characteristics of the Chinese market, consumer behavior analysis and strategy adjustment under the background of the epidemic, as well as digital transformation and marketing strategy innovation. The study concluded that Chanel should balance the development of online and offline channels, deeply explore the brand story, flexibly respond to market changes, and pay attention to the concept of sustainable development .The significance and impact of this study lie in not only assisting Chanel in achieving fresh breakthroughs and development within the Chinese market, but also in offering valuable insights for other luxury brands in terms of marketing strategy and brand establishment in China.

Bvlgari's Marketing Strategies: From the Perspective of 4P and SWOT Analysis

Renowned luxury brand Bvlgari has made a name for itself on the international scene because to its superb craftsmanship and distinctive fusion of traditional and modern design. This study explores Bvlgari's product offers, price, distribution methods, and promotional activities as it applies a 4P analysis to its marketing strategy. A SWOT analysis also highlights Bvlgari's disadvantages, such as a small market share and past PR issues, in addition to its advantages, which include its unique design philosophy and captivating brand narrative. Threats to growth come from fierce competition and shifting consumer preferences, while opportunities for expansion come from breaking into new sectors and using technology improvements.The report ends with suggestions on how Bvlgari might improve its marketing initiatives. These include focussing on the male market, modifying pricing tactics, and giving sustainability and social responsibility top priority. By employing these tactics, Bvlgari can stay ahead of the competition, handle market obstacles, and guarantee steady growth in the premium market.

Cognitive and Neurolinguistic Aspects of Advertising Discourse Perception

This study examines how cognitive and neurolinguistic mechanisms influence consumer behavior and decision-making in advertising. It explores the roles of attentional salience, memory encoding, and emotional responses in shaping how advertisements affect audiences. Attention is critical, driven by visual stimuli (e.g., colors, motion) and top-down processes based on personal goals and cultural relevance. Memory encoding is supported through repetition, rhyme, and the integration of verbal and visual cues, while emotional triggers engage the amygdala, enhancing retention. Neurolinguistic techniques, such as semantic priming, create subconscious associations between words, images, and brand values, accelerating comprehension and promoting positive perceptions. For example, luxury brands use semantic cues to suggest exclusivity, while metaphors activate sensory and cognitive areas, strengthening engagement. Additionally, advertising content is processed through hemispheric lateralization, with the left hemisphere focusing on linguistic aspects and the right hemisphere processing visuals and emotions. This study underscores the significance of incorporating these cognitive and neurolinguistic principles into advertising. Examples include Coca-Cola’s use of visual icons for universal attention, Nike’s use of memorable slogans for retention, and Dove’s emotional appeals for loyalty. Also, culturally tailored approaches, such as aligning metaphors with societal norms, enhance relevance across diverse audiences. The research suggests using neuroimaging tools, like fMRI and EEG, to identify neural correlates of engagement. It emphasizes the potential of machine learning and neuromarketing in customizing advertisements based on individual neural responses. Integrating these principles can help create emotionally and cognitively impactful campaigns.

Do materialism and shopping enjoyment impact luxury brand purchase intention?

Some consumers have adapted to a modern lifestyle centred on projecting their status to society through materialistic presentations, including displaying luxury brand products. Our goal is to extend existing studies on this phenomenon and explore the direct effect of two dimensions of materialism (materialism self-projection vs. materialism evaluation of others) on shopping enjoyment and luxury brand purchase intention. Structural Equation Modelling (SEM) was used to analyse data from 136 Malaysian respondents and found that materialism self-projection is responsible for shopping enjoyment and purchase intention. In contrast, the materialistic evaluation of others is only responsible for purchase intention but not shopping enjoyment. Finally, shopping enjoyment also directly impacts purchase intention. This study offers an alternative model of purchase intention, theoretical and practical implications, and several avenues for future studies.

The Impact of Technological Advancements in the Luxury Car Market: A Case Study of Mercedes-Benz Sales in the U.S.A

This study investigates the influence of technological advancements on Mercedes-Benz's market performance in the U.S. luxury car sector, focusing on the period from 2013 to 2023. Employing multiple regression analysis, the research examines the relationship between key variables: technological adoption rates, sales volume, average selling price, and revenue. The study reveals that while the average selling price significantly enhances revenue, technological adoption contributes positively, though with a less pronounced effect. However, taking such measures as using electric cars and car driving automation technologies has helped Mercedes-Benz to sustain its competitive advantage. Even if this is initially expensive and consumer acceptance or penetration varies, it restricts their immediate revenues. Multiple regression and ANOVA analyses also support the importance of these factors, stressing that an effective pricing policy and constant innovations are crucial for increasing revenue. The result of the study shows that Mercedes-Benz can maintain the leading position in the luxury car segment only if it invests in technological developments and follows the changes in consumer trends. That can only underline the need for further development of technologies in the automotive industry, a situation luxury brands must face in the long run, as they must satisfy consumer demand for high-end features to generate constant revenues.

Driving Consumer Engagement for Circular Luxury Products: Two Large Field Studies on the Role of Regulatory Mode Language

ABSTRACTThis research investigates the effect of language on the marketing of circular luxury products. Circular economy principles are becoming important for luxury brands as consumers demand more circular and sustainable alternatives to traditional products. However, luxury literature is divergent on whether communicating circular economy principles with luxury products leads to positive or negative consumer outcomes. This is due to the perceived incompatibility of sustainability and luxury. This research investigates the influence of language used with circular luxury products in sales descriptions of second‐hand circular luxury products (Study 1) and language effects of sustainability communication on social media (Study 2) to establish impact on consumer engagement. Our analysis of combined N = 921,939 observations demonstrates that product descriptions and social media posts communicating circular principles lead to decreased consumer engagement. This is a major problem for the marketing of circular luxury products. However, this effect can be overcome by using predominant locomotion, progress‐focused language that creates a regulatory fit with circular luxury products, increasing consumer engagement. Theoretically this study shows the importance of predominant locomotion language in the marketing of circular luxury products. Luxury marketers can utilise predominant locomotion language in their brand communication to increase consumer engagement with these products.

Luxury Conglomerate Strategy: A Comparative Case Analysis of LVMH and Kering

This comparative case study explores the strategic initiatives of two major luxury conglomerates, LVMH and Kering, and their responses to the evolving dynamics of the luxury industry. It focuses on four key strategic areas identified in the literature: digitalization and technology integration, immersive retail strategies and brand storytelling, ESG and sustainability efforts, and mergers and acquisitions. Through a detailed analysis of LVMH and Kering’s approaches to these areas, the study elucidates how both firms maintain their competitive edge and leadership in the luxury market. The findings highlight the critical role of strategic continuity, technological innovation, effective brand communication, sustainability efforts, and strategic acquisitions in navigating the complexities of the contemporary luxury landscape. This case study contributes to a deeper understanding of luxury brand management and provides valuable insights for both industry practitioners and academic scholars.

Does Self-Expression Really Matter? Investigating Gender Perspective in Global Luxury Fashion Purchase

The fashion industry's business is expanding more than ever with the growing tendency of people towards self-glorification. According to McKinsey (2020), brands like LVMH, Kering, and Richemont defied market expectations with an extreme surge in sales in the second quarter of 2021. Luxury fashion brands enable individuals to express their personality traits in society. Through their symbolic appeals, these brands attempt to resonate with consumers' feelings. Self-expressive products reflect the essence of consumer personality. The expectations of both men and women vary considerably with the symbolic appeals of the brands. The present study evaluates the perceived significance of self-expression through luxury fashion brands in male and female consumers. A cross-sectional survey of 217 university students using the top ten global luxury brands, including Louis Vuitton, Chanel, Hermes, Gucci, Rolex, Cartier, Dior, Saint Laurent / Yves Saint Laurent, Burberry, Prada from Northern India was conducted. An independent sample Z test was used to analyse the perceived significance of self-expression in both genders. Results indicate that males consider ‘the inner self’, ‘social role’, ‘social perception’, and ‘personal connection’ as essential dimensions of self-expression. At the same time, females value the dimensions of ‘personality’, ‘social status’, ‘social image’, and ‘inner self’in global luxury fashion purchases, and overall perceived significance is the same for both genders. Marketers can utilise the study's findings while designing symbolic attributes of luxury fashion products.

Revisiting consumer loyalty: luxury brand extension into restaurants and cafés

PurposeWith luxury brands extending into restaurants and cafés, the definition of luxury consumption no longer refers to tangible products alone but to intangible and authentic experiences as well. Drawing on the Stimulus–Organism–Response framework (SOR) and the costly signalling theory, this study explores the sequential mechanisms of experiences in luxury brands’ restaurants and cafés among Korean and US consumers.Design/methodology/approachThis study distributed online surveys in South Korea and the US and recruited 419 participants (South Korea = 210; US = 209). PLS-SEM and multigroup analysis were used to test the hypotheses.FindingsPerceived quality influenced perceived luxury values positively and led to consumers’ loyalty to both the parent brand (i.e. luxury fashion brand) and extended brand (i.e. luxury restaurants and cafés).Originality/valueLuxury brands seek to offer their consumers authentic and extraordinary experiences. By merging luxury fashion with gastronomy, these brands can foster synergistic long-term relationships with consumers and enhance their brand equity in the global luxury market. Our results also demonstrated that such expansion contributes to competitive advantages in luxury fashion retailing by increasing their intangible values in addition to their parent luxury fashion brands. Further, in the context of globalisation, this research provides insights into how luxury retailers’ novel approach to the F&B sector can enhance consumers’ loyalty across different cultures and strengthen their global luxury retail strategy.

Chinese Gen Z’s luxury fashion goods shopping behaviour via drop marketing strategies

ABSTRACT Since the inception of the drop marketing strategy, it has been very successful in various industries globally. This study aims to examine the key drivers motivating Chinese Gen Z consumers to get involved in drop marketing as well as to buy personal luxury goods available through drop marketing campaigns in the luxury fashion consumption context. Through a qualitative approach using personal interviews, we aim to reveal in-depth insights into the perceptions and motivations of Chinese Generation Z studying in the US when acquiring personal luxury goods available through drop marketing. Thematic analyses of interview data revealed five major themes. By investigating the perceptions, motivations, and decision-making processes of Chinese Gen Z consumers, we share meaningful insights into the personal luxury goods industry. The findings are especially important for luxury brand managers to maintain and enhance their endeavours in creating brand value, equity, and community using drop marketing strategies.

Luxury Brand Localization on Chinese Social Media

This paper explores the localization strategies employed by global luxury brands on Chinese social media platforms. As China becomes the largest luxury market in the world, brands such as Gucci, Louis Vuitton, and Burberry have adapted their marketing strategies to better resonate with Chinese consumers' cultural preferences and digital behaviors. Platforms like WeChat, Douyin, and Weibo have become essential for brands to connect with local audiences through personalized content, collaborations with Key Opinion Leaders (KOLs), and culturally tailored campaigns. Through case studies, this research highlights how these brands successfully integrate global prestige with localized digital strategies to enhance brand awareness, foster consumer loyalty, and drive sales in China. Additionally, the study examines the influence of cultural factors, such as collectivism and the importance of social status, on Chinese consumers attitudes towards luxury goods. These insights shed light on the evolving landscape of luxury brand marketing in Chinas dynamic digital ecosystem and offer perspectives on future trends.

Analyzing the Visual Identity of Diptyque Paris

This journal explores the impact of visual identity design on consumer perception and brand recognition, using the luxury brand Diptyque as a case study. The study analyzes how Diptyque’s synchronized design elements—such as logos, typography, color palettes, and illustrations—communicate the brand’s personality and influence customer loyalty. The research aims to provide insights for Micro, Small, and Medium Enterprises (MSMEs) on building effective visual identities by analyzing Diptyque’s successful branding strategies. The qualitative research method involved expert interviews and literature reviews. Experts in branding and design were interviewed to assess the effectiveness of Diptyque’s visual identity in conveying brand values. The study found that Diptyque’s distinctive oval-shaped logo, minimalist black-and-white palette, and hand-drawn illustrations play a significant role in establishing the brand’s luxury status and emotional appeal. Consistency in applying these design elements reinforces brand recognition and loyalty. The findings suggest that a well-defined and cohesive visual identity is crucial for brands to stand out in a competitive market. Diptyque’s example offers valuable lessons for MSMEs on how to use design elements strategically to enhance customer perceptions and build lasting brand presence.

The Impact of Macroeconomic Climate on Luxury Marketing Strategy

This study explores the impact of the macroeconomic climate on luxury marketing strategies, focusing on how economic factors such as inflation, interest rates, and consumer confidence influence the behavior of luxury brands. In times of economic prosperity, luxury brands often adopt aggressive marketing strategies, targeting all client profiles. Conversely, during economic turndowns, these brands may shift towards strategies that enhance high-society clients, emphasizing exclusiveness and premium positioning. By examining case studies and market data, this essay highlights the adaptability of luxury marketing strategies to changing economic conditions, ensuring sustained brand desirability and customer loyalty. However, the luxury industry’s confidential nature and limited recordings of their marketing strategies indicate the need for further research.

How do celebrities enhance their image through luxury brand endorsements in the era of fan economy? Taking Jackson Wang as an example for LV

With the popularity of social media and the Internet, fan economy has gradually become an important force to promote the development of the entertainment industry and luxury market, playing an important role in celebrity endorsement of luxury brands. As public figures, celebrities have a highly contagious image and influence among their fan base. The love and support of fans bring considerable market returns to the brand, while also deepening fans' love and recognition of celebrities. This emotional connection based interaction further consolidates the celebrity's position in the hearts of fans, enhances their overall image, and makes endorsements more persuasive. Luxury brands are a symbol of status and a guarantee of quality, attracting the attention of global consumers with their unique brand value, exquisite craftsmanship, and high-end positioning. The selection of their spokespersons is particularly crucial. Celebrity endorsement of luxury brands is undoubtedly a win-win choice. When partnering with luxury brands, not only can it bring increased exposure and market share to the brand, but it can also further enhance the image and status of celebrities, laying a more solid foundation for their future development.

LANGUAGE STRATEGIES IN BRANDING OF LUXURY CARS

The aim of this paper is to identify the basic elements of language strategies used in digital marketing communication of luxury car brands. While sonic branding is an issue that has received adequate attention in the current academic literature, language strategies are not sufficiently elaborated in the context of the current state of knowledge. Methodologically, the paper is developed in the form of a case study in the field of car brands. Based on the methods used, the authors identify the key elements of language strategies applicable in the practice of luxury brands.

Wearing your success on your sleeve: How salesperson luxury brand consumption affects consumers’ perceptions

First impressions matter. Just as salespeople assess potential customers, consumers make judgments about salespeople, using cues from a salesperson's appearance and behavior to shape their expectations. In this research, we propose that a salesperson's personal display of luxury-branded products (e.g., wearing a Burberry scarf or driving a BMW) in a non-luxury retail setting is an unexplored but consequential cue that negatively frames consumers’ expectations of a pending negotiation. Across four studies, we demonstrate that, in business-to-consumer contexts, when a salesperson displays luxury-branded products, consumers reduce their expectations of receiving a favorable deal compared to when no luxury brands are displayed. Such expectations are problematic as they deter consumers from approaching salespeople, which can lead to lost sales for firms. Further, we find that the negative effect of luxury-branded products on deal expectations is sequentially mediated by consumers’ perceptions of salesperson materialism and moral character. Finally, we demonstrate that cues signaling the salesperson's customer orientation fail to negate the damaging effects of luxury-brand displays and may backfire depending on the signaler. As such, this research provides takeaways for salespeople who sell non-luxury products and offers important contributions to theory.

A study to Chinese domestic luxury visual brand logo:From domestic to global

The present study examines the logotypes of successful Chinese domestic luxury brands (CDLBs), Shanghai Tang and Shang Xia, in order to reveal the underlying resonance between Chinese values and aesthetics. Based on signaling theory, the research underscores the importance of incorporating Chinese cultural elements into the branding strategies of CDLBs to attract Chinese consumers and distinguish themselves within the luxury fashion industry. The study employs a mixed-methods approach, comprising literature review, case analysis, and in-depth interviews, to analyze data from three distinct perspectives: contemporary trends, Chinese name selection, and the incorporation of local cultural elements in design. The findings suggest that CDLBs must strike a balance between conforming to current trends, particu-larly simplicity, and preserving authenticity, when selecting a Chinese name that holds cultural significance, and integrating traditional design elements in the details. This research provides practical guidance for professionals in the field and paves the way for future studies to explore related topics.