Luxury Purchase Research Articles

Navigating the digital landscape: social media’s influence on luxury brand equity and purchase intention

Purpose The purpose of this study is to examine how social media affects luxury brand equity and purchase intention in Malaysia. Design/methodology/approach Questionnaires were distributed across shopping malls in the Klang Valley, including Kuala Lumpur and surrounding areas, targeting Malaysian citizens aged 18 and above with a history of luxury purchases. Using random sampling, the study collected and analysed 300 valid responses. Findings The findings demonstrate that social media has a positive effect on luxury brand equity and that brand equity significantly influences purchase intention. However, the study reveals a negative impact of social media on purchase intention. Originality/value This study explores the profound impact of social media on luxury brand equity in Malaysia, revealing its role in shaping brand awareness, associations, uniqueness, loyalty and perceived quality.

Unveiling the Influences: Self-Esteem and Peer Impact on Luxury Consumption Among Consumers

In order to examine the impacts of peer influence and self-esteem on luxury consumption. This research employed online and offline questionnaire to gather customer self-esteem degrees, personality characteristics, along with conspicuous consumption behaviors. The information and data were construed through one-way analysis of variance (ANOVA) and multiple regression analysis. Accordingly, it was indicated that customers with higher degrees of self-esteem showed firmer willingness and action in luxury purchase intentions, and peer influence remarkably impacted their conspicuous consumption. In brief, self-esteem and peer influence are both key players in luxury consumption.Researches have revealed that consumers buy articles of luxury, in an attempt to satisfy the demands for materials and improve their self-worth and social positions. Luxury consumption is prominently impacted by collective self-esteem, since consumers believe that when they purchase luxury goods, their social position and personal image will improve. Moreover, peer correlations exert a highly important effect on young customers, which is deeply intensified by social media and celebrity effects.According to the findings, luxury brands need to take into consideration these points with regard to developing marketing tactics: for starters, meeting the demands of customers with discrepant degrees of self-esteem through individualized marketing tactics, with a focus on the product uniqueness and brand recognition. Secondly, through the transmission of brand stories and values, enhance emotional connections among consumers. Finally, leverage the influence of social media and opinion leaders to attract and retain young consumers. Through these strategies, luxury brands can better meet consumer needs and enhance market competitiveness.

What Are the Differences of Luxury Goods Purchasing Behaviors of Hetero- Geneous Consumer Groups?

In today's world, many scholars have begun to research the different benefits that luxury goods bring to society. Although luxury goods research-only appeared in the last hundred years, it has an absolute voice in today's trend circle and even involves other industries. However, few people have researched the impact of different people's characteristics on luxury consumption, so I choose to research the difference in luxury purchase behaviors among heterogeneous groups. I believe this research will provide a clear picture of how this difference arises and what the implications are. This research provides empirical evidence for the differences of the luxury goods purchasing from heterogeneous consumer groups. This model could be applied to empirical studies of Economics and Sociology. In practice, the empirical findings from some surveys, data research and some expertise provide convincing evidence for the reliability of the model. It can be used that people with different characteristics have different purposes when acquiring luxury goods. Although there are some limitations in the current study, the findings could give researchers and practitioners suggestions to the impact of population heterogeneity on luxury purchases. Specifically, this study demon st-rates that gender, age, personal or family income, job content and local development level will all influence people's different opinions on luxury brands, so they have different purposes for using luxury goods in China.

What, no logos? Why some minimalists prefer quiet luxury

AbstractMinimalism is a philosophy based on reduction of consumption and holding fewer possessions that has gained great momentum and popularity worldwide. While prior literature suggests that not all minimalists engage in luxury consumption, a segment of minimalists labeled inconspicuous minimalists are theorized to not only focus on having fewer possessions, but also to have a preference for high product quality and subtlety in design that translates into a higher propensity to purchase “quiet luxury” products. This research empirically examines the relationship between inconspicuous minimalism and luxury consumption. In four experimental studies, we find that contrary to popular belief, certain minimalists are in fact likely to purchase luxury goods. Moreover, we find that inconspicuous minimalists prefer “quiet” versions of luxury brands that are more discreet (no logos), and that these luxury purchases are motivated by a desire for social connectedness to knowledgeable “elites” who share similar cultural capital and values. These findings suggest that inconspicuous minimalists are motivated by social factors, but not by traditional Veblen style conspicuous consumption motives in which the buyer has a desire to impress the masses.

Enhancing CSR and purchase intent in service recovery: investigating the interplay of prosocial compensation, hedonic and luxury purchases

Purpose As a company’s corporate social responsibility (CSR) image can protect from the backlash of a service failure, it is important to remind customers of the company’s CSR commitment when a service failure occurs. One novel mechanism for doing so is through a prosocial service recovery. However, explorations of such service recovery strategies are relatively unknown. Thus, this paper aims to examine how recoveries including prosocial elements compare to those only utilizing monetary compensation strategies and to explore boundary conditions for such effects. Design/methodology/approach This research utilizes an experimental design approach across three studies. Participants were recruited from Amazon’s Mechanical Turk. Findings This research demonstrates that a recovery including prosocial (vs only monetary) elements can positively impact purchase intent through the firms’ CSR perceptions. The authors show that the benefits of prosocial compensation are contingent on the motivation for visiting a company (e.g. hedonic vs utilitarian) as well as the degree to which the company is perceived as luxurious. Originality/value The series of studies provides important theoretical contributions to services marketers by advancing the understanding of novel recovery strategies and demonstrating when companies should initiate such strategies. Implications of the findings and directions for future research are explored.

Having less or saving more: the role of social responsibility perception in reducing guilt over luxury purchases

PurposeThis paper aims to challenge the notion that “having-less” – limiting consumption of scarce resources to a select few – represents a social responsibility route toward guilt reduction. It rather argues that “saving-more” – the purposeful pursuit of conscious and collaborative consumption – captures consumers’ true representations of responsible luxury which in turn reduces anticipated guilt.Design/methodology/approachSix experiments using different operationalizations of saving-more (vs. having-less) and a mix of fictitious and real luxury brands were conducted on real luxury buyers.FindingsThe findings demonstrate that saving-more (vs. having-less) leads to a stronger purchase intention; an effect explained by a higher responsible luxury perception and lower anticipated guilt associated with saving-more (vs. having-less). Furthermore, the ability of saving-more (vs. having-less) in building responsible luxury perception and reducing anticipated guilt is stronger (vs. weaker) when luxury is distributed based on deservingness (vs. entitlement).Research limitations/implicationsThis research proposes a novel distinction between two responsible luxury approaches: promoting limited consumption for business goals, that is, having-less and promoting conscious consumption for societal goals, that is, saving-more.Practical implicationsBrand managers can enhance responsible luxury perception and reduce consumer guilt through corporate communication, product communication and collaborative product accessibility modes. Managers must also convince consumers that their access to luxury is based on real achievements.Originality/valueThis study empirically invalidates the notion that merely invoking scarcity and rarity tactics is an expression of social responsibility. It integrates social responsibility and fairness accounts of guilt into a coherent theory of guilt over luxury consumption.

Faithful and luxurious: Mediating halal with luxury through self-congruity

ABSTRACT With the rise in luxury marketing and the opening of Halal markets, luxury brands have begun to penetrate the lives of Muslim consumers. This has been accelerated particularly with the growing service economy. However, there is a lack of understanding of the underlying mechanism through which luxury services can impact the purchasing behavior of Muslims. With Islam influencing all aspects of Muslims’ lives including their purchasing behavior, it is important to resolve tensions between religiosity and luxury purchasing. Using the self-congruence theory, this study proposes a conceptual model of how religiosity can influence the purchasing behavior of luxury services and the well-being of Muslim consumers. This study contributes to the emerging luxury services and Halal service marketing literature, advances the transformative luxury and transformative service research agendas on well-being, and suggests a path for firms to encourage the spending of luxury services to capitalize on the growing Halal economy. The study concludes with a research agenda to advance research on the consumption of Halal luxury services.

Silent Luxury or Revenge Consumption? Reimagining the World of Luxury and Consumer Purchase Intentions Post-Covid 19

COVID-19 not only sent a health shockwave to the world but also disrupted global economies. Major shifts in luxury consumer behavior emerged as a result of the pandemic. This study aims to empirically investigate luxury purchase patterns in a post-COVID-19 world for different cultural, ethnic, and gender segments. It employs a quantitative survey with a sample of 262 participants to examine whether consumers prefer revenge or silent luxury, in-store or online channels. Results exhibit that high power distance and more masculine consumers favor revenge luxury while low power distance and more feminine ones prefer silent luxury consumption. Females and non-binary genders also exhibit higher purchase intentions for silent, more sustainable luxury consumption than males. Collectivistic, African American consumers are more inclined towards in-store luxury channels than their Non-Hispanic White counterparts. The study findings have several pertinent corporate and managerial implications as the US$1.52 trillion world of luxury is reimagined post-COVID-19.

A Study on the Influence of Consumer Perception, Norm and Face Consciousness on the Willingness to Purchase Counterfeit Luxury Goods: A Case of Generation Z

This study investigates the intricate dynamics shaping Generation Z's propensity to purchase counterfeit luxury goods in China, focusing on the influences of consumer perception, social norms, and face consciousness. Counterfeit luxury consumption presents a compelling context for understanding consumer behavior, particularly among younger demographics in emerging markets like China. Drawing upon a mixed-methods approach, including surveys and interviews, this research delves into the nuanced interplay between various psychological and sociocultural factors driving the consumption of counterfeit luxury goods. The theoretical framework integrates concepts from consumer behavior, social psychology, and cultural studies to elucidate the mechanisms underlying Generation Z's decision-making processes regarding counterfeit luxury purchases. Specifically, consumer perception is examined in terms of the perceived value, quality, and social status associated with counterfeit luxury goods. Additionally, social norms are analyzed to understand how peer influence, societal expectations, and cultural norms shape individuals' attitudes and behaviors towards counterfeit consumption. Furthermore, the notion of face consciousness, rooted in Chinese culture's emphasis on social reputation and saving face, is explored as a crucial determinant of counterfeit purchasing behavior among Generation Z consumers. Through empirical data analysis, this study uncovers multifaceted insights into the willingness of Generation Z in China to engage in counterfeit luxury consumption. Findings reveal that while perceptions of value and social status play significant roles in driving counterfeit purchases, social norms exert a compelling influence, often outweighing individual perceptions. Moreover, face consciousness emerges as a potent motivator, as individuals navigate the delicate balance between maintaining social esteem and satisfying personal desires. The implications of this research extend to both academia and industry, offering valuable insights for marketers, policymakers, and brand managers seeking to address the challenges posed by counterfeit luxury consumption among Generation Z consumers in China. By understanding the complex interplay of consumer perception, social norms, and face consciousness, stakeholders can develop targeted interventions and strategies aimed at mitigating the demand for counterfeit goods while fostering authentic brand loyalty and consumer trust.

The interplay of culture, religion and luxury consumption: a cross-national investigation

PurposeThis study aims to examine differences in the perceived value of luxury as drivers of luxury purchase intentions between individualist and collectivist cultures (at a country level) and consumers of Muslim versus Christian religious backgrounds. Moreover, this study investigates how consumers’ acculturation to the global consumer culture (AGCC) impacts their perceived luxury values.Design/methodology/approachThe authors conducted two online survey studies. The first study compares Muslim consumers in Kuwait versus Muslims consumers in the UK. The second study compares the UK Muslim sample to a UK Christian sample. The authors collected data from 600 and 601 respondents, respectively. Partial least square structural equation modeling was used to test this study’s research hypotheses.FindingsThe perceived personal values of luxury primarily drive consumers’ luxury purchase intentions. The hedonic value of luxury impacts luxury purchase intentions significantly more for Muslims in the UK than in Kuwait. No significant differences were observed between religions. Consumers’ AGCC exerts a positive impact on all included perceived luxury values and more strongly impacts perceived uniqueness for Muslims than for Christians.Originality/valueThe paper builds on an integrative luxury values framework to examine the impact of luxury values on consumers’ purchasing intentions by studying the moderating effect of culture and religion on these relationships. The study is partly set in Kuwait, an understudied country, and investigates a Muslim minority in the UK.

Determining online consumer's luxury purchase intention: The influence of antecedent factors and the moderating role of brand awareness, perceived risk, and web atmospherics.

The Internet has become the fastest-growing way to sell luxury products. Purchase intention for luxury products in online stores has taken attention in the last few years since the sector has proliferated. The primary objective of this study is to examine the impact of various factors such as Product knowledge, Price consciousness, Perceived enjoyment, Perceived ease of usage, and usefulness on online luxury purchase intention in developing countries like Pakistan. Data was collected from 267 luxury fashion customers in Pakistan through an online questionnaire, and the results were analyzed using Smart PLS-SEM. In addition, the paper investigates the moderating effect of Perceived risk, Brand awareness and Web Atmospheric on the link between the Attitude and Online Luxury Purchase Intentions of the consumer to buy luxury fashion products online. The framework of this study is validated by structural equation modelling (SEM). The findings of this study show that perceived enjoyment, price consciousness, and Perceived ease of use significantly and positively impact online luxury purchase intention. Additionally, the findings indicated that brand awareness, perceived risk, and web atmospherics each intervened as moderators in the relationship between attitudes toward purchasing luxury products and online luxury purchase intentions. Product knowledge is not directly related to online purchase intention, but Attitude plays a mediating role in the relationship between product knowledge and online luxury buying purpose. In the context of luxury product intention, this study is one of the first to investigate the moderating effect that brand awareness, perceived risk, and web atmospherics play. It will help luxury brands develop the right tactics for selling luxury goods online in developing countries like Pakistan.

Sustainable luxury brands: the moderating effects of salient identity-based goals

Purpose Luxury brands struggle to communicate their sustainability commitments to consumers due to the perceived incongruence between “luxury” and “sustainability”. This study aims to provide luxury brands with insights on how to engage consumers with different social value orientations (SVOs) to make sustainable luxury purchases in a compatible manner. It investigates the relationships between personal values (symbolism/universalism), SVOs (pro-self/prosocial orientation) and behavioral intentions toward sustainable luxury brands. It further explores whether these relationships may differ when consumers view themselves as individuals (salient personal identity is activated) versus group members (salient social identity is activated). Design/methodology/approach Study 1 (N = 419) used an online experiment in which participants were randomly assigned to either salient personal or social identity conditions to test the proposed model. Study 2 (N = 438) used a fictional brand to further validate the findings. Hypotheses were tested using covariance-based structural equation modeling (CB-SEM) and multi-group SEM. Findings Results indicate that prosocial orientation significantly increases consumers’ behavioral intentions toward sustainable luxury brands. Interestingly, pro-self-orientation can also drive intentions to support sustainable luxury brands when consumers’ personal identity is salient. Salient social identity can further strengthen the relationship between prosocial orientation and sustainable luxury behavioral intentions. Originality/value This study presents a novel, inclusive definition of sustainable luxury brands and adds theoretical rigor to the SVO framework by revealing the moderating role of salient identities, contributing to the body of knowledge in luxury brand research.

Predicting luxury purchases: A new comprehensive framework and research roadmap

Predicting luxury purchases: A new comprehensive framework and research roadmap

Examining the Moderating Role of Reasons in Masstige Luxury Buying Behavior.

This study proposes a new model derived from Behavioral Reasoning Theory (BRT) to examine the purchasing behavior of masstige jewelry consumers. The suggested model provides a more comprehensive understanding of the determinants of purchasing masstige products by considering values and reasons in addition to the global motives and intention. The study also examines, for the first time, the moderating role of reasons. It explores how reasons may strengthen or weaken the impact of perceived values on global motives. The proposed model was empirically tested using partial least squares-structural equation modeling (PLS-SEM) with survey data on the consumption of masstige jewelry brands in Türkiye. To provide a more complete understanding of the moderating role of reasons, submodels were constructed for different value-reason combinations. The results demonstrate notable differences in the goodness-of-fit measures between the moderated and non-moderated models. Specifically, reasons contributed to enhanced explanations of global motives and intention, both directly and indirectly. However, not all submodels yielded significant results in terms of the moderator effect. Thus, the empirical tests supported the hypotheses regarding the moderating effect only partially. Overall, the current findings further extend the existing frameworks and provide valuable insights into masstige jewelry purchasing behavior, which can be used by marketers to develop more effective strategies.

Exploring the ties between luxury brand experiences, social status, luxury purchases, prosocial behaviours, and materialism: a case of millennials on social media

Exploring the ties between luxury brand experiences, social status, luxury purchases, prosocial behaviours, and materialism: a case of millennials on social media

Research on the Relationship between Luxury Purchase Motivations and Behaviors among Chinese Young People—A Case Study of High-Priced Milk Tea Consumption Market

Research on the Relationship between Luxury Purchase Motivations and Behaviors among Chinese Young People—A Case Study of High-Priced Milk Tea Consumption Market

Lovemarks Drivers Effect on Luxury Fashion Brands Emotional Attachment

This research endeavors to investigate the effect of lovemarks on luxury fashion consumer decision-making in Egypt, examining its implications on the international competitive posture of Egyptian luxury firms. It seeks to bridge a significant research gap in the understanding of luxury consumer behavior in Egypt, particularly against the backdrop of global luxury market transformations. The study's objectives encompass the analysis of critical lovemarks drivers effecting luxury purchases and the exploration of the interplay between love and respect in the emotional attachment between consumers and brands. Employing a positivist epistemological approach, this research utilizes a deductive methodology within a cross-sectional framework, underpinned by quantitative data analysis from 440 luxury brand consumers. A five-point Likert scale questionnaire, informed by non-probability judgmental sampling based on socio-economic and lifestyle criteria, elucidates consumer perspectives. Structural Equation Modeling (SEM) identifies intimacy, sensuality, and mystery as pivotal in nurturing brand love, while trust, performance, and reputation predominantly foster brand respect. Notably, intimacy emerges as the most influential factor in developing brand love, underscoring the value of personal brand-consumer connections. From an academic standpoint, this study contributes to the scholarly dialogue on luxury consumer behavior, with a special focus on the Egyptian milieu. In practical terms, it provides luxury brands with strategic insights for intensifying marketing approaches through emotional engagement and narrative construction. These insights are crucial for stakeholders in luxury brands, offering a strategic framework to enhance investment decision-making and bolster consumer loyalty in a culturally varied market.

Identifying factors influencing purchase intention of sustainable luxury retailing products

PurposeThis study investigated the antecedents influencing purchase intentions of sustainable luxury products using the stimulus-organism-response (S-O-R) model.Design/methodology/approachThe data were collected from 513 participants through surveys about recent purchases of sustainable luxury products. As part of this study, the authors visited luxury retail outlets in Hyderabad, Mumbai and Chennai, and AMOS version 23 was used to analyze the data.FindingsConsumer trust and attitude (organism) are positively influenced by utilitarian, hedonic, epistemic, social and self-image (SEI) stimuli. Consumer trust and attitude (organism) have a significant impact on sustainable luxury purchase intention (response). In addition, escapism (ESC) moderated the organism–response relationship.Practical implicationsAs a result of the findings regarding utilitarian, hedonistic, epistemic, social and SI aspects of luxury brands, practitioners can develop sustainable marketing strategies that will promote luxury brands.Originality/valueThis study contributes to the existing literature by examining the moderating role of entertainment (ENT) and ESC in the S-O-R model in terms of antecedents influencing the purchase intention of sustainable luxury products. Furthermore, this new model contributes by providing a deeper understanding of sustainable luxury shoppers' intentions in India through analyzing purchase intentions for sustainable luxury products.

Should luxury brands display their logos prominently? Implications for brand authenticity, coolness and behavioral intentions

PurposeExtant research captures the signaling and attitudinal effects of luxury brand prominence strategy; however, little is known about the underlying mechanisms that drive this effect. This study aims to uncover brand authenticity and brand coolness as parallel mediators driving the effects of brand prominence on luxury purchase intentions and explores the moderating role of consumers’ self-brand connection.Design/methodology/approachThe research consisted of three experiments. Study 1 (n = 121) explored the direct effects of brand prominence among Chinese consumers. Using a sample of Turkish consumers (n = 115), Study 2, measured the mediation effects of brand authenticity and brand coolness. Study 3 (n = 211) examined how self-brand connection moderated the mediation effects among British customers.FindingsA luxury brand prominence strategy leads to negative perceptions of coolness and authenticity and, in turn, reduces purchase intentions. The negative effect of brand prominence is even more pronounced among consumers with high self-brand connection.Research limitations/implicationsThe study elaborates on how brand prominence informs consumers’ perceptions of authenticity and coolness. In examining the role of self-brand connection, the study reveals a theoretically and managerially relevant boundary condition of this focal effect.Practical implicationsThe research highlights how luxury brands can use differing brand prominence strategies. This research informs brand managers on how to enhance brand authenticity and coolness while managing self-brand connection.Originality/valueThe study extends the luxury branding literature by explaining the brand prominence effect through the parallel mediators of brand authenticity and brand coolness. In contrast to extant research, the findings show that the negative effect of brand prominence is particularly strong among consumers with high self-brand connection.

Separating substitution and psychological effects of price with a two-step conjoint approach: Application to luxury goods

Price can have direct psychological effects on utility, beyond the standard indirect substitution effect through its impact on the budget available for other goods. This paper proposes a theory driven modeling framework to (i) empirically disentangle and measure the psychological and substitution effects of price, and (ii) identify heterogeneous drivers of the psychological effect. We then provide a two-step conjoint design to collect necessary data to identify the model and a method to estimate it. We illustrate how the modeling framework can be used with secondary luxury purchase data to measure the psychological and substitution effect, when data on consumer budget for the category is available. We then illustrate our conjoint method, by collecting data for the luxury goods and estimating the model. We find three segments with heterogeneous drivers of the psychological effect: price prestige seeking, self-reward, and price prestige avoidance.