Understanding the antecedents to luxury brand consumer behavior

Abstract

Purpose This paper aims to investigate how consumers perceive the value of luxury brands and the antecedents to these perceptions, including consumer knowledge, reference group influence and accessibility. Prior studies focused less on the salience of consumer knowledge and sources of luxury information, in addition to their accessibility to luxury. Hence, a more nuanced luxury conceptualization is needed to reflect luxury’s conceptual fluidity, consumers’ different lived experiences, accessibility levels and persistent retail marketing changes. Design/methodology/approach In a survey involving 475 US respondents, five hypotheses were tested and analyzed with structural equations modeling, examining the relationships among knowledge and accessibility of luxury brands, as well as reference group influence and its impact on consumer value perceptions of luxury brands and consumer behaviors. Findings Significant relationships were found for all five hypotheses and demonstrated that knowledge, reference group influence and accessibility have strong relationships with consumers’ personal value perceptions of luxury brands and behavioral measures, including purchase intentions, willingness to recommend to a friend and willingness to pay a price premium. Originality/value This conceptualization recognizes that consumers must have luxury brand awareness prior to reference group influence, developing individual luxury value perceptions and entering the buying process. This research contributes to the literature by highlighting consumers’ views of the luxury category, which induce perceptions and potential outcomes. It also expands the understanding of consumer’s accessibility to luxury products, which impacts purchase intentions. While it was conducted in the USA, it yields broader consumer perspectives.

Drivers of attitudes toward luxury and counterfeit products: the moderating role of interpersonal influence

“…Reference group influence is positively related to luxury value perceptions for a consumer's favorite luxury brand (Kowalczyk and Mitchell, 2021). It is important to note that what consumers perceive to be luxury ranged from traditional luxury to masstige to nontraditional luxury brands (Kowalczyk and Mitchell, 2021;Shin et al, 2021). Das et al (2021) found that interpersonal influence moderated the relationship between need for uniqueness and inspiration for masstige.…”

“…As luxury goods are perceived to be the most visible form of consumption (Vigneron and Johnson, 2004), interpersonal influence plays a key role. Reference group influence is positively related to luxury value perceptions for a consumer's favorite luxury brand (Kowalczyk and Mitchell, 2021). It is important to note that what consumers perceive to be luxury ranged from traditional luxury to masstige to nontraditional luxury brands (Kowalczyk and Mitchell, 2021;Shin et al, 2021).…”

The emergence of a values-based premium private label brand reputation within a multiple-tier brand portfolio

“…Brand image researchers recognize that associations are often based on personal preferences, emotions and values (Anselmsson et al , 2007; French and Smith, 2013; Keller, 1993), and luxury brand researchers increasingly acknowledge the critical role of consumers’ personal values in guiding their purchase decisions (Atkinson and Kang, 2021; Kauppinen-Räisänen et al , 2019; Kowalczyk and Mitchell, 2021), but research that explains the role of consumers’ values in the emergence of a brand image seems to be missing. The next section offers such an explanation.…”

The Role of Virtual Communities on Consumer Purchase Decisions with Brand Equity as Mediating Variable

“…Reference group is a person or group (society) that influences consumer behavior (Kowalczyk & Mitchell, 2022;Preiksaitis & Dacin, 2021). According to Liljedal & Berg, (2020) and Preiksaitis & Dacin, (2021) reference group is a group that has a certain view of how to act in a situation.…”

“…Types of reference groups according to Sumarwan (2014:306) concluded that the types of reference groups are divided into three, namely formal and informal groups, primary and secondary groups, and aspiration and dissociation groups. Meanwhile, the reference/reference groups based on their grouping are divided into 3 (three) namely groups based on proximity and intensity of interaction, groups based on the legality of existence, and groups based on membership status and influence (Kennedy et al, 2022;Kowalczyk & Mitchell, 2022;Preiksaitis & Dacin, 2021). Reference groups / reference groups that influence consumers in essence can provide information, experience, credibility, attractiveness, strength of the reference group and product prominence (Dalman et al, 2020;Kaur et al, 2020).…”