Personal Luxury Values Associated with Fashion Brand Consumption: An Exploratory Analysis of Demographic Variations in the United States

Abstract

Researchers have focused on the explanation that consumersbuy luxury brands ‘to impress others’ (Tsai, 2005; O’Cass &Frost, 2002; Wiedmann, Hennigs, & Siebels, 2009). Marketershave designed branding strategies that reflect the idea that consumerpurchasing is affected by an internal drive to create afavorable social image (Tsai, 2005). However, researchers exploringcustomer perceptions of and motives for purchasingluxury brands have suggested that socially-oriented motives areinsufficient explanations for luxury brand consumption(Wiedmann et al., 2009). These researchers stress that personally-oriented motives have been overlooked in the marketingmanagement of luxury brands. Additionally, empirical researchfocusing on personal motives is comparatively scarce (Tsai,2005; Wiedmann et al., 2009). Our study attempted to addressthis research void by identifying personal luxury values U.S. consumers’ associated with their fashion brand consumption. Specific research questions examined were:RQ1: What demographic characteristics are related to personalluxury values?RQ2: What personal luxury values are related to consumers’intentions to purchase luxury fashion brands?A range of motivators can underlie luxury brandconsumption. First, some consumers may seek self-directedpleasure from consuming luxury brands and thus their purchaseobjective has little to do with pleasing peers or social groups(Tsai, 2005). These consumers often buy luxury brands to experiencebliss or contentment. Second, self-gift giving could bean important motive that underlies luxury brand consumption. O’Cass and Frost (2002) found that some consumers purchaseluxury products as gifts for themselves. Third, a consumer’sself-concept could affect luxury brand consumption. Recently, Wiedmann et al. (2009) confirmed that consumers’ perceivedcongruity of a luxury brand with their self-image or intendedself-image is an important variable for segmenting luxuryconsumers. Building on this fact, consumers may use luxurybrands to integrate symbolic meaning into their own identitiesor they may use the brands to support and develop those identities(e.g., self-completion). Finally, Wiedmann et al. (2009)found that some consumers engaged in luxury brand consumptionas a form of self-actualization or life-enrichment. Data were collected using a web survey tool with the helpof a marketing research company. Participants were US consumers(n=316) who had purchased a luxury fashion brand inthe past three years. Factor analysis with varimax rotation wasconducted on 14 personal luxury value items. Items with factorloadings greater than .60 were retained. Two cross-loadeditems were dropped resulting in four factors that accounted for71.1% of the total variance. Item loadings ranged from .64 to.90. Each of the factors had an eigenvalue greater than one. Factor 1 was labeled life enrichment (α=.81) and includedfour items (e.g., Self-actualization is an important motivator formy luxury fashion brand consumption.). Factor 2 was labeledself-gifting (α=.80) and included three items (e.g., Reward forhard work or that I feel I have earned or am entitled to is animportant motivator for my luxury fashion brand consumption.). Factor 3 was labeled self-identity (α=.73) and included threeitems (e.g., I never buy a luxury fashion brand inconsistentwith the characteristics with which I describe myself.). Factor4 was labeled self-directed pleasure (α=.74) and included twoitems (e.g., I can enjoy luxury fashion brands entirely on myown terms no matter what others may feel about them.). To answer RQ1, multivariate analysis of covariance(MANCOVA) was employed using income as a covariate. Age(Multivariate F=7.75, p<.001) had the most significant relationshipto self-gift giving and life enrichment luxury values. Education (Multivariate F=3.07, p<.05) had a significant relationshipwith self-identity. Further univariate analysis of covariance(ANCOVA) on age indicated that younger respondents(18-30 years old) showed higher levels of self-gifting (F=25.08,p<.001) and life enrichment (F=18.40, p<.001) values than olderconsumers (51 or older). ANCOVA analysis on educationalso revealed that those with a four-year college degree orhigher had a higher level of the self-identity value than whodid not have a four-year college degree (F=4.69, pp<.05). Nomain effects were found for gender. However, an interactioneffect between gender and education (F=2.76, p<.05) wasfound for the self-identity value (F=4.29, p<.05). Male respondentswith a four-year college degree had a higher level of the self-identity value than females and males who did nothave a four-year college degree and females who had at leasta four year college degree. No other significant interaction effectswere found. Regarding RQ2, the results of hierarchical multiple regressionanalyses indicated that the following three personalluxury values were significantly related to respondents’ intentionto purchase luxury fashion brands: self-directed pleasure(β=.25, p<.001), self-gifting (β=.20, p<.001), and self-identity(β=.11, p<.05). By understanding what personal luxury values are sought byAmerican consumers, global luxury fashion marketers could bein a better position: (a) to formulate and implement effectiveadvertising, publicity, special events and personal selling strategiesas well as mechanisms of consumer relationship management,and (b) execute marketing programs and activities tobuild brand images that appeal to and motivate American consumersto purchase.