Luxury Branding- Understanding Luxury Branding

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VOLUME 38 NUMBER 3 2OII
Media Asia
an Asian Mass Communication
Quarterly
FEATURES
ARTICLES
Understanding Luxury Branding: A Conceptual Framework
Aarzoo Daswani and Varsha
Jain
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Understanding Luxury Branding
A Conceptual Framework
The origin of luxury goes back to the ancient times. People indulge in luxurious products
to satisfy their
intrinsic and extrinsic needs. The sales of luxury goods in 2010 are expected to grow by four percent
to
'l
58 billion Euros.The better spending by the aspirational and young buyers, and the increase in
middle class disposable income have given rise to luxury goods trade. However, the consumption of
luxurious goods varies with consumers'taste and choices. They define and express luxury brands in
different notations depending on their profile and fundamental values. Moreover, consumers changing
preferences are reshaping the luxury meaning. This paper figures out the multi-dimensional attributes
of luxury and identifies the changing perception of consumers in today's times. The paper builds a
conceptual framework that can help the marketers in forming the luxury brands communication
strategies with which they can construct groundbreaking rules for their brand.
Luxury is for everyone and different for everyone.
-
Pam Danziger
uman beings have desired luxury goods of any
kind since their creation
(Tungate,
2010). Luxury
in the 17th century was found in commodities
such as rare pearls, crystal, perfumes, and spices from the
Caribbean, butwith the passage of time and with the rise
ofworld trade, the 19th and early20th century associated
luxurywith products of great craftsmen, superior quality
and customer service (Berthon et al,, 2009).
Today, the luxury market covers a wider customer
base of both affluent and non-affluent customers, all
craving for upscale products and services (Hader, 2008).
They wish for products that would enhance their quality
of life and show their outward appearance (Chadha
& Husband, 2007). This practice is found to remain
prevalent in all cultures and countries, irrespective
of economic situation (Okonkwo, 2009). People are
constantly indulging themselves in buying something
exclusive and more expensive
(I(apferer
& Bastien, 2OO9).
The motivation behind uplifting the luxury sector is to
establish relationships with the exclusive brands and
build high-trust experiences (Hadea
2008).
CoNsurvrcn SHrpr rN THE Luxuny Mnnxsr
Society is facing a shift with changing consumer
buying habits and tastes (Gupta, 2009). Consumers are
Aarzoo Daswani is Research Associate at the Mudra Institute
of Communications Research in Ahmedabad, India. Varsha
fain
is Research Fellow and Head, Division of Integrated
Marketing Communication at the Mudra Institute of
Communications Research in Ahmedabad, lndia.
Aenzoo DasweNr
VnnsHe
ferru
more sophisticated, broadly educated, well-travelled,
adventurous, more enlightened and desire products for
personalisation (Truong
et al., 2008; Silverstein & Fiske,
2003). Theywant to indulge and pamper themselves with
luxury products (Chen
& Sethi, 2007). They are more
into material possessions and their consumerism defines
a way of life that places higher importance on status and
social image
(Sengputa,
2007).
Besides, the economic recovery in most western
countries and the unshackled economic growth in
Southeast Asian nations are the main factors that have
provided wheels to luxury products sales
(Truong
et
al., 2008). Evidently, there exist a positive relationship
between economic growth and increased expenditures
for luxuries (Eng
& Bogaert,2010). The luxury market
is at a new level with the increase in the number of
global millionaires, greater confidence in the economy
and mass consumers buying luxury (De
Barnier et
al., 2000). In addition, the rise in standards of living,
increasing consumer product knowledge and desire to
spend has given rise to luxury products trade (Vickers
& Renand, 2003). Consumers today are more ready to
spend a larger proportion of their disposal income on
luxury goods (Nueno
&
Quelch,
1998). They use product
prices as a means of displaying their wealth and status.
More consumers are willing to pay a premium price for
products of higher quality and bring higher status (Husic
& Cicic,2009).
ConsurvrprloN oF Luxunrrs: THs lNnrex
MeRxer
Chadha and Husband (2007) in their book The Cult of the
Luxury Brand developed the spread ofluxury model that
follows a five-stage process: (a) subjugation; (b)
start of
money; (c)
showing off;
(d)
fitting in; and (e) way of life.
MEDIA A5IA, VOt 38 NO 3, 20]
According to the author, Asian countries still have more
scope of growth and the future glows for luxury houses.
Indian consumers are getting ready-to acquire the taste
of luxury as they move into the'start of money' stage of
luxury consumption. This is because of India's economic
growth, the masses buying Westernised goods and the
indulgence of elites in consuming luxury. With luxury
brands getting a warm welcome in India, it is considered
the next major luxury market after China' Furthermore,
with the rise in brand-sawy consumers, India is already in
the process of moving into the
'show off
'
stage
(wherein
consumption symbolises wealth and displays economic
status). The exposure to global lifestyles and surplus
income has given Indian consumers a higher and global
aspiration to acquire luxury products (Sengupta, 2007).
According to McKinsey Global Institute's forecast,
India's total consumption will rise from Rs. 17 trillion
today to Rs. 70 trillionby 2025
(Sengupta, 2007)' The
Indian luxury market holds a big growth potential.
The number of Indian middle class population by 2025
is expected to grow from 5
Percent
to 41 percent to
become the world's fifth largest consumer market. The
emerging middle class is upgrading its quality of life. lndia
recorded an annual growth of 25 percent in the luxury
goods market in 2006 and the number of high net worth
individuals increased by 20.5
Percent
(Eng & Bogaert,
20i0). The growth implies that a larger number of Indian
middle class are able to afford more luxury goods than
ever before
(Chadha & Husband, 2007).
The Indian luxury markets are riding far with the
growingvolumes and there is assurance of more' A survey
conducted by AT Kearney revealed that the Indian luxury
market is likely to grow at an annual rate of 28
Percent
in the next three years and its current worth is US$377
million. Thus, Indian markets are not only today's market
but also the future market
(Atwal & Khan, 2008). lt has
been considered as a
"promising
territory for the future
and a long-term player"
(Eng & Bogaert, 2010).
The formation of different levels of luxury, ranging
from ultra luxury to affordable, has given rise to the baby
boom generation-a
"new
luxury" generation
(Atwal
& Khan, 2008). The Asian population among the age
group from 20 to 40 make the greatest contribution to
the economic growth
(Wong & Zaichkowsky' 1999).
This baby boom generation has a passion for self-
indulgence and maintain their individualistic type of
luxury consumption
(Atwal & Williams, 2009). They
earn well and readily spend on products that provide
them with comfort and pleasure
(Atwal & Khan, 2008).
The consumer seems to be looking for combination of
styles and objects that best signals their personality and
image
(Truong et al., 2008). The new luxury market is
viewed at top sphere
(Nazerali, 2007)' In other words,
consumption speed implies that luxury is for one and all
(Atwal& Khan,2008)'
CoNcspruALtsING
LuxunY
The concept of seeking happiness via consumption first
originated in the westand laterspread to the restoftheworld
(Wong & Ahuvia, 1998). Consuming high-end products
is universal practice. However, the social, economic and
symbolic values differentiate consumers to adopt different
habits, beliefs, lifestyle and tastes, and connotes different
conception of self
(Silverstein & Fiske, 2003). Broadly' both
Eastern and Western cultures examine self in two ways:
private/inner self
(including emotions, desires, personal
values, memories, preferences etc.) and an outer/ public
self(including social role, outer appearance, etc'). They are
also known as independent and interdependent concepts
of self, The independent concept of self is rooted in the
Western culture while the interdependent concept of self
is more applicable tothe SoutheastAsian countries
(Wong
& Ahuvia, 1998)
(Figure 1).
Conspicuous consumption
Veblen's Theory of the Leisure Class first described
the concept of conspicuous consumption. The author
determined that the purely conspicuous consumer derives
satisfaction from the audience's reaction to the wealth
displayed and not from the value of the product itself'
The cost of purchase becomes more significant than the
functional use of product. The only goal behind their
expensiv€ purchase is to seek personal status and prestige'
FIGURE i
Concept of self in'Western and Eastern Countries
Fs--.,d-r"bl Fffi"* I
fE'""r-,f io.'-q
F.'*"d I m"".q
FEru'*A;l
I
vatues
I
Belief of Eastern consumer
pertaining to luxury brands
Belief of Western consumer
pertaining to luxury brands
These products provide social visibility and acceptance
in their reference group. Expensive possessions are solely
for external reasons. Luxury brands ownership conveys
their social image and personal taste (Mason,
1993).
In addition, Veblen identified that conspicuous
consumption seek the luxurious objects for two reasons:
to show that they are (a)
members of the upper class;
and (b)
distinguish themselves from the lower class. The
author termed the first motive'pecuniary emulation'and
the second'invidious comparison' (Twitchell,
2002).
The many meanings of luxury
That the same luxury good can mean different
things at different times to the same or different
people.
-
Berthon et al., 2009
Several researchers have demonstrated the meaning of
luxury in different context. The reason is that different
sets ofconsumers perceive luxury differently. W'hat seems
luxury to one may look ordinary to another. Wiedmann
et al., (2007) precisely termed luxury to products and
services and stated that luxury concept takes different
forms for different people depending on the mood and
their experiences. As a whole, luxury is a subjective,
relative and multi-dimensional concept.
Luxury represents exclusivity. It is also termed as
Iavishness, magnificence, comfort, sumptuousness,
opulence and extravagance (Khan,
2006). Luxury
resembles quality, beauty, sensuality, exclusivity,
history, high price and uniqueness (Berthon
et al.,
2009). Exclusivity enhances consumers' preferences
for a brand and its limited production invokes respect
and prestige. In addition, people perceive higher prices
as evidence of greater quality. According to Phau and
Prendergast (2000),
luxury brands are those that evoke
exclusiviry have a well-known brand identity, increases
brand awareness, perceived excellent quality and retain
sales level and customer loyalty. Kapferer (1998) found
that consumers observe the beauty of the product, its
excellence, magic and uniqueness as important criteria
to like luxury brands.
A luxury brand confirms its worth with the inherited
characteristics. such as outstanding qualiry, excellent
performance, intrinsic features, classy looks, ensures
admiration and gets noticed. Luxury means comfort
and privilege to consumers (Danziger,
2OO4). Nueno
and
Quelch
(1998)
suggested "luxury
brands are those
whose ratio of functionality to price is low, while the
ratio of intangible and situational utility to price is
high'l The authors identified certain characteristics that
luxury brands share, that includes consistent delivery
of premium quality across product lines, a heritage of
craftsmanship, a recognisable style or design, a limited
production to ensure exclusiviry a marketing programme
that combines emotional appeal and product excellence,
a global reputation, association with a countiy of origin
that has a strong reputation in a specific industry, an
element of uniqueness to each product, an ability to time
design shifts when the category is fashion-intensive and
the personality and values ofits creator.
UNDERSTANDING LUXURY BRANDING: A CONCEPTUAL FRAMEWORK
In line with prior research, Dubois et al., (2001)
in
their qualitative study conducted to know the consumers,
broad perception of luxury identified six dimensions
of luxury, namely: (a)
excellent quatity; (b) very high
price; (c)
scarcity and uniqueness; (d)
aesthetics and
polysensuality; (e)
ancestral heritage and personal history;
and (f)
superfluousness. The author's explanation on the
dimensions is detailed below.
Excellent quality
The association between luxury and quality is so well-
built that for some consumers, the two words are almost
identical. For them, excellent quality assures reliability
and durability. The product or service can be trusted and
there is hardly any chance ofdefects. A luxury product
can be used forever and one gets a feeling ofeternity.
Very high price
The cost becomes acceptable, especially when the
longevity of usage is ensured with the superior qualiry
of the product. It can provide a feeling of comfort, well-
being and security.
Scarcity and un iqueness
Scarcity is connected with the perceived excellent
quality and high prices of the luxury goods. Scarcity also
extends to its availability and usage. Most consumers
commented that truly luxury products are not available
in supermarkets. Luxury shops extend consumers with
an experience that is an important source of value to
many consumers. Products uniqueness and the feel
of exclusiveness is an expression that consumers felt
necessary for luxury brands.
Aest h etic s and po ly sen s ua lity
Luxury products become pieces ofart and their experience
give hedonic pleasure and touches all the senses. Luxury
products apart from beaufy are pleasant to hear, smell,
taste or touch. Luxury is a spring ofsensual pleasure
and
also adds to one's self-concept.
Ancestral heritage and personal history
Luxurious products and services must be long lasting
and should incorporate traditional values.
Superfluousness
Luxury products need not be essential for survival as
some consumers feel that luxury is not necessity. It is
more intended towards a materialistic world where
people consume luxuryto fulfilextrinsic motives (Dubois
et al., 2001).
Luxury brands as a prestige symbol
Husic and Cicic (2009)
noticed that the usage of luxury
goods offers prestige apart from the functional utility.
Prestigious brands have a strong social function attribute.
Prestige-sensitive consumers feel protected and safe
owning a popular and recognised brand. Vigneron and
Johnson
(1999)
aftempted to categorise prestige-seeking
consumer behaviour into five groups, namely: Veblen,
MEDIA ASIA,VOL 38 NO 3,2011
Snob, Bandwagon,
Hedonic and Perfectionists;
whereas
Dubois and others
(2001) sought to identify consumer's
perception based on the attributes of luxury
products'
. The Veblen effect
(perceived conspicuous
value):
Veblenian consumers
perceive high price as an
indicator of prestige. They use prestigious brands
to impress others and gain status.
.
The Snob effect
(perceived unique value): Snob
consumers
perceive price as an indicator of
exclusivity and always thrive to take the first
advantage of limited productions.
. The Bandwagon effect
(perceived social value):
Bandwagon consumers hardly perceive price as an
important indicator of prestige' A prestige brand
"nh"^."t
their self-concept
and distinguishes them
from the non-prestigious
reference
grouPs'
. The Hedonic effect
(perceived emotional
value):
Hedonist consumers
place less emphasis on price
as an indicator of prestige and buys goods for onei
pleasure. They are more interested in sensory
pl"utu.", aesthetic beauty and the intangible
benefits delivered by luxury brands.
.
The Perfectionism
effect
(perceived quality value):
Perfectionist
consumers depend on their own
perception of the product's quality. They might use
price of a product as further evidence of qualiry'
In conclusion, the Veblen, Snob and Bandwagon
consumers
perceive price asthe most important factor, with
a higher price denoting greater prestige' Their purchase of
rare products helps in seeking status among the reference
group. Hedonists and Perfectionists
are more interested
in pleasure derived by consuming luxury products rather
than price, product characteristics
and performance' They
consume what they want to based on their own
iudgment,
while to them price exists only to scan the quality of the
product
(Vigneron &
)ohnson,
1999).
Luxury as a social-status
sYmbol
What has not disaPPeared on the other hand is
Man's need for some form of social stratification,
which is vital to him; he needs to know his place
in society.
-
Kapferer & Bastien, 2009
Luxury imitates an owner's extended image mainly
through showing off success and obtaining high social
status
(Eng & Bogaert' 2010)' Moreover, it is a common
practice in communities
around the world that the level
of status is measured through the product's socialbenefit
offerings
(Eastman et al., 1999). Consumers
indulge in
luxurytrands
consttmption
to attain social status and
hardly focus on the products'economic
or physiological
utiliry. They perceive luxury consumption denotes who
they areandwhatsocial
standingtheyhold
(Husic & Cicic'
2009). Individuals are constantly in a social comparison
process wherein a desire to distinguish oneself from
others arise
(Phau & Prendergast, 2000). They opt for
societal approval and admiration through their luxury
consumption
(Truong et aI.,2008). Additionally,
it is also
a means of conveying one's identity and self-worthiness
134
(Eng & Bogaert, 2010). Furthermore,
Truong et al',
(2008)
i,rgi"tt"alnat
status-laden
brand purchases offer both
inil-rnal
(i.e. self-reward)
and external reasons
(signal
wealth) and also to some extent provides public visibility'
A common
notion among luxury users is that luxury
brand enhances their self-respect,
self-esteem and adds
status within their reference group. Certainly, consumers
perceive social status attached with a luxury brand as an
important factor
(Vigneron &
)ohnson,
2004)'
Luxury brands as an aesthetic symbol
Luxury
products undergo a sensorial
process wherein
the understanding
of signs and direction,
pleasure and
satisfaction
is vital. These
products' inherent core values
related to symbolic, hedonistic and aesthetic dimensions'
Usually, consumers measure
goods consumeddaily
based
on the objects' utilitarian characteristics,
while aesthetic
objects have a sensorial attraction.
These objects create
an environment,
provide pleasure, generate sensations
as well as sentiments.
They appeal emotionally
and are
analysed or interpreted on consumers'personal
criteria'
Consu*ers
seleci luxury products comparing the object
with norms, history
(that is designer label, signature
features) and the social meaning attached, the originality
of products' specific attributes
(that is shape, design'
colour, composition),
and the presentation and its distinct
variants. Consequently,
even though objects utilitarian
and functional dimensions
are part of the perception
process, the symbolic, subjective dimension
hold an
importairt position
(Lagier & Godey, 2007)'
Luxury brands' value
PercePtion
The benefits that consumer
derive from luxury brands
attributes include Functional, Hedonic, Symbolic
and
Experiential elements. The Functional element connotes
products' physical and service attributes'
It is about
what the object does rather than what it represents' It
revolves solely around products' performance,
quality
and craftsmanship.
The Hedonic element refers to the
buyer's intention of consuming
goods mainly for their
own pleasure. It is related to internal and private needs'
The Symbolic element satisfies individuals'
needs of
gaining social recognition. lt is related to status, position,
ielf-enhancement
and self-concept.
Experientialism
is
associated with the consumer's
desire to seek sensory
pleasure
(Berthonetal.,2009;Christodoulidesetal',2009)'
Experiencing
luxurY
Luxury has taken new forms with consumers
thriving to
experience luxury goods over
just acquiring
them' Their
experience and perception of luxury have been refined
and are still reshaping' Their definition of luxury focuses
on the experiences and feelings that can be purchased
(Danzigei 2007). While
'old' luxury was about stuff,
'new' lux,rry is about experiencing
(Morrison, 2005)'
However, there exists a dual nature of luxury, namely
new and old luxury. The new luxury is riding on the
'experience economy' while the old luxury still focuses
on the attributes,
qualities and features of the product
and the associated status and
Prestige
with it
(Danziger,
2007). Moreover, new luxury consumers focus on buying
products that express meaning and provide unique
experiences. Consumers
gain greatest luxury thrills
through experiencing it ('What every marketer needs to
knowabouttheluxuryconsumerl
2004). Thus, newluxury
is purely intrinsic and consumer-centrically
(Danziger,
2004)
(Figure 2).
Consequently,
many luxury brands organisations
are taking initiatives to introduce experiential luxury
marketing strategy. They are creating fantasies, feelings
and fun around their brands. Moreover, the purchasing
experience also incorporates a set of intangible values, a
series of memorable events and consumer engagement
at a personal level
(Atwal & Williams, 2009).
CourrruNrcATloN
SrnnrEclns FoR LuxuRv
BReNns
Luxury is something that everyone wants
3nd
nobody needs.
-
Managing Luxury Brand
Growth,2006
Vigneron and
fohnson
(2OO4, p' 486) coded Kapferer
(1997) definition of luxury that stated
"luxury defines
beauty, it is art applied to functional items.
[...]
That
is why luxury management should not depend on
customer expectations: luxury brands are animated by
their internalprogramme,
theirglobalvision,thespecific
taste which they promote as well as the pursuit of their
own standards ..."
Truly, luxury brands marketing strategies are not in
synergy with that of conventional markets. A luxury
brand has to discover its own marketing rules. Luxury
is a qualitative and not quantitative concept. Luxury
brands are not launched, rather they are progressively
built by managing the resources in a very specific
way. They should speak a story
(l(apferer & Bastien,
2009). The luxurious brand advertisement creates a
dreamworld around the brand whereas a conventional
advertisement focuses on selling the product. Luxury
brands advertisement communlcates the magical story
and attempt to deliver enchanting hopes, wishes and
dreams to the consumers
(Figure 3).
I(apferer and Bastien
(2009) also suggested some
marketingideas for luxurybrands. The authoropined that
UNDERSTANDING LUXURY BRANDING: A CONCEPTUAL FRAMEWORK
FIGURE 3
Conventional versus luxury communication
strategies
Sale of product
lmagination.
dreams,
experience,
luxury brands needed to focus on creating a brand identitv
rather than looking at positioning itself among other
brands. Luxurybrand characteristic is such that it should
state,
"This
is what I aml and need not compare itself
with the competitor's brand. The author also suggests that
luxury brands preserve their standing and should always
dominate its client's mindshare. Luxury houses should
resist consumers from getting too involved in shaping
the brand, as the place where the craft of magic creation
occurs should remain a mystery. Moreover, luxurybrands
are like a reward and its inaccessible attributes cultivate
an even greater desire to own them. This is the reason
for which luxury brands should set a necessary obstacle
and go beyond the masses reach. The obstacle created
can be of financial, logistical
(find the shop) or time
(u'ait
period). Furthermore, luxurybrands, instead of following
traditional market strategy
(decrease in price results in
increase of demand), pursue the strategy of increasing
price continuously to increase the demand. This strategy
works well for luxury brands as the fact is that the price
factor is crucial in attracting people's attention and also
increases the desire to possess high-end products. Thus,
it becomes all the more important for luxury brands to
live up to its rePutation so that consumers perceive it
worthwhile to spend that amountof money. In conclusion,
product excellence and price, the pre-requisite ofluxurl'
brand must be carefully handled, as these factors can
play a major role in changing consumer mindset. Luxurv
brands success also lies in spreading its value facets and
awareness to a wider range ofconsumer segment than
iust
the target group as the brand familiarity would generate
a desire in them to buy the brand in future.
FIGURE 2
Changes in the meaning of luxury brands
Con su m e r- cen t ri(
MEDIA ASIA, VOL 38 NO 3, 201 ]
Adding to the concePt, Keller
(2009) outlined i0
characteristics
of luxury brands that lay the foundation
on how to market them. This includes maintaining
a
premium image, which is intangible and aspirational'
All
ihe marketing programmes of luxury brands must align
to ensure
product qualiry and service, pleasure purchase
and consr.rmption
experiences are delivered' Luxury brand
elements can be used as driver for creating brand equity
apart from being identified with famous personalities and
participating in prestigious events. A luxury brand must
carefully control distribution channel, employ a premium
pricing strategy, manage brand architecture carefully and
must not comPete with ordinary brands' Lastly, luxury
brands must have legal protection for all their trademarks'
Similarly, Nueno and
Quelch
(1998) figured out design
and communications,
product line, customer service and
channel management as the four keys of managing luxury
brands sttccessfully' The author suggested that the luxury
brand firms must communicate
worldwide its innovative
design and thus should extract value in the marketplace'
Organising an event or indulging in other
public relation
".iiuity
cai generate favourable editorial comments and
contribute in obtaining a desired image'
Kellar
(2009) underlines the importance
that luxury
brands must invoke the brand feelings that are related
to customers'emotional
response and reactions towards
the brand in their marketing
programme' These feelings
are very much essential for luxury brands as they act as a
central theme in attachingthetarget
audience' The brand
feelings are classified into sixtypes' These are:
(a)'warmth'
feeling, which satisfies consumers'sentiments
and gives
them a sense of calm and expresses
warm-heartedness;
(b)
'fun'
feeling, which delivers
joyous, playful and cheerful
experiences
to the consumer;
(c) 'excitement' feeling'
which generates energy, a sense of elation and a feel of
being alive among the consumers;
(d) 'security' feeling'
which assures consumers of a sense of safery, comfort
and a sense of relief when using the brand;
(e) 'social
approval' feeling, which provides consumers
with a sense
ofbeing acknowledged
and ensures favourable acceptance
in theii social circle; and
(f) 'self-respect' feeling, which
invokes a sense of pride, accomplishment
and enhances
one's self-concept.
The first threl types ofbrand feelings are experiential
and immediate
while the next three are private and
enduring.
Vigneron and
)ohnson
(2004) in their study developed
a Brand Luxury Index
(BLI) scale to measure the amount
of luxury contained
in a luxury brand' The authors
suggested that when the five dimensions
of the scale are
attained, it creates lasting effect for luxury brands' These
five dimensions
consist of perceived conspicuousness'
perceived uniqueness,
perceived
quality, perceived
'hedonism
and perceived extended self' Perceived
conspicuousness
refers to the consumer's
need of
gaining social representation
and position through the
consumption
of product. They perceive high price as an
indicator of luxury. Perceived uniqueness emphasises
on the exclusivity
and rarity attributes
ofthe brand that
generates consumers'
preferences' Consumers
value
ih" good, more as the possession of unique- and limited
proiucts enhances their self-image, social image and
.onu"y, personal tastes' Perceived
quality emphasises
on impoitance of leadership
in quality and demands
maintenance
of high standard every time' Perceived
hedonism
provides emotional benefits and intrinsic
pleasing properties apart from functional
benefits
to the consumer.
The brands must generate sensory
pleasure, aesthetic beauty, sensory
gratification and
excitement.
Perceived extended self-dimension
helps
consumers to distinguish
themselves from the non-
affluent groups and enhances their self-concept,
identity
and adds to one! self-appeal.
Moreover, the first three
dimensions-perceived
conspicuousness,
uniqueness
and quality-imitate non-personal-oriented
perceptions
and ihe other two-perceived
hedonism and extended
self-imitate
personal-oriented
perceptions
(Figure
4). As a whole, the BLI scale helps in understanding
consumers'views
on luxury brands. The marketers can
use this scale to compare several luxury brands and also
recognise competitive advantages.
Likewise the scale
creaLs and builds brand luxury alongwith evaluatingthe
FIGURE 4
Proposed framework of brand luxury index
L Warmth
2. Fun
3. Excitement
4. Securiry
TABLE i
Six Types of Brand Feelings
Sr. Brand feeling DescriPtion
no. names
Calmness, warm hearted,
sentimental
Light hearted,
joyous,
playful, cheerful, amused
Energised, being alive
Safety, comfort, self-
assurance
5. Social approval
Appreciating, favourable
behaviour
Accomplishment,
Pride,
confidence
Non-personal
perceptions
Source: Proposed framework ofBrand Luxury Index in
Vigneron and
fohnson
(200a,
P.488)
6. Self-respect
ll N DF RSIAN Dl NG L! X U irY SirANDi NC, A aONa i PItlAt
c
RAf''1F
"VO{l(
'
,:.,.. .':
advantage.The turnover began when Ford became its creative director lh 1994 tnd Domeico
brous iatwalk
desigqgwl
ric!
llth9pqsi
pt.i,qg
Grjbci sold their
performance of the brand
(Vigneron &
)ohnson,
2004).
Furthermore, in a similar context, Deeter-Schmelz et al.,
(2000) used a PRECON scale that measures individual
differences in consumers' prestige shopping preferences
and found that image, quality, lashion, store atrnosphere
and patron status are the attributes ofthe luxury brand
that motivates consumeristn.
Tss Wonx oF LuxuRY ADvERTISEI\IENT
Branding is essential, as the heart of luxury lies in
creating a separate distinctior-r from the similar range of
products. This is exactly what the luxury advertisements
are trying to do with the means of
'telling ;r storvl The
luxury ads transform an identical object into a distinct
and extraordinary object. lt incorportrtes nleirning to
the object, adds valr-re, creates il sense of belongingness,
performs a role of br-rilding historical association and
frames magical worlds. In such cases, the differentiation
dwellsvia language and imagery, notthrough the product.
To illustrate, Evian bottled water (a fungible product)
advertises itself as magical lifestyle accessory and all
Evian ads showcases one pampering oneseli giving
special treatment to loved ones and projects larger than
life images. The ad signals that holding an Evian bottle
is like waving a wand
(Twitchell, 2002).
The advertisement should ernphasise on the creativity,
the brand name, the institution that owns it and on the
product itself
(Nueno &
Quelch,
1998). Thus, by large,
it seems that the art of luxury brand marketers lies in
building a dream world and conveying the ultimate
experiential experiences in consumer's minds. Ernst
Lieb, CF.O of Mercedes USA puts it as:
"if
I can get a
customer interested today in our ne\\' product, that is a
good thing, because in three Years, rt'hen he is readv to
buy again, he'll buy our product"
(Kapferer & Bastien,
2009).
CoNcruslox
T'he concept of luxurv has been u'ith us from ancient
times. Luxur,v is all about authenticitl', unusualness,
depth, meaningl, longevity, timelessncss, heritage, fine
details, delight and superior qualitl'. People's desire to
distinguish one from others exists, irrespective ol'tl'leir
place of origin. They indulge in luxurious brands to satisfv
their functional, social and s,vmbolic needs. Cotrsunlers
ma1' defirre luxurl' brands in diffcrcnt expressions but
ultimatell', their common interest lies in possessine these
brands lor satisfying their intrinsic and extrinsic needs.
They readily overcome the accessible obstacles created
by the luxury brand to dentonstrate their personal taste
and style.'fhe pleasure that thel'derive from the purchase
of the product is important rather than the price of the
product. The usage of prestigious brand is also a means of
displaying their u'ealth. Luxury brands are like treasures
to the consumer and when they
Possess
them' the,v feel
special and are truly delighted. After all, luxurv is all
about reaching to the peripher.v, to the peak and cven
going against the basics.
However, with changing times, the meaning of luxurv
has also changed as people are getting into experiencine
luxurious brands. Thel' look for intrinsic pleasure,
ernotional benefits and are driven torvards new needs and
MFDIA ASIA,VOL 38 NO 3,20]
desires. Knowing
the consumers'
intention'
luxury houses
iuu"
"lr."dy
rtaled using experiential
Iuxury
marketing
rit"i"fi"t
for their bran-ds'
They provide experiential
.rrd .Jns.,mer-centrically
experiences
to their
clientele'
Overall,
one thing is certain,
luxury brands
strategies
differ from conventional
marketing
as luxurious
brands
cr""t" a dream
world around the brand and hardly focus
on tnu sale of product or commodity'
Besides' a deeper
r.rnd"rrt"r,din
j
into th" cottcept
also highlights
that luxury
is no more re-stricted
to a rich person's enjoyment
but
also belongs
to an ordinary
Person's
destiny'
I{oreovet
it seems tilat the future oi h'rxury brands
is bright and
expected
to grow at.a much faster
pace'
Thus,
thelicture
is clear that luxury
houses
may have
to continuously
upgrade
their product and marketing
,ir"t"gi".
to k""p .,p *itt ttte global demand
and changing
.onrrr"rnu,
preferences.
The rules of luxury marketing
are
*o." fo."ign and fundamentallydifferent'
The marketers
n"ui ,o piovide both intrinsic
and extrinsic
values to
the consumer
wherein intrinsic
value includes
unique
experience,
feelings
and emotions'
purchase
pleasure'
memories
and desire; and extrinsic
value includes
product
i;;;t"t,
price, qualiry status
and prestige'
The brand
i;;;;
"t"l"d
should be both premium
and inspirational'
The-communication
strategies
should
be such that it
invokes
brand feelings'
The brand can focus on creating
FIGURE
5
Conceptual
framework
of luxury
branding
with its
communication
strategies
its own unique
identity
and should
not compare
itself
*l,f,,f,u.o-petitor's
brand' A luxurybrand
should create
"i."tt"ty.Ustacles,
for example'
in financial'
logistic and
time terirls.
This strategy
is important
as the-exclusivity
and rarity element
generates
positive
preterences
rn
.onru-"r,
towards
the brand'
Luxury obtains
a status
ur,i
pt"ttig" tymbol
due to the associated
premium
price
with it. So it becomes
necessary
for luxury
brands to
consistently
maintain
a premium
pricing strategy'
The
iu*"ty houses
should also try to reach the.prospective
.or,ro-"r,
"part
from the existingones'
This is important'
as the famiiiarity
with the brand
would inspire
the
prospective
consumer
to purchase the brand'
The luxury
t.ani should
communicate
the same message in different
modes of communication
to gain long-lasting
effect on
the consumers
as a consistenimessagebuilds
credibility
amongthe
consumers'
In addition'
Iuxurybrands
should
introduce
innovative
designs
and products
to reach
Jlif".ur,,
types of cons""'"i
by using innovative
modes
oi.o*-.,nications.
The luxury advertisement
should
communicate
the magical story and deliver enchanting
i#t,
*itn"s and drJams
to the consumers
(Figure 5)'
RnrnnnNcns
Atwal, G., & Khan, S.
(2008)' Luxury
marketing
in
lndia:'Because
I'm worth lt'' Admap
Magazine'
491'
Atwal, G., & Williams,
A'
(2009)' Luxury brand
marketing -
The experience
is everythingl'
Brand
m anagem ent, 16(5 I 6)' 338- 346'
Berthon,
P., Pitt, L., Parent,
M', & Berthon' )'
(2009). Aesthetics
and ephemerality:.Obse.rving
and preserving
the luxury brand' California
Maiage me nt Rev iew, 52(l)' 45
-63'
Chadha,
R., & Husband,
P'
(2007)' The cult of the
-
luxury braLrd.
Nicholas
Brealey
lnternational'
Chen, S., & Sethi,
A'
(June 2007)' Luxury
looks East'
Brand StrategY,
PP'
56-58'
Christodoulides,
G., Michaelidou'
N" & Li' H' C'
(2009)'
Measuring
perceived brand
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Company
Profile.
(n.d')' Retrieved
from. Gucci
website'
-
nttp,)l**w.guccigroup'com/index'html
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Danziger,
P'
(September 2004)' Luxury brands: Setting
th-e record straight'
Admap Magazine'
453'
Danzigec
P.
(May 2007)' New luxury'
Luxury
market'
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De Barnier,
V., Rodina,
l', & Valette-Florence'
P'
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Which luxury
perceptions
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elz,D.,Moore, )',
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Extrinsic
-
Features
-
Price
- QualitY
-
Status and
Prestige
Intrinsic
-
Unique exPerience
-
Feeling and emotion
-
Purchase Pleasure
-
Memories
*
Desire
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t Premium Pricinq
1-
ProsPective
+
Consumer
'
Consistency
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f--
Premium
t
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--------i-
lnspirational
r- Producl
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