Impact of value perceptions on luxury purchase intentions: a developed market comparison

Michael Chattalas, Paurav Shukla

Research output: Contribution to journalArticle

38 Downloads (Pure)

Abstract

Consumers derive subjective worth of any product of service based on their value perceptions. This study measures the impact of value perceptions on luxury consumption purchase intentions focusing on two of the largest luxury markets holding significant referent influence on consumers worldwide - namely the UK and the USA. Cross-sectional, survey-based methodology and structural equation modelling was employed to collect and analyse the data. The findings suggest that while functional value perceptions drive luxury consumption purchase intentions across both nations, social value has a significant contribution only among US consumers and personal value perceptions only in the UK. The results provide managers opportunities for strategic differentiation and brand positioning of their luxury brand in a cross-national context. The findings demonstrate that while the USA and the UK remain fairly similar on most macro cultural traits, consumer value perceptions differ significantly. Hence, a cautionary approach is advised in making generalised assumptions using national-level cultural indicators at consumer-level decision making.
Original languageEnglish
Pages (from-to)40-57
Number of pages17
JournalLuxury Research Journal
Volume1
Issue number1
DOIs
Publication statusPublished - 1 Sep 2015

Fingerprint

Purchase intention
Luxury
Consumer value
Cross-national
Brand positioning
National context
Luxury brands
Structural equation modeling
Managers
Personal values
Social values
Decision making
Methodology

Keywords

  • luxury branding
  • USA
  • UK
  • cross-national
  • cross-cultural
  • value perceptions
  • social value
  • structural equation modeling
  • luxury
  • social perceptions
  • personal orientation
  • functional perceptions
  • purchase intentions

Cite this

Chattalas, Michael ; Shukla, Paurav. / Impact of value perceptions on luxury purchase intentions : a developed market comparison. In: Luxury Research Journal. 2015 ; Vol. 1, No. 1. pp. 40-57.
@article{1bd9795f3e054e78a163de66dc14f55b,
title = "Impact of value perceptions on luxury purchase intentions: a developed market comparison",
abstract = "Consumers derive subjective worth of any product of service based on their value perceptions. This study measures the impact of value perceptions on luxury consumption purchase intentions focusing on two of the largest luxury markets holding significant referent influence on consumers worldwide - namely the UK and the USA. Cross-sectional, survey-based methodology and structural equation modelling was employed to collect and analyse the data. The findings suggest that while functional value perceptions drive luxury consumption purchase intentions across both nations, social value has a significant contribution only among US consumers and personal value perceptions only in the UK. The results provide managers opportunities for strategic differentiation and brand positioning of their luxury brand in a cross-national context. The findings demonstrate that while the USA and the UK remain fairly similar on most macro cultural traits, consumer value perceptions differ significantly. Hence, a cautionary approach is advised in making generalised assumptions using national-level cultural indicators at consumer-level decision making.",
keywords = "luxury branding, USA, UK, cross-national, cross-cultural, value perceptions, social value, structural equation modeling, luxury, social perceptions, personal orientation, functional perceptions, purchase intentions",
author = "Michael Chattalas and Paurav Shukla",
year = "2015",
month = "9",
day = "1",
doi = "10.1504/LRJ.2015.069806",
language = "English",
volume = "1",
pages = "40--57",
number = "1",

}

Chattalas, M & Shukla, P 2015, 'Impact of value perceptions on luxury purchase intentions: a developed market comparison', Luxury Research Journal, vol. 1, no. 1, pp. 40-57. https://doi.org/10.1504/LRJ.2015.069806

Impact of value perceptions on luxury purchase intentions : a developed market comparison. / Chattalas, Michael; Shukla, Paurav.

In: Luxury Research Journal, Vol. 1, No. 1, 01.09.2015, p. 40-57.

Research output: Contribution to journalArticle

TY - JOUR

T1 - Impact of value perceptions on luxury purchase intentions

T2 - a developed market comparison

AU - Chattalas, Michael

AU - Shukla, Paurav

PY - 2015/9/1

Y1 - 2015/9/1

N2 - Consumers derive subjective worth of any product of service based on their value perceptions. This study measures the impact of value perceptions on luxury consumption purchase intentions focusing on two of the largest luxury markets holding significant referent influence on consumers worldwide - namely the UK and the USA. Cross-sectional, survey-based methodology and structural equation modelling was employed to collect and analyse the data. The findings suggest that while functional value perceptions drive luxury consumption purchase intentions across both nations, social value has a significant contribution only among US consumers and personal value perceptions only in the UK. The results provide managers opportunities for strategic differentiation and brand positioning of their luxury brand in a cross-national context. The findings demonstrate that while the USA and the UK remain fairly similar on most macro cultural traits, consumer value perceptions differ significantly. Hence, a cautionary approach is advised in making generalised assumptions using national-level cultural indicators at consumer-level decision making.

AB - Consumers derive subjective worth of any product of service based on their value perceptions. This study measures the impact of value perceptions on luxury consumption purchase intentions focusing on two of the largest luxury markets holding significant referent influence on consumers worldwide - namely the UK and the USA. Cross-sectional, survey-based methodology and structural equation modelling was employed to collect and analyse the data. The findings suggest that while functional value perceptions drive luxury consumption purchase intentions across both nations, social value has a significant contribution only among US consumers and personal value perceptions only in the UK. The results provide managers opportunities for strategic differentiation and brand positioning of their luxury brand in a cross-national context. The findings demonstrate that while the USA and the UK remain fairly similar on most macro cultural traits, consumer value perceptions differ significantly. Hence, a cautionary approach is advised in making generalised assumptions using national-level cultural indicators at consumer-level decision making.

KW - luxury branding

KW - USA

KW - UK

KW - cross-national

KW - cross-cultural

KW - value perceptions

KW - social value

KW - structural equation modeling

KW - luxury

KW - social perceptions

KW - personal orientation

KW - functional perceptions

KW - purchase intentions

U2 - 10.1504/LRJ.2015.069806

DO - 10.1504/LRJ.2015.069806

M3 - Article

VL - 1

SP - 40

EP - 57

IS - 1

ER -