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The impact of price display on perceptions of luxury: a masstige perspective

Parguel, Béatrice; Delecolle, Thierry; Valette-Florence, Pierre (2014), The impact of price display on perceptions of luxury: a masstige perspective, Monaco Symposium on Luxury, 2014-04, Monaco, France

Type
Communication / Conférence
External document link
http://halshs.archives-ouvertes.fr/halshs-00948953
Date
2014
Conference title
Monaco Symposium on Luxury
Conference date
2014-04
Conference city
Monaco
Conference country
France
Metadata
Show full item record
Author(s)
Parguel, Béatrice cc
Dauphine Recherches en Management [DRM]
Delecolle, Thierry
laboratoire de l'ISC
Valette-Florence, Pierre
Abstract (EN)
Based on two experimental studies in which college students participated, this paper investigates the impact of price display in the luxury sector on low-end brands perceived luxury and attitude. In Study 1, we show that price display is associated with higher perceived quality, uniqueness, and conspicuousness for a fictitious low-end brand. In Study 2, we confirm this positive influence for a real low-end brand, and show that it transfers to brand attitude through perceived quality and conspicuousness. In addition, Study 2 indicates no negative effect of price display on perceptions of luxury for a higher level brand. In a pioneering attempt to evaluate the effects of price display in the luxury sector, this paper adds value to the body of literature on luxury brand management. Besides, it provides insight to managers of luxury brands of different range levels on the effects of price display, a practice that develops as more and more luxury companies engage in masstige strategies or open commercial websites.
Subjects / Keywords
Luxe; Price; brand luxury; brand attitude; downscale extension
JEL
L81 - Retail and Wholesale Trade; e-Commerce
M31 - Marketing

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