In this study, we theorize that the way consumers communicate on social media (“liking”2 vs. posting) leads to consequential preferences for luxury products. Specifically, for light users, who spend less than one hour on social media, “liking” (vs. posting) strengthens (vs. weakens) preference for social value-framed luxury products (i.e., creates a good impression to others) compared to functional value-framed products (i.e., superior quality). This contrasts with heavy users, who spend more than two hours on social media, where posting (vs. “liking”) strengthens (vs. weakens) preference for social value-framed luxury products compared to functional value-framed products. Thus, the relationship between social media interaction (“liking” vs. posting) and preference for luxury products is conditionally mediated by communication expectation with others. Both the direct effect and indirect effect are moderated by the time spent on social media and luxury value type.
When social media users post their opinion on social media, they might expect to receive a favorable evaluation from others (e.g., ‘like’ on Facebook and ‘heart’ on Instagram). On the contrary, when users read and evaluate other’s posts, they are less likely to care about others. What’s more, if users spend more time on social media, posting would make them more care about others. This research answers the question ‘Does social media interaction alter the way we perceive value and affect different choice? Three studies show 1) how social media interaction affects consumers’ luxury value perception and the mediating role of social media self-view (interdependent vs. independent self), 2) how main effect and mediated relationship are different between two groups divided by participants’ time spent on social media (high vs. low: ±1 SD) and 3) how the type of social media interaction (post vs. “like”) affects handbag choice between social and functional luxury-superior option.
This research aims to identify the main drivers behind consumers’ connection with fashion brands on social media. With a sample of 29 in-depth interviews with French individuals the study analyzes why and how consumers connect with fashion brands on social media platforms. Our results disclosed three categories of drivers: information with characteristics of information seeking, need for “staying in”, public self-consciousness and tracking promotions; aspirational with characteristics of entertainment, visual enjoyment, and dreaming; and last social with characteristics of need for belonging to brand community, social contamination, and benchmark with reference groups. Theoretical and empirical implications are discussed as well.
The strategic stakes of differentiation are so great for companies that the adequacy between aesthetic perception of the products and functional benefits for consumers must be taken into account (Alba and Williams, 2013; Bloch, 1995; Reimann et al., 2010). In order to examine the consumer's aesthetic perception, we tested an exploratory measurement scale of aesthetic style (Lagier, 2006), which we first validated for different kinds of products. Exploratory and confirmatory analysis of this scale were conducted and obtained results which proved the stability of the scale for design products. The three dimensions of the factor analysis can be interpreted within the conceptual framework of the perception of design products. We effectively find two clearly distinct dimensions which measure: “affective intensity” and “tolerance for ambiguity”. The last dimension is composed of items which fall both in the domain of “cognitive differentiation” and “cognitive discrimination”. To segment our sample and quantify the different profiles of aesthetic style, eight groups of consumers were formed from the scores on the three dimensions. Finally, the structure of aesthetic style on consumer preference for four design objects was also tested. We seek to show that our scale can also explain the choice for some objects. A one-way ANOVA was conducted to determine whether there were significant differences in preference for each object based on intensity scores of affective intensity, cognitive discrimination/differentiation and tolerance for ambiguity. Our measurement scale of aesthetic style, in the context of this test, explained consumer preference for some design objects.
The power of social media is colossal considering that the number of worldwide users is expected to grow even more in the future reaching 2.95 billion by 2020. Because of the apparent customer engagement in these platforms, companies spend on average 11% of marketing budgets on social media and this expenditure is expected to grow to 19% over the next five years (CMO Survey, 2017). However, the main challenge the companies are facing is how to convert the social media investments into effective marketing and contribution to company’s performance. The customer engagement (CE) in social media catches a strong attention from scholars (Brodie et al., 2013) as well as experts of online marketing (Dessart, Veloutsou, & Morgan-Thomas, 2016). Even though there is a significant progress in the conceptual (Van Doorn et al., 2010) and empirical (Brodie et al., 2013) analysis of CE, its clear understanding remains still insufficient. Customer engagement’s definition requires more attention as there is inconsistency in the terms because of a lack of agreement on the terminology (van Doorn et al., 2010). Noticeable differences exist concerning also the measurement of CE and what exactly this phenomenon encompasses (Dessart et al., 2016). Particularly, the empirical studies show incongruity in the number and the nature of the dimensions (Sprott et al., 2009; Brodie et al., 2013). To investigate the complex and emergent occurrence of CE in social media, this research endorses a managerial-oriented approach using rich qualitative data from three different sources covering a variety of views for different social media platforms (41 companies/24 advertising/communication agencies, and 10 research/consulting firms). The results illustrate the gaps among customer engagement’s conceptions, the customer engagement dimensionality, and the metrics of social media performance beyond customer engagement.
The present study contributes to the international literature on brand personality and congruence. There is still a general lack of clarity regarding the measurement of the self-brand congruity construct. Moreover, in the light of international branding research cross-national validation of this measurement is needed. Previous empirical evidence also suggests a positive relationship between brand-self congruity and consumer-brand relationships (i.e. brand attachment) across nations and cultures, but the strength of these relationships requires deeper investigation. The present study therefore aims to test and validate a personality congruence scale at an international level and to measure the effect of congruence on brand attachment with specific reference to the luxury sector. A survey of nearly 1,500 international luxury customers has been conducted. Results confirm that personality congruence is based upon five dimensions (Prestige/Emotion/Trust/Anxiety/Order). In addition, the results highlight the existence and relative importance of the link between “personality congruence” and “brand attachment”. Finally, findings suggest similarities and differences across countries regarding specific dimensions of congruence scale and the personality congruence and attachment relationship. Both theoretical and managerial implications are provided.
Introduction
Luxury industry, in addition to feelings, started to provide reasons for consumers to justify their consumption. Also, it helps them to avoid social risks by offering inconspicuous luxury products. For example, ‘Mandarin Oriental Barcelona’ suggests luxury holiday package for people running Barcelona marathon, London cocktail bar ‘Bart’ serves cocktails designed to 'facilitate focus and encourage relaxation', ‘Tiffany’ has dropped the spelled-out brand name from its fashion jewelry line in favor of simple “T”. (Trend watching 2017) Then, what changed consumers' interest? Interestingly, the current expectations of luxury consumers have a lot in common with the features of interdependent self-construal. The "we" effect of social media can explain this trend.
Literature review and Conceptual framework
Social Media usage and Interdependent Self-Construal Although earlier research in cultural psychology conceptualized self-construal as culturally determined (Markus and Kitayama 1991), more recent research suggests that independent and interdependent self-construal can also be made temporarily accessible. The most frequently adopted priming procedure to induce self-construal is the procedure by stories about we or I. (Gardner, Gabriel, and Lee 1999; Mandel 2003; Krishna, Zhou, and Zhang 2008; Hong and Chang 2015). We suggest that Social media usage can induce interdependent self-construal because social media users read stories and watch videos of others. Prior findings indicated that participants in interdependent self-construal condition have an equivalent number of thoughts about themselves and others. (Lee, Aaker, and Gardner 2000). Social Media, Interdependent Self-construal, and Consumers’ Luxury Value Perception Consumers’ perceptions of luxury value appear to be determined mainly by Functional, Individual, and Social aspects (Wiedmann, Hennigs, and Siebels 2009). Recent luxury marketing researchers compare conspicuous consumption and inconspicuous consumption, two types of social aspect consumption (Han, Nunes, and Dreze 2010; Eckhardt, Belk, and Wilson 2015). They are interested in Functional luxury value, added to Individual luxury value because small utilitarian additions to a hedonic luxury are often valued more than their stand-alone value (Keinan, Kivetz, & Netzer 2016). These two trends seem to have nothing in common. But when the concept of self-construal is adopted, they have something in common. Namely, interdependent selves, which focuses on others, are the one who cares about both inconspicuousness and utilitarian aspects. We suggest that because of the features of interdependent self-construal, consumers more using social media tend to have a different priority regarding luxury value perception than consumers less exposed to social media. We explore the mediating role of relational interdependent self-construal in this model (Triandis 1989; Cross, Bacon, and Morris 2000). Also, luxury brand company’s social media marketing efforts (Kim and Ko 2012; Godey et al. 2016) have different features. We expected that each social media marketing activity has a different impact on luxury value perception. Interdependent Self-Construal, Reason, Functional luxury value We propose that because of interdependence priming effect of social media, participants who are exposed to social media (social media priming group) tend to rely on both reason and feeling, which in turn set an equivalent value on Functional luxury value (cognitively superior) and Individual luxury value (affectively superior) (Hong and Chang 2015). Interdependent Self-Construal, Social Risk, Inconspicuousness The authors propose that because of interdependence priming effect of social media, participants who are exposed to social media (social media priming group) tend to avoid social risk than participants who are not exposed to social media (no priming group).
Study 1: The effect of social media on the balance between self and others.
A total of 709 respondents (389 females) participated in this study via Amazon Mechanical Turk (MTurk) They were randomly assigned to one of the two conditions (with social media manipulation vs. No manipulation) The impact of ‘one-time social media use’ Following the previous study (Hong and Chung 2015), we conducted a 2 (social media manipulation: No vs. Yes) x 2 (thought type: self vs other) mixed ANOVA with social media manipulation as a between-subject factor and thought type as a repeated measure. The main effect of thought type is significant (F(1,707) =293.54, p<.000). However, the interaction between social media manipulation and thought type was not significant. (F (1,707) = 0.128, p<.721). So, the result shows that one-time social media use doesn’t manipulate interdependent self-construal. The impacts of ‘chronic social media use’. To check whether chronic social media use can manipulate interdependent self-construal, we conducted a 2 (time spent on social media: Low vs. High) x 2 (thought type: self vs. other) mixed ANOVA. The main effect of thought type is significant (F(1,707) =293.81, p<.000). The interaction between time spent on social media and thought type was significant. (F (1,703) = 6.65, p<.000). Also, we conducted a 2 (communication on social media: Low vs. High) x 2 (thought type: self vs. other) mixed ANOVA. The main effect of thought type is significant (F(1,707) =300.76, p<.000). The interaction between communication and thought type was significant. (F (1,704) = 5.764, p<.000). So, the result shows that chronic social media use manipulates interdependent self-construal. Also, we computed three types of groups, the others-dominant, the balanced, and the self-dominant by modifying past research (Kitayama et al. 2009; Wu, Cutright, and Fitzsimos 2011, Hong and Chang2015). A chi-square test revealed that participants who spent more time and had more communication on social media had more balanced thought type (32.6%, 31.0%) than participants who spent less time and had less communication on social media (24.8%, 24.0%)
Study 2: The effect of using social media on luxury value perceptions (SEM)
A total of 255 respondents (85 females) participated in this study through Amazon Mechanical Turk (MTurk). The participants were between 18 and 65 years old and lived in the U.S., and the modal age group was 25-34 (43.9 %), followed by 35-44 (25.5%). We conducted exploratory factor analysis (EFA) using maximum likelihood estimation with Promax rotation. The goodness of fit statistics is: 𝒙𝟐=707.14, df =377, P<0.0005, 𝒙𝟐/df =1.876, CFI=0.95, and RMSEA =0.059. The final CFA model fits well with the data (Hu and Bentler, 1999; Hair et al., 2010). After confirming the measurement model, SEM with maximum likelihood extraction was estimated to test Hypothesis. The goodness of fit criteria of the model meets the proposed thresholds in previous studies: 𝒙𝟐=677.97, df =374, P<0.0005, 𝒙𝟐/df =1.813, CFI=0.95, and RMSEA =0.057 (Hu and Bentler, 1999; Hair et al., 2010). The SEM model showed each social media activity has a different effect on each luxury value. Interaction positively impacts the functional luxury value (β=0.38, p<.000) but negatively impacts the individual (β= - 0.27, p<.000) and social luxury value (β= - 0.34, p<.000). Entertainment/WOM has a positive effect on individual luxury value (β=0.39, p<.000) and on social luxury value (β=0.32, p<.000). Customization positively impacts the social luxury value (β=0.26, p<.000). We could also find Entertainment/WOM and Customization did not influence the functional luxury value. Only Entertainment/WOM positively impacts relational interdependent self-construal (β=0.32, p<.000) Relational interdependent self-construal positively impacts on individual value (β=0.24, p<.000) and social value (β=0.27, p<.000). We conducted a mediation analysis. Among social media activities, only Entertainment/WOM had a significant positive effect on Relational Interdependent Self-Construal.
Study 3: the effect of social media on self-construal and choice between functional value and individual value superior options
454 Responses (304 females) collected via Mturk to stimulate the environment of social media. Respondents are primed on interdependence by social media usage while control group respondents are not primed. The authors checked the validity of the self-construal manipulation effect of social media. Respondents were given a choice task, designed by adopting previous method (Hong and Chang 2015). They were told to imagine that they were going to buy a hand bag. Handbag X is superior on functional (cognitive) dimensions whereas handbag Y is superior on all individual (affective) dimensions. Participants are asked to indicate their choice between two Handbags Choice. A chi-square test revealed that the effect of social media manipulation is not significant on the handbag choice (𝑥2(l) 0.371, p<.309). However, the effect of interdependent self-construal on the participant's’ handbag choice was significant (𝑥2(l) 5.85, p<0.01). As predicted, participants with a higher Interdependent self-construal primed by social media have a smaller preference gap between Functional luxury value and Individual luxury value (F:73.2%-I:26.8%=46.4%), than participants with lower Interdependent self-construal participants (F:82.7%-I:17.3%=65.4%) Study3 supports the results of previous two studies. As individuals communicate more and spend more time on social media, they are more likely to prefer equally for Functional luxury value and Individual luxury.
Study 4: the effect of social media on self-construal and choice between conspicuous and inconspicuous options.
After the self-construal manipulation with social media, respondents were given a choice task. The choice was designed by adopting previous method (Han, Nunes, and Dreze 2010). Respondents were told to imagine that they were going to buy a handbag. One option has an inconspicuous design whereas the other option is conspicuous design. Participants are asked to indicate their choice between two handbags. Social media manipulation and Handbags Choice. All three chi-square tests revealed a significant or marginal effect of social media manipulation on participants handbag choice with the same pattern. ( 𝑥2(1) = 6.328, p > .032; 𝑥2(1) = 3.086, p > .079; 𝑥2(1) = 1.933, p > .098) As predicted, participants in social media manipulation group prefer the inconspicuous option to the conspicuous option (59.3%>40.7%; 58.9%>41.1%; 60.4%>39.6%) than participants in control group (47.3%, 52.7%; 50.5%, 49.5%, 53.8%, 46.2%). Interdependent-self construal and Handbags Choice. All three chi-square tests revealed a significant effect of interdependent self-construal on participants handbag choice with the same pattern. ( 𝑥2(1) = 4.2, p > .047; 𝑥2(1) = 4.79, p > .029; 𝑥2(1) = 6.11, p > .013) As predicted, participants with higher Interdependent self-construal primed by social media have a equivalent preference about the inconspicuous option and conspicuous option (50%, 50%; 50.8%, 49.2%; 52.4%, 47.6%) than participants with lower Interdependent self-construal(59.6%, 40.4%; 61.1%, 38.9%, 63.9%, 36.1%). Study4 shows that one-time social media exposure can reduce conspicuous consumption. However, as individuals communicate more and spend more time on social media, they become more likely to prefer equally for conspicuous option and inconspicuous option.
Contribution
In luxury brand marketing, this study sheds light on the balance between two motivations, luxury for self and luxury for others (Kapferer, Jean-Noël, and Vincent 2009) using the concept of self-construal. This research also contributes to the literature on consumers’ luxury value perception (Hennigs et al. 2012; Wiedmann et al. 2009). In general marketing subjects, it adds to the increasing literature on consumer risk and choices between affective and cognitive options. For the luxury brand industry, this study can give marketers a practical idea about choosing social media marketing activities and designing new products. For example, if luxury brand companies promote customers posting opinions on websites, they should know that their activities might advertently affect their sales because interaction negatively influences on individual and social luxury value.
Fashion brands are influenced by multiple identities. Even though, for example, the brand name might still be associated with one or more creative founders (Gucci, Prada, Chanel, Hermès, Adidas, Joop) the brand image, and moreover the overall brand reputation are influenced by many different identities. For instance, a specific product identity (e.g., Gucci’s Bamboo Bag), the identity of the city or country of origin (Florence, Italy), the identities of well-known key customers as brand ambassadors (Sophia Loren, Vanessa Redgrave, Lady Diana, Naomi Watts etc.). Of course, also fashion brands who are not directly associated with the name of creative founders are composed of the effects of several identities. In the case of e.g. Nike especially successful athletes (Steve Prefontaine, Michael Jordan etc.), specific sports and sport events, and product lines tailor-made for them did help to build a strong brand reputation. All in all, it seems to be expedient to understand fashion brands as more of less complex systems composed of several identities. To deal in more detail with such “brand systems” is becoming particularly important against the background of several strategic challenges – e.g., when fashion brands are growing older and the creative founders lose their specific gravitational power, when in the process of internationalization new countries gain more and more importance who’s citizens might not have a strong access to the existing brand reputation drivers, or simply when in the context of the growing global competition the fashion brand needs to be “refreshed”.
Against the background of cultural differences, or even - as within countries - lifestyle differences between different groups of customers, it can also be quite possibly that very different reputation drivers account for the success of a brand. Thus, it is necessary to identify, in different contexts, the relevant reputation drivers, and to analyze which interplay of those drivers might be particularly promising. Is it the creative founder, the corporate heritage, the country and/or city of origin, a special designer, a specific corporate culture, an outstanding product design, attractive key customers etc.? Which combination of such identity factors leads to what kind of success (e.g., brand loyalty, brand trust, price premium)? Will, for instance, heritage especially lead to brand trust, whereas an outstanding product design and specifically attractive key customers create the readiness for a higher price premium? And, is it necessary to create sub-brands to especially highlight specific identities in the process of building a brand system (e.g., the sub-branding of a Michael Jordan product line in the case of Nike)? Or is sufficient to only communicate an alignment with the brand (e.g., ads showing Naomi Watts wearing a Gucci Bamboo Handbag)? In other words, which kind of brand system, and which kind of brand communications has to be designed to attract specific target groups and to sustain competitive advantages?
The present contribution aims to present a conceptual framework for analyzing “brand systems” in the fashion industry. Concomitantly, an approach of measuring such brand systems will be presented. Furthermore, a concept for analyzing the impact of several sub-identities on the development of the overall brand reputation and brand success against the background of existing contingencies will be outlined. With the introduction and discussion of such a conceptual framework it especially is intended to initiate the launching of an international research project which attempts to find an answer basically to the following question: Which via an integrated branding and brand systems communication carefully crafted composition of sub-identities might be how successful under what kind of situational conditions?
There is relatively little evidence on how social media marketing activities influence brand equity creation and consumers’ behavior towards the brand. We explore these relationships by analyzing pioneering brands in the luxury sector (Burberry, Dior, Gucci, Hermès, and Louis Vuitton). Based on a survey of 845 luxury brand consumers (Chinese, French, Indian and Italian) who follow the five brands studied on social media, we developed a structural equation model that helps to address gaps in prior social media branding literature. Specifically, our study demonstrates the links between social media marketing efforts – measured as a holistic concept incorporating five aspects (entertainment, interaction, trendiness, customization and word of mouth) and their consequences (brand preference, price premium and loyalty).