Not only luxury brands, but also fast fashion brands such as ZARA and H&M have successfully opened flagship stores in prime locations such as Ginza, Tokyo. The market-entry strategy via flagship stores appears to be successful, as numerous companies have adopted it. However, for this strategy to work, it is important to consider and verify not only the place, but also the product, price, and promotion aspects. This study systematically investigates the flagship store strategy by comparing the strategies of luxury brands, represented by Chanel and Louis Vuitton, and those of SPA (Specialty store retailer of Private label Apparel) brands, represented by ZARA, developed by the Spanish Inditex Corporation.

Current forces of change such as the digital transformation, the increasing importance of service and experiential luxury, new customer groups with diverse cultural backgrounds and spending habits or rising expectations with regards to transparency and sustainability, force brands to rethink the way they do business. In some cases, this means quickly building up new capabilities, which often exist outside a company’s own organizational structure and cannot easily be developed or integrated. Luxury ecosystems are considered one way of dealing with the challenges of an ever more dynamic, fast-changing and multi- faceted environment. In luxury ecosystems, capabilities are built in collaboration with partners from the same or different industries that share a common vision. However, the ecosystem approach, especially when actively communicated to the outside world and made part of the brand’s DNA, partially stands in contrast to the more traditional notion of exclusivity and the luxury brand as a bounded, proprietary system shrouded in mystery. Based on a qualitative approach, including multiple case studies and interviews, this study examines the opportunities of an ecosystem mindset for Swiss luxury companies, explores different forms and identifies the success factors and limits of the concept.

The study builds and tests a framework investigating the determinants of customer engagement with luxury brands on social media platforms.

The study builds and tests a framework investigating the determinants of customer engagement with luxury brands on social media platforms.

The luxury market has become a prevalent global economic sector which is estimated to reach $442 billion by 2025 (Arienti, Levato, Kamel, & Montgolfier, 2018). Sales revenue in the luxury market has grown not only in the US and EU, but also in emerging economies with rapid economic expansion, such as China and India (Shukla, 2010; Tynan, McKechnie, & Chhuon, 2010). Young consumers (i.e., millennials and Gen Z) comprise the fastest growing group of purchasers of luxury goods (D’Arpizio, Levato, Prete, Del Fabbro, & de Montgolfier, 2019). Subsequently, marketers are interested in factors that affect young consumers’ decision-making process in luxury fashion goods consumption. It is a challenge for marketers to appeal to young consumers because abrand or brand name is less important to them than it has been for older generations (Forte, 2019). Country-of-origin (CoO) is relatively important for luxury purchase compared to non-luxury purchase (Godey et al., 2012). In the context of luxury brand consumption, research suggests that attitude functions (social-adjustive, value-expressive, hedonic, and utilitarian) also have an impact on luxury purchase intentions (Schade, Hegner, Horstmann, & Brinkmann, 2016). This study thus investigates significant factors influencing luxury brand purchase among young consumers. Specifically, we draw from “Functional Theories of Attitudes” (Grewal, Mehta, & Kardes, 2004) as a framework to investigate the effects of CoO on consumers’ attitude functions and luxury brand purchase intentions.

This research examines the relationships among consumption values, affective responses, and patronage intention for luxury brands. The study found that the consumption values positively influenced the consumer engagement and the flow, which in turn had a significant impact on the patronage intention, respectively. The affective responses exercised an important role as mediating variables.

What is purchase motivation for luxury brands? and what kind of process through makes higher cult intention(i.e.,loyalty). How does consumption value affect loyalty? Theoretically, it was studied whether it could be explained. The luxury products and services were divided into categories and surveys were conducted at the national level. This research analyzed the influence of positive affect on cult intention by mediating luxury consumption value with S-O-R frame. The logic was developed with excitation transfer theory. Positive affect, compatibility mediating effect were investigated. Unlike the previous studies that have been recognized as important in terms of symbolic value in luxury brands, it was confirmed that experiential consumption value had the greatest impact. In addition, the influence of functional value and symbolic value had a significant effect. The effect of consumption value on cult intention was mediated by positive affect and compatibility. Therefore, emotional response can be seen as having an effect on cult intention through excitement transfer. These findings suggest that luxury brand marketers need to develop consumer values that can lead to arousal and positive emotional responses to suit consumer lifestyle. The research results are expected to contribute to the experience marketing and the hospitality service of luxury brands.

The purpose of this study is to evaluate the attributes of consumers global luxury fashion brands and to find the impact of consumer value, meaning the social and pleasure values derived from brands on product purchase involvement. The method in this study was analysis of a total of 298 responses to a questionnaire. The results indicate, first of all, that among the attribute evaluations of global luxury brands, traditionality and splurge affect purchasing involvement. However, prestige and originality were found to have no influence on purchasing involvement. Second, the responses to the questionnaire indicate that social and pleasure values had a statistically significant effect on purchase of luxury brands. Third, the value of cross-group attributes evaluation and consumption value to differences in purchase involvement has had statistically significant results. In conclusion, the traditional and Splurge natures of the luxury global fashion industry’s brand, social consumption value and pleasure consumption value affect the level of purchase involvement. This underscores the importance of attribute Evaluation(traditional and splurge) and consumption value(social and pleasure) when planning consumer marketing strategies for global luxury fashion brands in the future.