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

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Date
2014
Link to item file
http://halshs.archives-ouvertes.fr/halshs-00948953
Dewey
Marketing
Sujet
Luxe; Price; brand luxury; brand attitude; downscale extension
JEL code
L.L8.L81; M.M3.M31
Conference name
Monaco Symposium on Luxury
Conference date
04-2014
Conference city
Monaco
Conference country
France
URI
https://basepub.dauphine.fr/handle/123456789/16222
Collections
  • DRM : Publications
Metadata
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Author
Parguel, Béatrice
1032 Dauphine Recherches en Management [DRM]
Delecolle, Thierry
171874 laboratoire de l'ISC
Valette-Florence, Pierre
status unknown
Type
Communication / Conférence
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.

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