Why Do People Buy Luxury Products? - eTourism Students

Why Do People Buy Luxury Products? - eTourism Students

Why Do People Buy Luxury Products? YinYi Huang, Queenty Institute for Tourism Studies, Macau, China www.tourism-studentconference.com Agenda Theoretical Background Literature review Methodology Results and discussion Limitations and Further Research ISCONTOUR 2017

Theoretical Background Literature review Methodology Results and discussion Limitations and Further Research ISCONTOUR 2017 Luxury industries Luxury industries are booming in new rich markets in Asia (Park & Reisinger, 2009).

Luxury companies started to develop their business to satisfy the increasing demand from Asian markets because of the recent economic recession in Europe (Park et al., 2008). ISCONTOUR 2017 Importance of this study Customers have desire to be different and impress others by owning luxury or unique goods (Naz & Lohdi, 2016). It is critical to understand the changing perceptions and preferences of customers (Zhang & Kim, 2013).

ISCONTOUR 2017 Research gap Customers needs for higher social status and better appearances (Park & Reisinger, 2009) Personal feelings and emotions (Vigneron & Johnson, 2004) Demographic characteristics (Hauck & Stanforth, 2007) Luxury perceptions of Chinese customers in Macao The impact of marital status on luxury perceptions

ISCONTOUR 2017 Research objectives & Hypothesis The influence of luxury perceptions of Chinese customers in Macao on luxury purchase intentions ISCONTOUR 2017 Research objectives & Hypothesis The influence of marital status of Chinese customers in

Macao on luxury purchase intentions. Single In a relationship Marital status Married ISCONTOUR 2017 Purchase intentions Theoretical Background Literature review

Methodology Results and discussion Limitations and Further Research ISCONTOUR 2017 Concept of luxury Products with particular brands which can bring prestige and reputation to owners Provide emotional benefits to the users (Sheth, Newman & Gross, 1991). ISCONTOUR 2017

Perceptions of luxury Different use of a product could generate opposite opinions on consumers perceptions and buying behaviors (Godey et al., 2012). Internal needs External needs ISCONTOUR 2017

Internal needs Product uniqueness The degree to which customers believe that a brand or a product is different from other brands or products in the same level (Wiedman et al., 2007) Product quality A brand name could reflect and offer a guaranteed quality and design (Prendergast & Wong, 2003).

Self-image Self-image is very important for Brazilian teens consumer buying preference (Gil et al., 2012) ISCONTOUR 2017 External needs Social status Social comparison theory (Festinger, 1954) Gift-giving Gift-giving with luxury products (Park & Reisinger, 2009) ISCONTOUR 2017

Demographic factors Age (Hauck & Stanforth, 2007) Economic condition (Dubois & Duquesne, 1993) Gender (Stokburger-Sauer & Teichmann, 2013) Marital status (Bhanot et al., 2015) ISCONTOUR 2017 Theoretical Background

Literature review Methodology Results and discussion Limitations and Further Research ISCONTOUR 2017 Methodology Quantitative research ISCONTOUR 2017 Data collection ISCONTOUR 2017

Theoretical Background Literature review Methodology Results and discussion Limitations and Further Research ISCONTOUR 2017 Results Both internal needs and external needs are positively related to purchase intentions of luxury products ISCONTOUR 2017 Results

Except the self-image and product uniqueness, all the factors are significantly correlated to the four aspects of purchase intentions. ISCONTOUR 2017 Results Marital status do not have significant influence on purchase intention of luxury products

The effect of marital status on perception of luxury products is not significant Only the difference between product uniqueness and marital status is positively significant. ISCONTOUR 2017 Discussion ISCONTOUR 2017 Implications Focus on external needs Unique experience Highlighting product uniqueness

ISCONTOUR 2017 Theoretical Background Literature review Methodology Results and discussion Limitations and Further Research ISCONTOUR 2017 Limitations and future research Sampl e size selfimage

Marita l status insufficient time Manpower affordance Brand image s

ISCONTOUR 2017 divorce Reference

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Macau, China Email: [email protected] [email protected] ISCONTOUR 2017

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