Article: Does the need for social status among price conscious consumers induces consumption of counterfeit luxury brands? Journal: Journal of Business and Management (JBM) 2019 Vol.25 No.2 pp.43 - 70 Abstract: Purpose: The purpose of this paper is to investigate the role of price consciousness and status seeking behavior in driving non-deceptive consumption of counterfeit luxury brands (CLB). Method: The survey was conducted through a self-administered questionnaire at upmarket shopping centers in the Indian metropolis Mumbai. Of the 192 collected questionnaires, 163 were found to be useful for analysis. The study uses ANOVA to estimate the differences in intention to buy CLB among various groups. Findings: The results of the study reveal significant main effects and interactive effect of need for social status and price consciousness on intention to buy CLB. Further the results suggest that consumer's intention to buy CLB is highest when they have a high need for social status and a high price consciousness. Limitations: The sample size limits the generalizability of the results. The study was restricted to counterfeit luxury wristwatches. It is possible that conducting similar research in other product categories may produce different and more insightful results. Further the sample was drawn from only one city. Implications: Without diluting the equity of the parent brand, marketers of luxury brands can inhibit consumption of CLB by extending the brand downwards to attract the 'real gainers' group (price conscious consumers with high need for social status). This may also help to attract consumers of fast fashion brands. Further the perceived exclusivity of the parent brand can be increased to a level where it will be difficult for 'real gainers' to pass on the counterfeit brand as genuine among their social groups. Originality: The study contributes to the extant literature by proposing a consumer decision-making model which posits need for social status as an underlying buying motive for luxury brands. Further the study also proposes a novel taxonomy which categorizes consumers into four unique segments (real gainers, class makers, bargainers and value seekers) based upon their status seeking behavior and price consciousness. Inderscience Publishers - linking academia, business and industry through research

Title: Does the need for social status among price conscious consumers induces consumption of counterfeit luxury brands?

Authors: Sameeullah Khan; Asif Iqbal Fazili

Addresses: Author address listing can be found in the "About the Authors" section at the end of the article.

Abstract: Purpose: The purpose of this paper is to investigate the role of price consciousness and status seeking behavior in driving non-deceptive consumption of counterfeit luxury brands (CLB). Method: The survey was conducted through a self-administered questionnaire at upmarket shopping centers in the Indian metropolis Mumbai. Of the 192 collected questionnaires, 163 were found to be useful for analysis. The study uses ANOVA to estimate the differences in intention to buy CLB among various groups. Findings: The results of the study reveal significant main effects and interactive effect of need for social status and price consciousness on intention to buy CLB. Further the results suggest that consumer's intention to buy CLB is highest when they have a high need for social status and a high price consciousness. Limitations: The sample size limits the generalizability of the results. The study was restricted to counterfeit luxury wristwatches. It is possible that conducting similar research in other product categories may produce different and more insightful results. Further the sample was drawn from only one city. Implications: Without diluting the equity of the parent brand, marketers of luxury brands can inhibit consumption of CLB by extending the brand downwards to attract the 'real gainers' group (price conscious consumers with high need for social status). This may also help to attract consumers of fast fashion brands. Further the perceived exclusivity of the parent brand can be increased to a level where it will be difficult for 'real gainers' to pass on the counterfeit brand as genuine among their social groups. Originality: The study contributes to the extant literature by proposing a consumer decision-making model which posits need for social status as an underlying buying motive for luxury brands. Further the study also proposes a novel taxonomy which categorizes consumers into four unique segments (real gainers, class makers, bargainers and value seekers) based upon their status seeking behavior and price consciousness.

Keywords: Counterfeit luxury brands; counterfeiting; social status; price consciousness; consumer decision making.

DOI: 10.1504/JBM.2019.141271

Journal of Business and Management, 2019 Vol.25 No.2, pp.43 - 70

Published online: 05 Sep 2024 *

Title: Does the need for social status among price conscious consumers induces consumption of counterfeit luxury brands?

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