The role of conspicuity: impact of social influencers on purchase decisions of luxury consumers

Abstract

Influencer advertising is a rapidly emerging strategy that is revolutionizing the way brands leverage influencers to promote products and engage customers. However, extant research has not fully addressed the impact of influencer advertising on luxury brands. In this research, we examine whether influencer advertising can have an impact on purchase decisions for luxury consumers, based on the different types of influencers (mega vs. micro). Using three experimental studies, we explore the impact of influencer advertising on purchase decisions involving luxury consumers. Our research examines how the congruity between the influencer type and the degree of conspicuity in the advertisement contributes to the purchase decision, and demonstrates evidence that luxury brand consumers are heterogeneous in their needs, wants, and desires. In doing so, we provide actionable long-term strategies to managers and practitioners, along with future research directions to academicians.

Keywords:

• Influencer advertising
• luxury brands
• congruity
• purchase decisions
• public luxury
• private luxury

Disclosure statement

The Authors declare that there is no conflict of interest in connection with this research article.

Funding

The authors acknowledge and appreciate the generous financial support for the research and data collection involved in the publication of this article: This work was supported by the Research Booster Program Grant awarded by The University of Wisconsin Green-Bay.

Data availability statement

The data that support the findings of this study are available on request from the second author, Shelly Rathee: The data for this study are not publicly available due to restrictions concerning information that could compromise the identity and privacy of research participants.

Notes

1 https://urbanzen.com/# Urban Zen is a luxury boutique founded by Donna Karan, which sells range of luxury artisanal pieces and furniture sourced from around the world. Urban Zen is also attached with its charitable foundation focusing on culture, education and wellness of artisans around the world.

2 Urban Zen is a luxury boutique founded by Donna Karan, which sells range of luxury artisanal pieces and furniture sourced from around the world. Urban Zen is also attached with its charitable foundation focusing on culture, education and wellness of artisans around the world. https://urbanzen.com/#

3 Alternatively, we performed a median split of the social value scale; those with a score of less than 26 were classified as low conspicuous consumers and those with a score of 26 or more as high conspicuous consumers. The results do not change when the conspicuity scale is included as categorical variable.