Title: Luxury Brands’ Storytelling on Social Media Date of Submission: 29th of May 2019 Authors: Klara Ekebring, Catarina Mellqvist Supervisor: Leon Caesarius Course: 2FE840, Master Thesis, 30 ECTS Purpose: The purpose of this thesis is to explore how luxury brands are communicating through brand storytelling on social media. Hence, this study is conducted from the perspective of luxury brands with the aim to provide academic and managerial indications of how luxury brands perceive storytelling of luxury value on social media platforms. Methodology: This thesis performs qualitative research and utilises an abductive research strategy in order to conduct exploratory research. Data is collected through the use of both primary and secondary data sources. The primary data collection is made by the implementation of semistructured interviews that are formed and analysed through a thematic method of analysis and the satisfying principle. The secondary data is collected through observation of social media accounts of the brands taking part in this study. Empirical findings: The data collected present features on social media that the brands are recognising when communicating through storytelling on the platforms. By informing followers about the brand by telling stories, emotions, mental connections and meaning are established. Further, the interaction that is supported on social media platforms is considered by the luxury brands and influences the role followers to have in the communication process. Conclusions: The present study has found indications that the luxury values’ brands communicate through storytelling remains unchanged and how luxury values are told through stories are adjusted to the context of social media platforms. This suggests that luxury brands communicate their luxury value through storytelling on social media platforms by recognising the features of the context and the interaction, which is argued to be fundamentally supported on the platforms. Hence, elevating the role followers have in the communication process.

There must be a human factor to explain the lack of logic in luxury consumption. This irrational behavior is subject to explanation in this thesis, using values to map a framework where hopefully, conclusions can be drawn regarding how values drive people to consume luxury clothing. An individual’s luxury value perception and the motives for luxury clothing consumption are not simply tied to a set of social perspectives of displaying status, success, distinction and the human desire to impress other people, but also depend on the nature of the financial, functional and individual utilities of the certain luxury brand (Wiedmann et al., 2007). The values are divided into different dimensions with “sub-dimensions”: financial “price”, functional “usability, quality and uniqueness”, individual “self-identity, hedonic and materialistic” and social “conspicuousness, prestige and contextual”. The different values presented and the conceptualized framework might provide some insight into the matter of why we consume luxury goods and the underlying reasons behind consumer behavior, what values motivate us to consume and explain the paradox of luxury consumption.

As the Chinese luxury market has become one of the biggest in the world, this thesis seeks to investigate the relationship between the luxury perception of Chinese consumers and their willingness to buy under the price reduction. Drawing from Wiedmann’s concepts of luxury values, we propose a framework to measure the luxury value perception of Chinese consumers through the functional, individual, and social dimensions.   We conduct a quantitative research and collect 315 valid questionnaires from Chinese luxury consumers. In questionnaires, we ask them to rate the perception of luxury goods and their willingness to buy when the price is reduced by 20% and 40% respectively. We perform multiple linear regression with SPSS. The results show the value perception in the individual dimension has positive impact on the willingness to buy, and the more price is reduced, the more impact it will have, whereas, the value perception in the functional dimension is not significantly related to the willingness to buy under both price reductions. The value perception in the social dimension is positively related to the willingness to buy when the price is reduced by 20%, but there is no significant relationship when the price is further reduced by 40%.

The study investigated South African female consumers' purchase intent for luxury exotic leather accessories, with specific reference to exotic crocodile leather, as well as their perceived values of luxury exotic leather products and brands. A survey was conducted across South Africa that included representation of the following ethnic groups: African, White, Coloured, Asian and Indian. All the individuals surveyed were female. Consulta Research, a consumer research company, assisted the research study in collecting data. Data was collected by means of a non-probability convenient sampling method. Consulta Research distributed an online questionnaire to female participants on their database. Three hundred and thirty seven (337) usable questionnaires were completed and returned. Data analysis consisted of descriptive statistics, exploratory factor analysis, Spearman's correlation analysis and Cohen's d correlation analysis. All of the demographic and lifestyle characteristics were useful in describing the South African female consumer. The findings indicated that the majority of the respondents were not willing to spend market-related prices for genuine crocodile leather accessories. The study confirmed that luxury value perceptions may include five dimensions that are distinguished in literature, namely Social, Individual gifts, Individual pleasure, Financial, and Functional value perceptions. Functional value perceptions were found to be more important to South African respondents, although previous studies in other countries have shown that Social and Individual value perceptions are more important. According to the literature presented in the study, it was confirmed that purchasing intent is part of the decision-making process, since intention is evident in an individual's readiness to perform a given behaviour. The findings showed that South African female respondents have a weak Purchasing intent for exotic crocodile leather accessories. The study, however, also showed that in the future at some point a substantial percentage of respondents might buy (24.00% + 18.60% + 20.70%), have the intention to buy (23.40% + 17.50% + 21.30%) and have an interest to buy (23.10% + 17.80% + 18.90%) an exotic crocodile leather accessory. A high practical significance was also found for the correlation between Purchasing intent and Functional value perceptions. This might be an indicator of the important role that functionality would play in respondents' final decision to buy or not buy an exotic crocodile leather accessory. This has implications for industry stakeholders because Functional value perceptions, according to the study, can be described as superior quality, quality assurance, high quality standards and substantive attributes and performance factors. Therefore industry stakeholders within the luxury exotic crocodile leather industry, be it suppliers, manufacturers, breeders, farmers, retailers or marketers, should take these consumer values into consideration in order to maximise the ultimate value delivered by the supply chain. Various recommendations are made based on the findings of this study, to either expand or build onto this existing research. Topics related to luxury exotic crocodile leather accessories and luxury consumers in South Africa can definitely be explored further to fill the current gap in knowledge in this field. / Dissertation (MConsumer Science)--University of Pretoria, 2016. / Consumer Science / MConsumer Science / Unrestricted

This study explored the relevance of sustainability labelling for Chinese consumers’ perception of the luxuriousness of, and purchase intent for sustainability-labelled exotic leather accessories. The Wiedmann, Hennigs and Siebels’ Luxury Value Perception Scale (2007), as well as the Vigneron and Johnson’s (2004) Brand Luxury Index (BLI) model as adapted by Kim and Johnson (2015) served as the conceptual framework for the study. An online questionnaire was distributed across China and completed by willing participants. Qualtrics, a reputable international market research platform, used their extensive database of consumers for sampling purposes and managed to collect 526 completed and usable questionnaires. All participants had visited South Africa in the last five years or have the intention of visiting in the next five years. Both males and females were included in the study provided that they fell into the millennial generational cohort as of the year 2019 (born between 1979 and 2000). Data analysis was achieved through exploratory factor analysis and the calculation of the Cronbach alpha coefficients and eigenvalues. The outcome of the factor analysis for the sample identified three factors instead of the four factors proposed by the original Wiedmann, Hennigs and Siebels (2007) scale, namely “Pleasure”, “Others” and “Financial”. It seems that the Chinese millennials in this study considered everything that exotic leather accessories can do for them on a functional an individual level as one concept, named “Pleasure”. Additionally, respondents indicated that the “Pleasure” value perception was also the most important to them. Social items of the original scale loaded on the “Others” factor and although a little less important than the “Pleasure” factor, it is particularly important to the respondents in this study to know what others think of people who use certain exotic leather accessories. Finally, Financial items of the original scale loaded on the respondents’ “Financial” factor, which was considered to be the least important for the respondents in this study. A repeated measures ANOVA was performed to investigate whether the sample differed with regard to their perceptions of the factors “Pleasure”, “Others” and “Financial”. Post hoc analyses showed that there were significant differences with regard to all pairwise comparisons. The highest score was obtained on Pleasure, followed by Financial and Others. The outcome of the factor analysis for the sample’s perception of the luxuriousness of the four different sustainability-labels identified one identical factor for each of the four labels, instead of the five factors of the revised Kim and Johnson (2015) scale. The factor was named “Luxuriousness”. A repeated measures ANOVA was performed to investigate whether the sample differed with regard to the respondents’ perceptions of the luxuriousness between the four labels, however post hoc analyses revealed no significant differences with regard to any pairwise comparison. The outcome of the factor analysis for the sample’s purchasing intent, based on Spears and Singh’s (2004) scale indicated that the respondents had in all four cases a very strong purchasing intent for the sustainable exotic accessories, with only small differences between the four differently labelled exotic leather accessories. A repeated measures ANOVA was performed to investigate whether the sample differed with regard to their purchase intentions for the four labels. Post hoc analyses showed that there was a statistically significant difference between respondents’ purchase intent for Label 2 and Label 4, as well as a statistically significant difference between respondents’ purchase intent for Label 3 and Label 4. Respondents’ purchase intentions for both Labels 2 and 3 were therefore significantly higher than their purchase intent for Label 4. According to the results, there were statistically highly significant strong, positive correlations between the respondents’ most important Pleasure luxury value perception and their Purchase Intent for all four labels. Therefore, the more important the Pleasure luxury value perception becomes, the stronger becomes the respondents’ Purchase Intent for all four sustainability labelled accessories. Results of this study make positive contributions for various role players within the exotic leather industry. Manufacturers, retailers and marketers can all benefit from the results of the study. Recommendations for industry and future research are made. / Dissertation (MConsumer Science)--University of Pretoria, 2019. / Consumer Science / MConsumer Science / Unrestricted

This study explored South African female consumers’ value perceptions as well as their needs for traceable information on exotic crocodile leather accessories. The Wiedmann, Hennigs and Siebels' Luxury Value Perception Scale (2007) and the Consumer Decision-making Process (Solomon & Rabolt, 2004:354) served as conceptual framework for the study. A questionnaire was distributed across South Africa and completed by willing participants. All participants were South African citizens, females of varyin g cultural backgrounds, including: African, Caucasian, Indian, Asian and Coloured individuals. The Consulta Research (Pty) Ltd used their extensive database of female consumers for sampling purposes. They managed to collect three hundred and thirty seven (337) completed and usable questionnaires. The Spearman's Correlation Coefficient, descriptive statistics, as well as exploratory factor analysis were used for data analysis. The results indicate that respondents to this questionnaire were not willing to pay marketrelated prices for exotic crocodile leather accessories. Findings of this study uncovered five luxury value perceptions as opposed to the four originally recognised by Wiedmann et al. (2007), namely Functional, Social, Financial, Individual gifts and Individual pleasure value perceptions. Of these luxury value perceptions, respondents indicated that the functional value perception was the most important to them. Traceable intrinsic and extrinsic-related attributes which can have an impact on decision-making by consumers were also explored. Results indicate that respondents found intrinsic-related attributes moderately important when deciding to purchase an exotic crocodile leather accessory. With regard to extrinsic-related product attributes, results indicate that most respondents found these extrinsic-related attributes moderately important. The notable exception was the position brand-holders held on child labour, which was indicated as important by most respondents. Results further indicated weak-positive, but statistically highly significant relationships between functional value perceptions and the importance of intrinsic-related as well as extrinsic-related information. Weak-positive, but statistically highly significant relationships were also conversely found between financial value perceptions and the importance of intrinsic and extrinsic-related information. There was a weak but statistically highly significant relationship between the individual giftvalue perception and the importance of extrinsic-related information as well as, conversely, a weak-positive statistically significant relationship between individual gift-value perceptions and the importance of intrinsic-related information. Purchase intent is an important determinant when consumers make decisions. Research results for this study have, however, indicated that respondents had a weak purchase intent for exotic crocodile leather accessories. Most respondents reported that they would never, at any time, buy an exotic crocodile leather accessory. Neither would they at some stage have the intention to buy an exotic crocodile leather accessory, or have a purchase interest for an exotic crocodile leather accessory. Finally, results show that there was a weak-positive, but statistically highly significant relationship between the importance of extrinsic-related product attributes and purchase intent. Results of this study make positive contributions towards the decision-making of various role players within the exotic crocodile leather accessory industry. Role players such as farmers, manufacturers, distributers, retailers and marketers can all benefit from the results. Based on the results of this study, recommendations for industry and future research are made. / Dié studie ondersoek Suid-Afrikaanse vroueverbruikers se waardepersepsies asook hul behoeftes aan navolgbare inligting oor eksotiese krokodilleerbykomstighede. Die Wiedmann, Hennigs and Siebels's Luxury Value Perception Scale (2007) en The Consumer Decisionmaking Process (Solomon & Rabolt, 2004:354) dien as die konseptuele raamwerk vir dié studie. 'n Vraelys is dwarsoor Suid-Afrika versprei en voltooi deur vrywillige deelnemers. Alle respondente was Suid-Afrikaanse burgers, vroue van 'n verskeidenheid etniese herkomste, waarby ingesluit: Afrikaan, Kaukasiese, Indiese, en kleurlingindividue. Consulta Research (Pty) Ltd het van hul uitgebereide databasis van vroueverbruikers in hul steekproef gebruik gemaak. Hulle het daarin geslaag drie om honderd sewe en dertig (337) voltooide en bruikbare vraelyste te bekom. Die Spearman’s Correlation Coefficient se beskrywende statistiek en oorsigtelike faktore-ontleding is gebruik in die data-analiese. Die bevindings dui daarop dat respondente op die vraelys nié bereid is om markverwante pryse te betaal vir eksotiese krokodilleer-bykomstighede nie. Verdere bevindings in dié studie het vyf luukse waardepersies blootgelê, teenoor die vier aangedui deur Wiedmann et al. (2007), naamlik: Funksionele, Sosiale, Finansiële, Individuele geskenke, en Individuele plesierwaardepersepsies. Van dié luuksewaardepersepsies het respondente aangedui dat die funksionele waardepersepsie vir hulle die belangrikste is. Opspoorbare en navolgbare intrinsieke of ekstrinsieke eienskappe wat 'n invloed kan hê op die besluitnemening deur verbruikers was matig-belangrik in die besluitproses vir die aankoop van 'n eksotiese krokodilleerbykomstigheid. Met betrekking tot ekstrinsieke produkeienskappe, dui resultate daarop dat respondente grootliks hierdie ekstrinsieke eieskappe ook as matig-belangrik geag het. Die opmerklike uitsondering is beleidstandpunte wat handelsmerkeienaars ten opsigte van kinderarbeid handhaaf en wat as belangrik deur respondente bejeën is. Resultate dui verder daarop dat swak-positiewe, maar 'n statisties hoogs belangrike verband bestaan tussen fuksionele waardepersepsies en intrinsiek-verwante asook ekstrinsiekeverwante beskouings. Verder is ook aangedui dat hoogs belangrike verbande tussen finaniële waardepersepsies, individuele geskenkwaardepersepsies en die belangrikheid van intrinsieke en ekstrinsieke inligting teenwoordig is. Daar was 'n swak, maar hoogs belangrike verband tussen die indivuele geskenkwaardepersepsie en die belangrikheid van ekstrinsieke-verwante inligting asook die omgekeerde statisties-belangrike, swak-positiewe verband tussen individuele geskenkwaardepersepsies en die belangrikheid van intrinsiek-verwante inligting word beklemtoon. Die aankoopvoorneme is 'n belangrike oorweging in verbruikers se besluitneming. Resultate in hierdie studie, dui egter daarop dat verbruikers 'n swak aankoopvoorneme vir eksotiese krokodilleerbykomstighede het. 'n Meerderheid van die respondente het aangedui dat hulle nooit 'n bykomstigheid van krokodilleer sal koop nie. Verder sal hulle in geen stadium enige voorneme koester om 'n krokoldilleerbykomstigheid aan te skaf of belangstel om só 'n produk te bekom nie. Laastens dui resultate op 'n swak-positiewe, maar statisties hoogsbetekenisvolle verband tussen die belangrikheid van ekstrinsieke produkeieskappe en koopvoorneme. Resulate van dié studie maak 'n positiewe bydrae tot die besluitneming van verskeie rolspelers binne die eksotiese krokodilleer-industrie. Rolspelers soos boere, vervaardigers, verspreiders, handelaars en bemarkers kan almal baat vind by dié bevindings. Sleutelwoorde: Vroueverbruiker van luukse bykomstighede; industrie vir luukse krolodilleerbykomstighede; luuksewaardepersepsies; intrinsieke produkeienskappe; ekstrinsieke produkeienskappe; aankoopvoorneme. / Dissertation (MSc)--University of Pretoria, 2017. / Consumer Science / MConsumer Science / Unrestricted

以往高級精品只有貴族階級才有權利配帶。時至今日，中產階級消費者如一般上班族亦開始購買精品，使得人們對於精品的消費投入逐年增加。法國的精品產業靠著出口高級時裝、首飾、化妝品等精品，每年為法國政府帶來豐沛的外匯收入。除此之外，精品產業與其他同為景氣循環產業相比，復甦力道實為有過之而無不及；因此，精品產業之高獲利成長力與強勁復甦力道成為許多其他產業所探究及效法的對象。 現存精品相關文獻鮮少文獻探討精品創新相關議題，而在探討精品消費行為的研究中，除了探討精品消費動機與知覺價值外，並未進一步探討精品新產品隨著時間的擴散，消費者購買精品之動機與消費者特性是否產生變化。因此，本研究擬採用過往多半用於高科技產業之創新擴散理論，並以精品產業龍頭A精品公司為例，試圖探討精品新產品之擴散模式為何；另外，本研究除了探討客觀時間之擴散模式，亦針對精品具有較強烈之社會影響特性，亦加入同儕情境，更深入了解主觀時間的擴散模式。最後，本研究也會針對早期精品消費者與晚期精品消費者所注重的精品知覺價值是否有所不同的現象進行研究。 由量化問卷調查與質化深度訪談之綜合分析，本研究發現：(1)精品新產品擴散模式屬於Bass模型，所有潛在的精品消費者皆可分為受到廣告影響的創新者或口碑影響模仿者兩類；(2)精品新產品擴散模式由客觀因素與主觀因素共同建構而成，除了將採用者依客觀時間分為早期與晚期，本研究另外提出客觀早期的模仿者(即主觀落後者)與客觀晚期的創新者(即主觀創新者)；(3)精品知覺價值類型與客觀購買時間的先後並無顯著差異；(4)「撞包」顧慮是由於挑剔心態與跟隨心態並存的現象，對消費者的購買決策並無實際影響力。 / Before long, only blue blood has the right to possess luxury goods. Nowadays, middle class also starts to buy luxury goods, which increases the yearly consumption of luxury goods. By exporting high class garments, accessories, make-ups and so on, luxury good industry in France yields immeasurable foreign exchange income to French goverment. Besides, the strength of recovery in luxury goods industry is much stronger than other business-cycle industries. Therefore, with high-profit and strong recovery, luxury goods industry become the benchmark of other industries. Among the existing literatures of luxury goods, few literatures discuss issues related to the innovation of luxury goods. And in the researches of luxury-goods consumer behaviors, in addition to exploring the consumer motivations and perceived values, the changes or not of consumer characteristics and motivations with time-spreading lacks further probes. Thus, based on the theory of diffusion of innovations that mostly applied to high-technology industry, this study tries to explore the new product diffusion model of luxury goods in the case of a leading luxury brand A. Moreover, owing to stronger social influencs that luxury goods characteristic of, this study not only discussing the real time periods, but also deeply look into peer sithations in order to understand the diffusion model in subjective time periods. At last, this study will explore the differences of perceived values between early adoptors and late adoptors. Under comprehensively analysis from qnantative Questionnaire surveys and in-depth interviews, findings are as followed. (1)The new product diffusion model of luxury goods is highly close to Bass model. All potential luxury-goods customers can be divided to advertisement-influenced innovators and word-of-mouth-influenced imitators. (2)New product diffusion model of luxury goods is constructed by objective factor and subjective factors. In addition to classifying adoptors into early and late according the real time period, this study proposes other classifications: objectively early imitators (subjective followers) and objectlvely late innovators (subjective innovators). (3)Perceived value of luxury goods would not significantly sway with the objective doption time. (4)The fear of having the same bag with others results from the coexisting of Snob effect and Bandwagon effect, which has no actual influences on consumption decisions.

Abstract Problem: Previously, only few wealthy individuals had the opportunity to engage luxury consumption. Today, money and time is a lot more dispersed and thus give the regular citizen a chance to purchase luxury goods. Productivity and quality management has led to a growing production of luxury goods and has been spread to the mass population. Previous studies have proven that there is a relationship between possessions and identities, but lack research on younger consumers and their agendas for luxury consumption. Purpose: The purpose of this research is to explore how young consumers are using luxury consumption when constructing their identities and if this new group of luxury consumers consume luxury goods in a new way. Method: In order to fulfill the purpose of this thesis, an epistemological relativistic assumption has been made, and includes a qualitative exploratory research design with an inductive approach. The primary data was collected through semi-structured interviews, where participants had an interest in luxury consumption. Conclusion: Our findings suggests that there is a new group of young consumers who construct their identity through luxury consumption, based on the symbolic meanings and the perceived personal reward. This social group uses luxury consumption to conform with their preferred social references, but also to differentiate themselves. Certain possessions, interests and the environment an individual live in were all found to be important tools for young consumer when they construct their identity. “We are what we buy” has been proven to be a central concept in young consumers identity creation of this study.