Thursday, November 14, 2019
Luxury Consumption Essay -- Business, Online Private Shopping Clubs
This is a literature review of online private shopping clubs a subcategory of luxury consumption. In this review, I will provide a brief orientation of luxury consumption and give further information about the latest consumer trend online private shopping clubs. The trend will be described in great detail and analysed. The term Ã¢â¬Å"luxuryÃ¢â¬ is routinely used in our everyday life to refer to products, services or a certain lifestyle, often without a clear understanding of the luxury concept as it takes on many forms for different people and is dependent on the experience and mood of the consumer (Wiedmann et al, 2009). However, according to Danziger (2005), luxury may be defined as something inessential, but conducive to pleasure and comfort. It is derived from the Latin word Ã¢â¬Å"luxuriaÃ¢â¬ , meaning Ã¢â¬Å"excessÃ¢â¬ or the Ã¢â¬Å"extras of lifeÃ¢â¬ (Danziger 2005). With this view in mind, luxury consumption could thus be described as the consumption of any good(s) for which the simple use or display of a particular branded product brings esteem for its owner (Wiedmann et al 2009). According to Echikson (1994), people want quality and value, but if prices were lowered, they assume that you are lowering the value and the quality. It could therefore be said that the higher the pri ce of a good, the more it is assumed the good is of a high value. Online private shopping club is the latest innovation in the age of e-commerce and is particularly widespread in several countries like USA, Germany, Spain, UK, Turkey and France. It is simply the sale of luxury designer goods online at discount prices. Constantinides et al. (2010) cite Internet World Statistics which assert that there are more than 1.5 billion internet users and this has affected globalization, trad... ...instead it might gain momentum because many consumers seek luxurious quality products at discount prices and there is a need for consumers to be associated with luxury brands and value. In addition, it is a convenient method of shopping that saves time. The recession left a lasting impact on consumerÃ¢â¬â¢s choices and behaviour towards consumption. As a result, consumers are willing to go through any means to acquire luxury goods at discount prices even though in some cases, they donÃ¢â¬â¢t need the goods, but the mere fact itÃ¢â¬â¢s inexpensive is an incentive for them to purchase the products and this has promoted the trend. Venture capitalists and online retailers like Amazon are acquiring online private shopping club to avoid missing out on this trend (Palmer, 2010). This shows that the consumer trend online private shopping club will grow and expand further for some time.