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M. De Angelis et al.
1 Defining Luxury
Several scholars, managers and actors operating in the luxury industry have attempted
to provide a definition of what luxury is. However, the complexity of the luxury phenomenon is such to make the search for a unique and comprehensive definition a still
open question [1, 2]. Indeed, as highlighted by Belk [3], the classification of a product or service as luxury is fluid and open to significant changes, since the perception
of luxury is “specific to a particular time and place and is always socially constructed” (p. 41). For example, in the economically developed countries many products
and services previously considered luxuries—such as mobile phones, foreign travel
and computers—are today perceived as necessities [3]. However, while strong arguments exist about the fact that luxury products cannot be categorized as such by their
appearance or intrinsic qualities [2], many contributions have been provided in the
attempt to categorize luxuries and identify their peculiar characteristics.
Firstly, an open question is to what extent product expensiveness defines luxury.
In economic terms, luxury brands are those which have constantly been able to justify
a high price: a price significantly higher than the price of products with comparable
characteristics [4]. Despite the prominence of price as a discriminant element of
luxury products, this definition does not seem to be comprehensive enough to cover
all features of luxury items, since it implies that the luxury status can be gained to
goods having a price differential with other goods in the same category, included the
upper-range brands [5].
A more comprehensive view of luxury has been provided by Ko et al. [6], who
have highlighted three criteria to reach a thorough definition of luxuries: the existence
of a sound conceptual foundation, the applicability to every product category and the
measurability of the construct. Considering them all together, authors have agreed to
theoretically define a luxury brand as “a branded product or service that consumers
perceive to: be high quality; offer authentic value via desired benefits, whether functional or emotional; have a prestigious image within the market built on qualities
such as artisanship, craftsmanship, or service quality; be worthy of commanding a
premium price; and be capable of inspiring a deep connection, or resonance, with
the consumer” (p. 406). Along this line, Vickers and Renand [2] argue that luxury
goods can be “usefully defined in terms of a mix of components of functionalism,
experientialism and symbolic interactionism” (p. 472), in which the role of social and
individual (psychological) cues is significantly more relevant than in the context of
non-luxury products. Mortelmans [7] has gone even further, defining luxury products
as those “that have a sign-value on top of (or in substitution of) their functional or
economical meaning” (p. 510) or, in other words, as objects to which the consumer
society attaches additional and undetermined meanings that are independent from
any functional and economical logic.
To conclude, although many authors have attempted to account for the multidimensionality of luxury, the fluidity and the complexity of the notion of luxury have
made it difficult to come up with a comprehensive definition. A deeper discussion
M. De Angelis et al.
1 Defining Luxury
Several scholars, managers and actors operating in the luxury industry have attempted
to provide a definition of what luxury is. However, the complexity of the luxury phenomenon is such to make the search for a unique and comprehensive definition a still
open question [1, 2]. Indeed, as highlighted by Belk [3], the classification of a product or service as luxury is fluid and open to significant changes, since the perception
of luxury is “specific to a particular time and place and is always socially constructed” (p. 41). For example, in the economically developed countries many products
and services previously considered luxuries—such as mobile phones, foreign travel
and computers—are today perceived as necessities [3]. However, while strong arguments exist about the fact that luxury products cannot be categorized as such by their
appearance or intrinsic qualities [2], many contributions have been provided in the
attempt to categorize luxuries and identify their peculiar characteristics.
Firstly, an open question is to what extent product expensiveness defines luxury.
In economic terms, luxury brands are those which have constantly been able to justify
a high price: a price significantly higher than the price of products with comparable
characteristics [4]. Despite the prominence of price as a discriminant element of
luxury products, this definition does not seem to be comprehensive enough to cover
all features of luxury items, since it implies that the luxury status can be gained to
goods having a price differential with other goods in the same category, included the
upper-range brands [5].
A more comprehensive view of luxury has been provided by Ko et al. [6], who
have highlighted three criteria to reach a thorough definition of luxuries: the existence
of a sound conceptual foundation, the applicability to every product category and the
measurability of the construct. Considering them all together, authors have agreed to
theoretically define a luxury brand as “a branded product or service that consumers
perceive to: be high quality; offer authentic value via desired benefits, whether functional or emotional; have a prestigious image within the market built on qualities
such as artisanship, craftsmanship, or service quality; be worthy of commanding a
premium price; and be capable of inspiring a deep connection, or resonance, with
the consumer” (p. 406). Along this line, Vickers and Renand [2] argue that luxury
goods can be “usefully defined in terms of a mix of components of functionalism,
experientialism and symbolic interactionism” (p. 472), in which the role of social and
individual (psychological) cues is significantly more relevant than in the context of
non-luxury products. Mortelmans [7] has gone even further, defining luxury products
as those “that have a sign-value on top of (or in substitution of) their functional or
economical meaning” (p. 510) or, in other words, as objects to which the consumer
society attaches additional and undetermined meanings that are independent from
any functional and economical logic.
To conclude, although many authors have attempted to account for the multidimensionality of luxury, the fluidity and the complexity of the notion of luxury have
made it difficult to come up with a comprehensive definition. A deeper discussion