Someone sent me this article titled “The Four Species of Wealthy Consumers” written by Robert Frank, for The Wealth Report, I thoroughly enjoyed it. The article stems from a study on luxury goods that a doctoral student and two professor have been conducting; more specifically the importance of “brand prominence” with luxury goods. They sought to figure out whether or not how noticeable a brand or logo is on a product matters to the wealthy consumer, and which type of wealthy consumer cares the most.
In researching they found that consumers that were really wealthy did not care so much about logos, and preferred luxury items that were more subtle. They also identified that those who were lesser wealthy were really adamant about bigger logos. The study was conducted by Young Jee Han, who is a doctoral student in at Marshall School of Business at USC for marketing.
See below the four identifiable groups of rich consumers as per his definition- taken from this article, in the Wealth Report.
Patricians. High in financial means, Patricians are “principally concerned with associating with other patricians rather than dissociating themselves from other classes of consumers. They use subtle signals because only other patricians can interpret them.” They pay a premium for understatement.
Parvenus. “Parvenus are affluent—it is not that they cannot afford quieter goods—but they crave status. They are concerned first and foremost with separating or dissociating themselves from the havenots while associating themselves with other haves, both patricians and other parvenus.” Parvenus love the Louis Vuitton logo, the researchers say.
Poseurs. Like Parvenus, Poseurs are “highly motivated to consume for the sake of status.” Poseurs “do not possess the financial means to readily afford authentic luxury goods. Yet they want to associate themselves with those they observe and recognize as having the financial means (the parvenus) and dissociate themselves from other less affluent people.” Poseurs like counterfeit luxury goods.
Proletarians. These are less-affluent consumers who also are less-status conscious. “Proletarians are simply not driven to consume for the sake of status and either cannot or will not concern themselves with signaling by using status goods. They seek neither to associate with the upper crust nor to dissociate themselves from others of similarly humble means.” They tend to avoid luxury goods altogether.
What do you think about his findings? Which category do you think you would fit in too? Do all these categories sum up the consumers in the luxury goods market?
