Brand marketing of luxury products in the United States

Abstract

The term 'luxury' means different things to different people. The word luxury according to the Oxford dictionary is "A state of great comfort or elegance, especially when involving great expense." According to Christopher Berry, luxury is "an expenditure that goes beyond what is a necessity" (Berry 1994). Luxury items are all things that are not necessary to life and efficiency and therefore include many desirable things. Moreover, luxury is not an absolute idea, we cannot say of any particular thing that it is termed luxury.

People buy luxury items mostly because they can afford these items and is also a way to show their richness to people. Luxury brands are made for rich and fashionable people, who like to prove they are rich and can pay any cost for their favorite brands. While luxury brands have often engaged in online activities, the new drive in e-commerce is turning out to be very beneficial than harmful to most companies.

Segmentation of luxury brands is a great aspect of advertising planning. Most marketers use segmentation to achieve success in their business. With this segmentation, large markets are divided into smaller units to effectively and efficiently reach their product goals satisfy their customers. There are different segments in the luxury brand which will be analyzed accordingly from, Demographics, Geographical, Psychological, Behavioral segments.

Today, Luxury brands have changed the way people dress by aligning the socio-economic system. Luxury is no longer focused on artistic integrity, but more on profit levels. Many trends have contributed towards luxury brands broadening their consumer range through globalization, consolidation, and diversification.

With the research data shown below, we will analyze how luxury brands are marketed in the U.S, analyzing luxury brand consumers in the U.S and how this impacts the market.