Conspicuous Consumption: Implications and Marketing Strategies

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The following essay should outline what is conspicuous consumption, why consumers like to engage in conspicuous consumption and finally exploit the implications for marketing. The implications for marketing refer to modified marketing implementations, regarding branding and positioning. Thus, models and techniques should be presented, on how to track contemporary conspicuous consumers and then to target on them. In order to describe the reasons and the motives behind conspicuous consumption, it is necessary to present common psychological arguments. Therefore, evidence and arguments will be based on Maslow’s hierarchy of needs and also on different perspectives. Then, based on “The Theory of the Leisure Class” by the economist and sociologist …show more content…

This term is often used in a hazy descriptive sense to refer to any non-utilitarian forms of consumption or simply to that which is judged extravagant, luxurious, or wasteful. More specifically, Conspicuous consumption is the spending of money on and the acquiring of luxury goods and services, to publicly display economic power—either the buyer's income or the buyer's accumulated wealth.
From a sociological perspective, a conspicuous consumer shows off publicly his/her economic power either for attaining or for maintaining a given social status. Moreover, invidious consumption, a more specialized sociologic term, denotes the purposeful conspicuous consumption of goods and services intended to provoke the envy of other people, as a means of displaying the buyer’s superior socio-economic status. (Wikipedia)
On the other hand, from a contemporary marketing perspective, by looking into any standard English dictionary for the meaning of the word “conspicuous”, one gets a variety of lexicographic entries including “eye catching,” and “prominent;” but the word acquires a significantly different connotation in the context of “consumption”, when it clearly indicates the phenomenon of “wasteful and lavish consumption expenses to enhance social prestige.” (Meaning from Oxford …show more content…

More specifically, Veblen ignores that even those from the lowest scales of the hierarchy can also engage in conspicuous consumption. Therefore, conspicuous consumption is seen mistakenly as an exclusive instrument for the rich. Having a look into the modern relevant literature, Scheetz defines conspicuous consumption to be any consumption which reason is that of showing off wealth to others when the good is publicly consumed, “ranging from applying an expensive lipstick in public to driving an expensive car”(Scheetz,

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